Derivative Financial Instruments and Hedging Activities (Tables)

12 Months Ended

Dec. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]

The gains/(losses), by hedge designation, reported in income for the years ended December 31 were as follows (in millions):

	2021		2022		2023
Fair value hedges
Interest rate contracts
Net interest settlements and accruals on hedging instruments	$	393	$	(45)	$	(507)
Fair value changes on hedging instruments	(1,001)		(1,875)		196
Fair value changes on hedged debt	957		1,893		(260)
Cross-currency interest rate swap contracts
Net interest settlements and accruals on hedging instruments	(8)		(27)		(79)
Fair value changes on hedging instruments	(93)		(111)		96
Fair value changes on hedged debt	82		113		(96)
Derivatives not designated as hedging instruments
Interest rate contracts	(3)		390		37
Foreign currency exchange contracts (a)	145		50		(35)
Cross-currency interest rate swap contracts	(507)		(780)		127
Total	$	(35)	$	(392)	$	(521)

__________

(a)Reflects forward contracts between Ford Credit and an affiliated company.

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]

The fair value of our derivative instruments and the associated notional amounts at December 31 were as follows (in millions):

	2022						2023
	Notional		Fair Value of Assets		Fair Value of Liabilities		Notional		Fair Value of Assets		Fair Value of Liabilities
Fair value hedges
Interest rate contracts	$	16,883	$	—	$	1,653	$	12,119	$	106	$	633
Cross-currency interest rate swaps	885		—		161		2,078		69		104
Derivatives not designated as hedging instruments
Interest rate contracts	63,210		931		483		73,134		465		1,036
Foreign currency exchange contracts (a)	4,219		41		76		10,276		59		116
Cross-currency interest rate swap contracts	6,635		15		653		7,100		119		252
Total derivative financial instruments, gross (b) (c)	$	91,832	$	987	$	3,026	$	104,707	$	818	$	2,141

__________

(a)Includes forward contracts between us and an affiliated company, including offsetting forward contracts with our consolidated entities, totaling $5.9 billion in notional amounts and $46 million in both assets and liabilities at December 31, 2023.

(b)At December 31, 2022 and 2023, we held collateral of $210 million and $40 million, and we posted collateral of $193 million and $126 million, respectively.

(c)At December 31, 2022 and 2023, the fair value of assets and liabilities available for counterparty netting was $166 million and $516 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.