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Ford Pickup Carries Big Tariff Load; Europe Eyes Factories for Arms By Mark R. Long

America's best-selling vehicle is one of the most aluminum-intensive vehicles on the market, placing it squarely in the sights of new tariffs.

The WSJ's Mike Colias and Bob Tita write that much of the aluminum used in the Ford F-150 pickup truck is imported, especially from Canada. This makes the automaker's main profit engine particularly vulnerable to the Trump administration's new 25% duties on steel and aluminum from outside the U.S.

Steel and aluminum make up more than half the material going into cars. Costs from new tariffs likely will get passed along to car buyers, inflating already-high vehicle prices even more. Barclays estimates the new duties could bump up the average cost to automakers by about $400 a vehicle.

Ford worked with suppliers to stockpile aluminum materials ahead of Wednesday's deadline. Aluminum sheet used in the vehicles mostly comes from U.S. rolling mills, but those mills depend on smelters in Canada for much of the metal they roll.

Ford says it would take many years to rewire supply chains to get more auto-grade aluminum domestically and declined to comment on the possible effect on prices if the tariffs stick.

Canada requested World Trade Organization dispute consultations over U.S. steel and aluminum tariffs. (WSJ) Mexico won't retaliate immediately against U.S. import duties on steel and aluminum. (WSJ) New Trump tariffs could hit more than $10 billion of European wine, beer and spirits. (WSJ) CONTENT FROM: PENSKE LOGISTICS Gain X-Ray Vision. Gain Ground with Penske Logistics.

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Quotable Plowshares to Swords

Europe's languishing factories might have a way out of their yearslong torpor: ambitious European plans to boost defense spending.

The WSJ's Joshua Kirby writes that industrial output in the eurozone in January stagnated from a year earlier, extending a slump that started when Russia invaded Ukraine three years ago.

Now, worries about Russian aggression have been compounded by doubts about U.S. reliability as an ally, sparking plans to sharply increase spending on munitions and potentially repurpose underused factories .

German arms maker Rheinmetall already plans to repurpose two auto-parts plants for making mostly military goods. Defense consortium KNDS is buying a German rail factory from France's Alstom to make tanks and armored vehicles.

Rheinmetall's CEO said it could take over plants from automakers like Volkswagen Group, which plans to quit making cars at two German factories. VW said it would listen to proposals.

Tensions in the trans-Atlantic alliance are prompting the question of whether Europe's militaries could fight Moscow's forces. (WSJ) Number of the Day In Other News

The International Energy Agency cut its demand-growth estimates for the end of last year and the start of this year. (WSJ)

European truck-maker stocks fell after the U.S. Environmental Protection Agency said it would reconsider truck-emissions regulations. (WSJ)

Dollar General guided for higher annual sales after growth in consumables last quarter offset weakness elsewhere. (WSJ)

U.S. convenience-store sales volume fell by 4.3% as prices rose in the year ended Feb. 23, according to research firm Circana. (WSJ)

Alimentation Couche-Tard will continue its friendly pursuit of 7-Eleven owner Seven & i. (WSJ)

Hugo Boss said subdued consumer sentiment has hurt its performance and warned it expects market uncertainty to persist. (WSJ)

Taiwan's president said the island would step up efforts to combat Chinese espionage and influence. (WSJ)

The U.S. Southern Command is drawing up options for increasing the American troop presence in Panama. (CNBC)

The China Shipowners' Association says proposed fees on Chinese ships calling at U.S. ports break WTO rules and U.S. law . (Reuters)

Ocean carrier Zim said it would reduce its U.S. East Coast calls if fees on Chinese ships are enacted. (Lloyd's List)

Leaders of the International Longshoremen's Association and United States Maritime Alliance officially signed an extension to their master contract. (American Journal of Transportation)

Shell delivered a record 1.1 million tons of marine liquefied natural gas to power vessels in 2024. (Supply Chain Brain)

Taiwanese carrier Evergreen Marine said net profit last year jumped nearly four-fold year-over-year to $4.2 billion. (Journal of Commerce)

Australia's competition regulator voiced concerns over Dubai-based port terminal operator DP World's proposed acquisition of Silk Logistics. (Splash 247)

Benore Logistic Systems is adding 10 Hyundai Xcient hydrogen-powered trucks to its fleet in Savannah, Ga. (Trucking Dive)

Bill Gates-founded TerraPower and South Korean shipbuilder HD Hyundai Heavy Industries plan to collaborate to construct small nuclear reactor-powered containerships. (The Loadstar)

Executive Insights

Here is our weekly roundup of stories from across WSJ Pro that we think you'll find useful.

The stock-market rout will make IPOs difficult , a disappointing development for a venture market in dire need of liquidity. Private-credit firms are willing to pay anywhere from $500,000 to $1.5 million for restructuring professionals amid a spike in out-of-court restructurings. Logistics startups are in demand again, now helping companies facing new tariffs game out costs and find new suppliers, among other services. Holograms have been primarily used to create visual fireworks at rock concerts. Now a health system in Tennessee is using them for virtual doctor visits to patients in rural areas. About Us

Mark R. Long is editor of WSJ Logistics Report. Reach him at [mark.long@wsj.com]. Follow the WSJ Logistics Report team on LinkedIn: Mark R. Long , Liz Young and Paul Berger .

This article is a text version of a Wall Street Journal newsletter published earlier today.

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March 14, 2025 07:06 ET (11:06 GMT)

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