How are auto makers going to handle tariffs?

[StevenC56]

Welcome to the George Costanza era. Doing the opposite of what makes sense, with the added element of undoing every single advance collectively made. If it ain't broke, break it! That's the current foundational approach. Not a "policy;" just retribution for all those imagined offenses to [his] personhood. That'll teach us. But it's a costly lesson for those of us in the lower 95%, huh?

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[Mach1E]

this is hardly encouraging, from a projected gdp of +1.4% 1st qtr 2025 revised to -2.4%

Are those the same people who in 2022 were extremely confident of negative GDP by spring 2023 and a recession?

I would take economic predictions with a grain of salt.

Especially when they’re basing predictions on rapidly changing international policies rather than economic trends.

Yes, not encouraging but rarely an accurate prediction.

 

[Jimrpa]

You saw how cheap you can get a model Y for $35,000 out the door for the Tesla model Y come on down to 1600 Pennsylvania Ave. and see Dandy Don?

I believe the first 100 buyers get their choice of a years worth of Trump steaks or a weekend in a suite at the Trump Taj Mahal (with round-trip air on the Trump Shuttle) ???

 

[zvez]

Are those the same people who in 2022 were extremely confident of negative GDP by spring 2023 and a recession?

I would take economic predictions with a grain of salt.

Especially when they’re basing predictions on rapidly changing international policies rather than economic trends.

Yes, not encouraging but rarely an accurate prediction.

well, except in 2022 we didn't have unprecended chainsawing of govt jobs not to mention tariff nonsense back and forth, nor clawback of billions, nor drop in jobs. Not only consumers but corporations are highly sensitive to instability. I'd say the current situation will be far worse than the banking crisis or covid.

 

[CaptainKirk]

This is a real mess for Ford, and for buyers in both Canada and the USA.
My Mach e was built - or partially built in Mexico, shipped to Kansas City for whatever they do there (and where my Transit was built), and then to the Canadian dealer where I bought it. Three countries, so how does that calculate for tariffs? With the pause in auto tariffs until early April, I’m hoping that Ford’s CEO and others continue to step up and make it known to the current administration how much this is going to hurt consumers in Canada and the USA.

 

[Mach1E]

well, except in 2022 we didn't have unprecended chainsawing of govt jobs not to mention tariff nonsense back and forth, nor clawback of billions, nor drop in jobs. Not only consumers but corporations are highly sensitive to instability. I'd say the current situation will be far worse than the banking crisis or covid.

No, we had runaway inflation as a direct result of government policies.

Economically? Arguably waaaaay worse and harder to fix.

Takes years to fix the inflation problem.

Tariffs? Can be turned off as quickly as they were turned on. Like flipping a switch.

Here’s hoping they flip that switch!

And come on, you can’t be serious comparing this to the banking crisis that led to the Great Recession nor a complete worldwide shutdown from Covid.

“Far worse????” I’d say that’s a bit extreme. What predictions are you possibly basis that on?

It can’t be your -2% GDP prediction because that’s not even a blip on the radar compared to Covid or 2008.

 

[Mach1E]

This is a real mess for Ford, and for buyers in both Canada and the USA.
My Mach e was built - or partially built in Mexico, shipped to Kansas City for whatever they do there (and where my Transit was built), and then to the Canadian dealer where I bought it. Three countries, so how does that calculate for tariffs? With the pause in auto tariffs until early April, I’m hoping that Ford’s CEO and others continue to step up and make it known to the current administration how much this is going to hurt consumers in Canada and the USA.

I think the answer to your question would be up to Canada.

Your Mach E is fully built in Mexico and shipped.

Kansas City is just a stop on the way. They unload the trains there and put them on trucks to ship everywhere.

 

[Jimrpa]

I think the answer to your question would be up to Canada.

Your Mach E is fully built in Mexico and shipped.

Kansas City is just a stop on the way. They unload the trains there and put them on trucks to ship everywhere.

It’s similar to something I’ve always wondered: if a Canadian grocer is having avocados shipped from Mexico to, say, Quebec (I understand avocados are used in a lot of Quebecois cuisine ???), would they be subject to US tariffs when they transit the United States?

 

[Mach1E]

It’s similar to something I’ve always wondered: if a Canadian grocer is having avocados shipped from Mexico to, say, Quebec (I understand avocados are used in a lot of Quebecois cuisine ???), would they be subject to US tariffs when they transit the United States?

I would be shocked if that were the case.

Would be nearly impossible to track and would make shipping impossibly expensive if you had to pay a tax or tariff everywhere the product goes in route.

Pretty sure tariffs would be based on origin and destination.

I’m too lazy to google it at the moment, more fun to speculate as it seems to be on theme for this thread. ?

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