DETROIT — Ford Motor on Tuesday reported a 16.3% year-over-year sales increase for May, as the automaker continues an employee pricing program amid rising tariff costs and vehicle price increases.

Sales for the Detroit automaker were led by a 17.2% increase in its vehicles with traditional internal combustion engines, as well as a roughly 29% jump in hybrid models. Those gains offset a 25% drop in sales of all-electric vehicles — notably its electric F-150 — compared to May 2024.

May marked the third consecutive year-over-over, double-digit sales increase for the automaker, led the past two months by its employee pricing program that’s continuing through the Fourth of July weekend.

The automaker announced the promotion as President Donald Trump‘s 25% auto tariffs on imported vehicles took effect in early April.

However, since then, Ford has announced some vehicle price increases, specifically on those imported from Mexico. A Ford spokesman told Reuters the price hikes, which affected vehicles built after May 2, were a combination of seasonal adjustments and tariff impacts.

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