Ford (F) has ridden a wave of positive consumer sentiment, strong incentive spending, and a tariff environment that favors domestic producers to a record-setting first half.
Overall, Ford has sold 930,925 vehicles this year as of the end of May, a 6.1% year-over-year increase.
The company reported a 16.3% increase in May sales to 220,959, mainly due to its biggest, most gas-guzzling models.
Related: Ford issues yet another recall for a potentially dangerous issue
Ford SUVs saw a 23% sales increase to 83,000, led by the Explorer, which had over 20,500 sold in the month. Meanwhile, Ford Trucks saw an 11.2% increase to 121,354 units sold.
It was Ford’s best May since Covid, with both Ford and Lincoln, Ford’s luxury line, reporting double-digit sales increases.
To help push sales and take advantage of buyers who are rushing to dealerships to buy inventory before tariffs hit, Ford launched its “From America, For America” campaign to provide customers with employee pricing.
One of the biggest beneficiaries of this push has been the Ford Bronco, but now that vehicle is also running into the one issue that has plagued Ford in 2025.
Ford Bronco has a costly, potentially dangerous issue.
Image source: Thayer/Bloomberg via Getty Images
Ford recalls nearly 700,000 Broncos over potential fire hazard
Ford brought back its compact crossover SUV, the Bronco, in 2021 after a 25-year hiatus, and it has been selling well.
Ford says it sold 30,000 Broncos in May alone. The vehicle has become so popular that, according to Ford Blue and Model e President Andrew Frick, the four-door Bronco beat the iconic Jeep Wrangler in sales for the seventh consecutive month.
“Our trucks had the best – when you look at our whole truck portfolio, it had the best month we have had in two decades,” Frick said.
But Ford just announced that is recalling 2021-2024 Bronco Sport vehicles, 2020-2022 Escape vehicles, and 2019-2024 Kuga vehicles due to cracked fuel injectors that could leak fuel into the engine and increase the risk of fire.
Related: Ford breaks an unfortunate General Motors recall record
More than 694,000 vehicles could have the problem, so it’s calling for a field service action that will cost Ford about $570 million, which will be reflected in its second-quarter results.
Ford is scheduled to report its second-quarter earnings results on July 30. Analysts are expecting the company to report earnings of 30 cents per share, a 36.2% year-over-year decrease, on revenue of $41.47 billion, a 7.46% decrease.
Ford strong sales start offset by tariff costs
Ford and fellow domestic automakers have lauded President Donald Trump’s 25% auto tariffs, even though they will cost the company billions.
Earlier this year, Ford estimated that the tariffs would shave $1.5 billion off its EBITDA this year, with an overall $2.5 billion headwind.
But Ford sees itself as best positioned to benefit from the situation.
“Last year, we assembled over 300,000 more vehicles in the U.S. than our closest competitor. That includes 100% of all our full-size trucks,” CEO Jim Farley said during the company’s last earnings call.
“In this new environment…automakers with the largest U.S. footprint will have a big advantage, and boy, is that true for Ford,” he added. “It puts us in the pole position.”