Ford announced its move to reshore production of its two-row Nautilus luxury SUV last week.

“In general, this move should provide a lift for domestic steel production given the increasing automaker strategy of build where you sell and buy where you build that is being influenced by tariffs and the uncertainty surrounding them,” Bill Rinna, vice president, Americas at GlobalData Automotive in Farmington, Michigan, said on Thursday August 20.

Lincoln’s top-selling model returns to US production
Sales of the Lincoln Nautilus were around 34,000 units in 2025, Rinna said. “That’s a somewhat modest number, but it was still Lincoln’s top-selling model.”

Ford sold 33,744 units of the Lincoln Nautilus SUV in 2025, with its closest Lincoln rival being the compact Corsair SUV at 26,566 units, according to CarBuzz.

“If that model, or a similar one, were added to US production, we would expect Lincoln’s US production to surpass 100,000 units—which would be the most Lincoln models built in the US since 2005,” Rinna said.

Ford has room to grow production within its existing facilities.

“Currently, we expect Ford US plant capacity utilization to be roughly 60% at the end of the decade, therefore they do have some options on where to put new models, the wildcard being what platform direction they want to go with it and what plant makes the most sense given that,” Rinna said.

Impact on steel demand expected to be modest
While the reshoring will lift production and steel demand above where it would be without it, its impact may be quite modest, according to Arthur Wheaton, director of labor studies at Cornell University’s School of Industrial and Labor Relations in Buffalo, New York.

“I don’t think it will have a big impact on demand unless they build in some must-have features or improve the looks of the product,” Wheaton said

“It may help stabilize steel demand, as I still anticipate a slowing market due to high prices, higher interest rates and stubborn inflation,” Wheaton said.

The reshoring news is the latest indication that tariffs on imported automobiles are achieving the goal of increasing production in the US.

Toyota Motor North America announced in early July it will invest $3.6 billion to build a new assembly line in San Antonio, Texas, to shift production of its midsize Toyota Tacoma pickup from Tijuana, Mexico.  

In January General Motors announced its plans to reshore production of its Buick Envision compact SUV from China to the US when it introduces its next-generation model in 2028.

Ford doubles down on American manufacturing
“This expansion builds on that existing US manufacturing base and Ford’s commitment to American manufacturing. The company expects the increased production to generate thousands of direct and indirect US jobs,” Ford stated on August 12.

“Lincoln is a quintessentially American brand, and Ford is America’s automaker. This wasn’t necessarily the easiest path. In fact, it’s a path most of our competitors aren’t choosing to take. But Ford builds in America because we believe in America, and we’re betting on that belief again,” said Ford chief executive officer and president Jim Farley.

Key production details still to be announced
The US automaker has not yet disclosed the plant location that will expand production to include the Nautilus, the amount of investment nor expected production volumes.

Lincoln currently assembles the midsize three-row Navigator SUV at Ford’s Kentucky Truck Plant in Louisville and the full-size three-row Lincoln Aviator at the Chicago Assembly Plant, models that are exported to Canada, Mexico, and the Middle East.

The company discontinued production of its compact Lincoln Corsair SUV and companion Ford Escape SUV in December 2025 at its Louisville Assembly Plant, a separate facility from the Kentucky Truck Plant.

For now there is no planned production of a compact Lincoln SUV, but that doesn’t mean Ford is out of the market.

“The small premium SUV segment is important to Lincoln. We will have more to share on the Corsair soon,” a company spokesperson told Fastmarkets Thursday.

Louisville Assembly Plant prepares for electric truck production
Ford plans to retool its Louisville Assembly Plant to build the Ford Fathom midsize electric pickup truck. Prototype builds are expected in 2027 with customer production later in the year.

Ford has stated the Fathom will use large aluminum castings and a new production system, which could affect the mix and volume of steel consumed per vehicle.

From: Robert England, Fastmarkets, 27 AUG 2026, https://www.fastmarkets.com/insights/fords-reshoring-of-lincoln-nautilus-suv-production-from-china-likely-to-lift-us-steel-demand/.