Ford announced it is increasing prices by as much as $2,000 for its all-electric Mustang Mach-E SUV and its popular entry-level Maverick pickup, attributing the hikes to tariffs recently imposed by former President Donald Trump on vehicles manufactured in Mexico.
The tariff-driven price increases, effective for vehicles built after May 2, underline the rising costs facing traditional automakers aiming to expand their electric vehicle operations. Ford had previously warned that the newly imposed tariffs would add approximately $2.5 billion to the company’s overall costs through the remainder of 2025. General Motors has assessed its potential additional tariff-related costs could reach as much as $5 billion.
The price increases come at a challenging moment for Ford, given that the automaker has already been absorbing significant losses—running into billions of dollars—as part of its ambitious push into the electric vehicle market. The higher sticker prices may further complicate Ford’s efforts to persuade consumers to switch to its electric offerings, particularly if the federal government withdraws existing incentives for electric vehicle buyers. Both Trump and House Speaker Mike Johnson have recently suggested that the $7,500 federal EV tax credit might soon come to an end.
Ford has not yet publicly commented on the latest price increases.
