Ford Motor intends to transfer manufacturing of certain Lincoln vehicles from China to the United States starting in 2030, Reuters reported, citing chief executive Jim Farley.
The decision reflects mounting tariff costs and regulatory constraints tied to vehicles made in China and sold in the American market.
Farley said the choice was not an easy one but described it as necessary to support the US automotive manufacturing base.
Imports from China, covering both petrol-powered vehicles and electric models, are subject to substantial tariffs.
Ford said the Lincoln Nautilus, the company’s main China-built vehicle sold in the US, faces a 52.5% duty.
Lutnick added: “Ford's got an edge. Domestic manufacturing has an edge.”
According to Ford, the decision was shaped by both tariff policy and regulations linked to connected vehicle technology, although Farley said tariffs were the primary factor.
The Connected Vehicle Rule places limits on the use of certain Chinese-made technology and hardware in vehicles sold in the US, creating further complications for manufacturers with production links to China.
Ford was among several carmakers that had sought permission from the US Commerce Department to continue offering vehicles that could otherwise be restricted under the rule.
Manufacturers that do not secure such approval, including electric vehicle maker Polestar, face limitations on selling certain models in the US.
A spokesperson for the Dearborn, Michigan-headquartered group said on Wednesday that, after talks with the Commerce Department, Ford had determined that the Lincoln Nautilus no longer needed authorisation to be sold in the US.
The company had previously stated that the Nautilus software was developed in the US but installed in China, which meant official approval was required for the model to stay on the US market.
Ford sold roughly 34,000 Nautilus vehicles in the US last year.
The planned shift also comes as US legislators seek to tighten restrictions beyond those already covered by the Connected Vehicle Rule.
In July, the Senate Commerce Committee cleared a proposal that would prevent companies with more than 15% Chinese ownership from selling vehicles in the US.
If enacted, that measure would stop Mercedes-Benz from selling new vehicles in the American market.
Ford said the production move expands Lincoln’s existing manufacturing presence in the US.
The Navigator is produced in Louisville, Kentucky, while the Aviator is assembled at the Chicago Assembly Plant.
Both models are also shipped to export markets including Canada, Mexico and the Middle East.
General Motors has announced a comparable change. The carmaker said production of the Buick Envision will be moved from China to the US beginning in 2028.
