A fully assembled 2025 Ford Expedition rolled off Ford’s Kentucky plant, yet over half its components—including the engine—were made outside the U.S., highlighting the complexity and cost challenges of manufacturing a truly Made in the USA vehicle.
Main Components Assembled Abroad Despite U.S. Assembly
While the Ford Expedition is built by American workers in Kentucky, only 42% of its parts originate from the U.S. or Canada. Key elements like the Ecoboost V-6 engine are sourced from Mexico. The case underscores the reality that global supply chains remain integral, even for vehicles produced domestically by legacy automakers like Ford.
Tariff Policies Meet Economic Limitations
President Donald Trump’s 25% tariffs on imported autos and parts were designed to stimulate domestic production. In response, companies sought to localize supply chains. However, experts warn that achieving full domestic sourcing would drive vehicle prices up dramatically. Essential materials and parts—like semiconductors and certain fasteners—are still more cost-efficient abroad, despite tariffs.
Executive and Analyst Perspectives on Feasibility
“We can move everything to the U.S., but if every Ford is $50,000, we’re not going to win as a company.”
– Jim Farley, CEO of Ford
According to industry analysts and supplier executives, sourcing even 90% of parts domestically would entail massive cost hikes and time investments. Mark Wakefield of AlixPartners emphasized that reaching 100% domestic content would require a decade-long, multi-billion-dollar commitment—one that is not economically viable today.
Historical Trends and Current Realities
In 2007, Ford’s Expedition had 95% North American content, but post-recession globalization reversed that trend. Today, only a handful of vehicles exceed 70% U.S./Canada parts content. Even Tesla’s highly localized models fall short of 100%. Meanwhile, luxury imports often feature less than 1% American parts.
Is the dream of a 100% Made in the USA vehicle economically sustainable—or simply symbolic in a globalized economy?