*This content was translated by AI.
Ford and General Motors (GM), long-time rivals in the U.S. auto industry, are engaged in fierce behind-the-scenes competition to push through protectionist and tariff policies favorable to their own companies. Amid this rivalry, Ford has begun demanding higher tariffs targeting GM’s models produced in Korea.
According to reports by The Wall Street Journal (WSJ) and others, the two companies are locked in a battle over which brand represents "more American" automobiles, seeking to secure advantageous industrial policies. In this process, Ford has targeted GM's annual import volume of approximately 400,000 small SUVs produced at its Korean factories for shipment to the U.S., including models such as Chevrolet Trax and Trailblazer. Unlike Ford’s focus on large vehicles, Ford argues that higher tariffs should be imposed on Korean-made cars to counter GM’s competitively priced small vehicles produced in Korea.
Notably, GM Korea exports approximately 400,000 vehicles annually to the U.S. Compared to its domestic sales, nearly all of its production is effectively exported to the United States. If tariffs were imposed under such circumstances, it would deal a fatal blow. Korean GM holds the top position in the small SUV segment, making these models an exact target for Ford’s demands.
Ford’s aggressive move extends beyond mere rivalry between competing companies; it poses potential risks for South Korea’s entire passenger vehicle industry amid intense U.S. trade pressure. With U.S. pressure mounting due to delays in investment commitments, concerns are growing that major U.S. automakers targeting Korean vehicles for tariff hikes could place significant strain on South Korea’s automotive export front.
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*This content was translated by AI.
