Ford CEO cautions against U.S. tariff plans, January car sales tick up, Nissan boosts dealer incentives

Hey everyone. The latest episode of the Car Dealership Guy Podcast is a bit of a change of pace…

Today, I’m speaking with Lonny Soza, the “luxury dealership whisperer” who explains how he built a multi-million dollar powerhouse by leveraging “Bentley-level” customer service.

Tune in to learn how to cultivate a winning culture in the dealership, what the best hiring and training strategies are, and what defines success for ultra-luxury car brands.

Stream now on YouTube, Apple, and Spotify.

— CDG

1. Ford CEO warns automakers could lose “billions” if Trump tariffs take effect

Ford is bracing for a tougher 2025, expecting earnings to drop to as low as $8.5 billion—down from $10.2 billion last year—as vehicle prices soften and spending ramps up on new models.

Adding to the uncertainty, the Trump administration is still weighing a 25% tariff on imports from Mexico and Canada, a move CEO Jim Farley warns could cost Ford billions and trigger industry-wide layoffs.

Meanwhile, Ford’s EV business remains deep in the red, with losses projected to widen to $5.5 billion this year, even as sales grow. But Farley says the company is shifting toward more affordable EVs, but those won’t arrive until 2027.

Despite the challenges, Ford is cutting costs, improving quality, and pushing for EV profitability—moves Farley believes will strengthen its long-term position … (Go deeper: 2 min. read)

2. Incentives, hybrid popularity fuel early 2025 sales growth

The U.S. auto market kicked off 2025 much like it ended 2024—powered by strong hybrid sales.

• Hyundai-Kia saw the biggest gains, up 13%, while Honda climbed 3.8% and Subaru continued its growth streak.

• Toyota’s sales dipped 1.3%, but demand for hybrids and EVs pushed electrified sales up 41%.

• Ford struggled with a 6.5% drop, weighed down by weaker SUV demand, though hybrid and EV sales improved.

Bottom line: Despite the mixed performance among automakers—with tax refund season starting—additional cash in shoppers' pockets could provide a bigger boost in the coming months … (See January sales for all 7 reporting automakers)

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3. Nissan expands U.S. dealer bonuses to drive sales through fiscal year-end

Nissan is doubling down on dealer bonuses to boost sales, even as its potential merger with Honda is officially off the table for the time being.

The automaker has decided to roll out a new “Q4 Acceleration Bonus Program,” offering dealers up to $1,000 per vehicle if they exceed monthly sales targets in February and March.

But the National Auto Dealers Association has long criticized these “stair-step” arguing they put pressure on dealers to discount cars. Yet—some Nissan retailers see the program as a potential way to improve profitability … (Go deeper: 2 min. read)

• Volvo Cars weighs tariffs-led production move, warns of ‘hyper-competitiveness’ in China.

• Volkswagen claims it’s actually making that $20,000 EV and will show it next month.

• Jeep unveiling Wagoneer S Limited trim at Chicago Auto Show.

• 2027 Porsche Cayenne Coupe goes electric in new spy shots.

• Michigan voters say Canadian tariffs will hurt state's economy: poll.

Thanks for reading everyone.

— CDG