- Donald Trump has threatened to hit Mexican-made vehicles with tariffs of up to 200%.
- Ram already builds the 2500, 3500, 4500, and 5500 Heavy Duty south of the border.
- In 2023, three million vehicles built in Mexico were exported to the US.
Just a month after Ram confirmed it would start building the 1500 pickup truck in Mexico, the head of the brand has acknowledged it’s reviewing its plans to expand into other countries following Donald Trump’s re-election to the White House.
According to Ram boss Chris Feuell, Ram is investigating how it can change its factory and supplier networks should the Trump administration follow through with threats to hit vehicles built overseas with hefty tariffs.
Read: Ram CEO Confirms 1500 Production In Mexico As US Plant Reaches Capacity
“It’s obviously part of all the scenario planning we’re doing,” Feuell said during a recent interview. “How do we need to think about manufacturing and sourcing strategies given where tariffs or the administrative decisions could go?”
In October, Ram said it will start building the 1500 at its plant in Saltillo, Mexico because its Stirling Heights plant will soon reach capacity. The Mexican plant already handles production of the Ram 2500, 3500, 4500, and 5500 Heavy Duty. Ram’s move has upset officials from the United Auto Workers union, who claim Ram could start manufacturing the 1500 at the Warran Truck Assembly Plant that had recently handled production of the 1500 Classic.
While speaking with Bloomberg, Feuell said the lessons Ram learned during the Covid-19 pandemic about redesigning parts and finding new suppliers would help it during the Trump administration’s second term.
In the lead-up to the election, Trump threatened Mexico-built vehicles with tariffs of up to 200%. Last year, 3 million vehicles were exported from Mexico to the US, and of these, roughly half come from large car manufacturers, including GM, Ford, and Stellantis. Trump believes that if he can implement high tariffs, it will encourage companies to move production to the United States.
As Ram starts building the 1500 in Mexico, it is also attempting to clear inventory while gearing up to launch the all-electric 1500 REV and the range-extender 1500 Ramcharger.
