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Faraday Future sees strategic opportunity in new U.S. tariff policy

Faraday Future Intelligent Electric Inc., a California-based global shared intelligent electric mobility ecosystem company, today announced that the reciprocal tariff policy proposed by the Trump Administration represents an opportunity for U.S.-based automakers

Faraday Future Intelligent Electric Inc. (“Faraday Future”, “FF” or “Company”), a California-based global shared intelligent electric mobility ecosystem company, today announced that the reciprocal tariff policy proposed by the Trump Administration represents an opportunity for U.S.-based automakers.

The new policy, introduced by the Trump Administration, is designed to encourage reshoring of automotive production to the United States and to support companies with local manufacturing capabilities. Faraday Future believes that these changes will accelerate its mission to deliver Artificial Intelligence Electric Vehicles (AIEVs) with exceptional price-performance ratios, leveraging global innovation while strengthening domestic industry.

Key Strategic Implications:

  1. Support for U.S. local Manufacturing
    The tariff initiative offers targeted support for automakers with U.S. production and manufacturing, providing incentives that align with FF’s commitment to American reshoring.
  2. Stable Competitive Positioning
    Despite increased tariffs, the relative cost structure between FF and its competitors is expected to remain consistent.
  3. Local Supply Chain Advantage
    A substantial portion of FF’s supply chain are planned to be sourced domestically, further enhancing resilience and efficiency.
  4. Market Shift in Import Reliance
    With nearly 50% of new vehicles sold in the U.S. currently being imports, FF is positioned to benefit from shifting demand toward domestically manufactured vehicles.
  5. Strategic Industry Bridge Role
    FF’s Bridge Strategy is focused on integrating high-quality, efficient global supply chains into the U.S. ecosystem, catalyzing innovation and localization of advanced mobility technologies.
  6. Future-Proofing Through Policy Alignment
    FF anticipates further policy developments that support local production, reinforcing the long-term value of its manufacturing footprint in the U.S.

“This policy shift is not a crisis, it’s a structural opportunity,” said Jerry Wang, Global President of Faraday Future. “By leveraging global resources in a localized way and collaborating with our potential partners, we aim to set sail into the blue-ocean AIEV market in the United States.”

The Company reaffirmed its commitment to transforming the American electric vehicle landscape through agile innovation, strategic localization, and cross-border industry collaboration.

SOURCE: Faraday Future

https://www.automotiveworld.com/news-releases/faraday-future-sees-strategic-opportunity-in-new-u-s-tariff-policy/

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