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Tax Dodging - Ford Could Face $1B Federal Penalty Over Transit Connect vans

Discussion in 'Road Side Pub' started by SID297, Jun 10, 2021.

  1. SID297

    SID297 OWNER/ADMIN Staff Member Administrator

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    Cliff's - Ford tried to avoid the 25% import tariff (chicken tax) on trucks and cargo vans by installing a temporary passenger seat in the back of the Transit Connect Cargo Van (made in Turkey), then removing it once it cleared US Customs. That cheap bench seat which didn't match the rest of the interior allowed them to only pay a 2.5% tariff.

    The full article:

    Ford may face $1B penalty after dispute over Transit Connect vans

    Here's a good video explaining the situation:



    Here's a review we did of the Transit Connect Cargo Van. It's a really good little truck:

     
    bosscj and Stanley like this.
  2. 7998

    7998 Don't Care Established Member Malt Liquor Mafia

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    We still have ours, 140k miles and counting. Had an issue with 6th gear covered under warranty.
     
  3. Black02GT

    Black02GT *Not 2KBlackGT Established Member

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    Huh, well that explains the crappy jump seat in the back of Nissan vans.
     
  4. ozsctpk

    ozsctpk Well-Known Member Established Member

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    Yea the transmissions in those things are terrible. My shop has gone through 12 trannys in 5 connects.


    Sent from my iPhone using Tapatalk
     
    03Sssnake likes this.
  5. Bullitt1448

    Bullitt1448 Active Member Established Member

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    A billion her, a billion there and pretty soon you’re talking about real money
     
  6. Silverstrike

    Silverstrike It's to big to move FAST! Established Member

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    And this is why there was no way GM was ever going to import the Holden Utes into the states no matter how hard all the tire kicker ( phantom buyers) screamed as they knew it would of been a disaster as only a fraction of them would of been sold with that 25% tariff in place.
     
    03Sssnake and KReese07 like this.
  7. CobraBob

    CobraBob Authorized Vendor Premium Member Established Member Single Barrel Sirs

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    Ouch! Well, Ford had to have known the risks if caught by the Feds, so while it’s a hefty fine they are likely prepared for it. JMO.



    Sent from my iPhone using svtperformance.com
     
  8. Papaw

    Papaw Well-Known Member Established Member

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    This will be in the court system for decades since it was technically legal.
     
    IronSnake, 13COBRA, 03Sssnake and 2 others like this.
  9. DAVESVT2000

    DAVESVT2000 Well-Known Member Established Member

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    Correct, no laws were broken per the language of the tarrifs
     
    Mentos, 03Sssnake and Papaw like this.
  10. GTSpartan

    GTSpartan Yield right!!!! Established Member

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    The optics are bad and ford won’t risk being publicly dragged through the mud as a “tax cheat”. They’ll negotiate a settlement and pay a fine.
     
    ON D BIT likes this.
  11. SID297

    SID297 OWNER/ADMIN Staff Member Administrator

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    Are you sure about that? It seems the pertinent part of the regulation is "principally designed for passenger transport." How do you define "principally designed"? If I were a jurist task with defining it I may ask myself things like; if Ford ever offered the van to the public in the as-imported configuration, and if so what was the ratio of that configuration sold versus the cargo version.

    There's two issues at play. The judge will have to define exactly what "principally designed" means, then the tryer of fact will have to determine whether Ford lived up to the definition. I have a feeling this one doesn't pass the smell test.
     
  12. RedVenom48

    RedVenom48 Ghost Editor-in-Chief Premium Member Established Member Beer Money Bros.

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    lol, solid job boys.

    Since Mullaly left, it appears the Blue Oval has decided that doing things "The Hard Way" is now just how they do business.
     
  13. 03Sssnake

    03Sssnake TK-421 Established Member Beer Money Bros.

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    lol what was job one again!?
     
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  14. gimmie11s

    gimmie11s Don’t be an idiot Established Member

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    Sounds like most of Ford's decision making these days lol
     
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  15. ON D BIT

    ON D BIT Finish First Established Member

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    When will Ford build mic tops?
     
  16. Relaxed Chaos

    Relaxed Chaos Faster! Established Member

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    Maximizing profit by any means is always Job 1 for Ford.
    Squeezed out with help from the svtperformance.com mobile app
     
  17. 13COBRA

    13COBRA Resident Ford Dealer Premium Member Established Member

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    You realize that's every business, right?

    Sent from my Potato
     
  18. PC03GT

    PC03GT Well-Known Member Established Member

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    Bet they're regretting letting that ****tard drive the new Lightning now
     
    Last edited: Jun 13, 2021 at 4:17 PM
    gimmie11s likes this.
  19. Relaxed Chaos

    Relaxed Chaos Faster! Established Member

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    Sure do. They don't give a shit about quality, only margin at the expense of most everything that matters to customers.
    Squeezed out with help from the svtperformance.com mobile app
     
  20. Great Asp

    Great Asp Well-Known Member Premium Member Established Member

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    I bought one a couple years ago for the service department. It has been reliable and only the big boys do not like driving it. (cuz they are BIG boys).

    E
     

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