Ford Requests Temporary Relief From 25% Aluminum Tariffs After Novelis Fires

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An autumn leave lies on the logo of a car of US car giant Ford is pictured at a carseller in Gelsenkirchen, western Germany, on November 22, 2024. INA FASSBENDER/AFP via Getty Images/Getty Images

Ford Motor and other US automakers have asked the government for temporary relief from the 25% aluminum tariffs following fires at a key American supplier, creating major supply bottlenecks for vehicles.

The request comes as the largest domestic aluminum rolling plant, Novelis' Oswego facility in New York, works to recover from two fires last year.

The Wall Street Journal first reported that Ford petitioned the Trump administration, citing sources familiar with the discussions.

The automaker hopes the relief would last at least until the Oswego plant returns to full production, which is expected by June.

The facility provides aluminum sheets critical for vehicle production, especially for Ford trucks like the F-150.

A White House official told FOX Business, "While Ford and other automakers have raised supply concerns in light of the Novelis incident, they have not requested tariff relief on this matter in a particularly pronounced way."

Officials emphasized that the administration remains committed to a "nimble and nuanced approach to reshoring manufacturing critical to our national and economic security."

Ford Faces $2 Billion Loss

Novelis has tried to offset the lost production by sourcing aluminum from its plants in South Korea and Europe.

However, those imports now face a 50% tariff under the Trump administration, adding to automakers' costs.

The plant also supplies other major automakers like Stellantis and General Motors, but Ford is the largest customer because of its trucks' aluminum-heavy bodies.

The supply disruptions have already had a financial impact. Ford previously warned that production could drop by up to 100,000 F-Series pickup trucks through the end of 2025, potentially costing the company as much as $2 billion, US News reported.

The aluminum shortage was one reason Ford revised its profit guidance for the year.

Trump administration officials have previously given some relief to automakers under national security tariffs, allowing companies to recoup part of the 25% duties on auto parts.

But for now, the latest requests tied to Novelis' fires have not been approved.

Industry analysts note that the aluminum shortage highlights the vulnerability of US automakers to domestic supply chain disruptions.

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