Ford Motor Co. said its profit this year is poised for a sharp drop on the growing fallout from President Donald Trump’s tariffs, underscoring the dramatic policy shifts in Washington that are upending the auto industry.

Motor industry giant Ford says it expects tariffs to cost it about $2bn (£1.5bn) this year, which is more than previously expected, despite building most of its cars in America. The company says it had already paid an extra $800m in duties in the three months ending in June.