Ford slashes prices with $399 leases and employee discounts to fight rising car costs

Ford is pushing to make its vehicles more affordable as car prices continue to rise. The company has introduced new pricing options, including leases starting at $399 and employee discounts for all new models. CEO Jim Farley stressed that lowering costs is now a key focus for the industry. The average price of a new car in the US has climbed to nearly $50,000—30% higher than in 2019. In response, Ford is expanding its range of lower-cost models, aiming to keep some new vehicles under $40,000. Popular models like the F-150 and Explorer now have more budget-friendly versions.

To attract buyers, Ford is offering leases between $399 and $499 per month. Until July 4, nearly all new Ford vehicles will be sold at employee pricing. This move comes as the company looks to compete in a market where high prices have become a barrier for many customers.

During a recent interview, Farley avoided discussing trade policy but highlighted the importance of the growing Chinese auto market. His comments followed President Trump’s announcement of a 25% tariff on European-made vehicles, a decision that could impact industry costs. Ford’s strategy includes more leasing options, employee discounts, and a push for models under $40,000. The company aims to make its vehicles accessible as prices across the industry remain high. These changes come alongside broader economic shifts, including new tariffs on imported cars.