USA Import Duty

[krissrock]

doesn't VAG have VW factories in the states? i think Tennessee?
If they were to even spin up new factories to deal with the tariffs, I'd image they'd be for Audi over porsche.
And even better, if they did start mfr'ing here, probably wouldn't see it till the next administration anyway, and I highly doubt those savings would be passed on to the consumer...

 

[Senna]

It’s still too early to say, but pushing Germany away might not be the best idea, especially since the western countries have a big fish to fry with the CCP dominating the EV battery market.

 

[KJohn3333]

The current tariff of German cars into the US is 2.5% compared to 10% on American made cars into the EU. As a result of Trump's victory BMW shares fell by 6.6%, Mercedes-Benz by 6.4%, Porsche by 4.9% and Volkswagen by 4.3%.

I think ultimately what Trump wants is European manufacturers investing in production facilities in the US to create jobs. I read Germany export 400,000 cars to the US each year.

 

[tmrqs]

I think ultimately what Trump wants is European manufacturers investing in production facilities in the US to create jobs. I read Germany export 400,000 cars to the US each year.

Decades ago, my dad bought a 911 Targa made in the US. It was a thing.

 

[ColdCase]

Even cars assembled in the US, as well as US based car makers, have 50 to 90% imported parts and subject to tariff. You think prices are high now, just wait a year. Few will be able to afford a car for the price of a home, and production facilities will be closing, less jobs, vicious circle perhaps.

The Biden admin worked to move production to the US, convincing VAG to assemble the ID.4 in the US among other models, and they have a US battery plant that qualifies them for the $7500 tax credits. I was just about to buy a Pro S when the stop sales order hit (door handle recall). Now looking at Macan, sometimes one lucks out, even though you can buy two fully equipped ID.4 Pros for the same money as an average 4S. Nice transportation appliance, not nearly as much fun to drive.

 

[KJohn3333]

Could a potentially big hike in new car prices enhance residual values of used cars?

 

[Dragon Tourniquet]

Could a potentially big hike in new car prices enhance residual values of used cars?

To some extent it could, but the amount depends on how much the tariffs depress new car sales.