FabSwingers.com forum: Donald Trump announces new 25% tariffs on cars from overseas

By *1shadesoffun OP Man
17 weeks ago

nearby

Uk car exports to the USA were £6.4 billion (ons 17 Jan 2025) last 12 months, which accounted for 18.4% of all UK car exports.

Thats potentially going to cause trouble for car makers from next week

Will Americans pay 25% more?

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By *oubleswing2019Man
17 weeks ago

Colchester

Hard to tell.

Manufacturer's make on average 5-7% margin on a car for general models (not high end stuff).

Dealers make 5-7% on top of that allegedly.

I foresee the manufacturers putting the squeeze on the dealers, in the same way the supermarkets put the squeeze on the farmers and suppliers.

I also forsee the smaller car dealers throwing in the towel as it's just not worth the trouble.

And I think some dealers will go with more innovative solutions, like doing away with showrooms entirely. Buy and try for a week. Pay and keep or return in a week.

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By *oubleswing2019Man
17 weeks ago

Colchester

Back to the original question though...will American's pay more ?

I think there is a fair amount of trepidation in the US with regards to how much disposable income folks will have in the immediate and further away future, so that has to have a bearing on how much people are willing to pay over the odds for items.

Is it going to entice manufacturers to set up shop in the US to serve a domestic market ?

Put it this way...if I was a majority shareholder, I'd not want the company investing in the USA, as it costs a fortune to create a plant. I'd be telling them to look at more friendly markets elsewhere in the global supply chain. I can't do long term business with a petulant president who changes on a whim and pulls the rug from under folk's feet. I don't think anyone can.

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By *abioMan
17 weeks ago

Newcastle and Gateshead

"Uk car exports to the USA were £6.4 billion (ons 17 Jan 2025) last 12 months, which accounted for 18.4% of all UK car exports.

Thats potentially going to cause trouble for car makers from next week

Will Americans pay 25% more? "

The answer to this is ….. yes!

Reason… the uk doesn’t export “cheap cars” to the us, so in that sense there is not the domestic us competition

For example, if someone was spending a couple of hundred thousand on a rolls, the tariff is not going to put you off!

All that this tariff is going to do is make it easier to do the same in retaliation and pin point it at Tesla!

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By *rusader1Man
17 weeks ago

Dublin

This will really hurt Jaguar Land Rover sales!

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By *xpatadventurerMan
17 weeks ago

Work Abroad / London

Hi All

There will not be an immediate 25% hike in car prices in the US.

50% of cars manufactured in US have multiple parts made elsewhere so only Tarrifs apply to those.

However prices on all ranges of of car will increase very quickly because of the relationship between Manufacturers and Dealers.

In the US car finance rates will increase, options packages will fall and stock levels will reduce.

There is nothing clever about a stupid Tarrif like this as it will destroy Supply Chains worldwide and cause mayhem.

Another dumb arse use of Tarrifs by the Orange Baboon to try to " Make America Great Again "

P.S ....Fact check ....Herr Musk has said yesterday that this will have a significant impact on Tesla ....What a joke 😂😂😂...it all is

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By *oubleswing2019Man
17 weeks ago

Colchester

[Removed by poster at 27/03/25 22:12:04]

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By *oubleswing2019Man
17 weeks ago

Colchester

"Hi All

There will not be an immediate 25% hike in car prices in the US.

50% of cars manufactured in US have multiple parts made elsewhere so only Tarrifs apply to those.

However prices on all ranges of of car will increase very quickly because of the relationship between Manufacturers and Dealers.

In the US car finance rates will increase, options packages will fall and stock levels will reduce.

There is nothing clever about a stupid Tarrif like this as it will destroy Supply Chains worldwide and cause mayhem.

Another dumb arse use of Tarrifs by the Orange Baboon to try to " Make America Great Again "

P.S ....Fact check ....Herr Musk has said yesterday that this will have a significant impact on Tesla ....What a joke 😂😂😂...it all is "

Indeed. The President is only an "elected" figurehead. There are far more powerful forces around and above them.

The moment a President starts seriously denting those oligarchs profits, they will fall on him like a pack of wolves and he'll be politically removed.

I don't really think DT has thought this through to its inevitable conclusion.

His ego may be being stroked so he "feels he is a player" but compared to those above him, his ground is shaky at best.

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By *arakiss12TV/TS
17 weeks ago

Bedfuck

The trouble is the raw materials and parts are coming from all over the world which have tariffs which mess up the pricing on the final product which will bugger up sales at home and abroad and the stocks n shares markets too.

It could cause a global finacial crash.

Trumps on a hiding to nothing.

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By *1shadesoffun OP Man
17 weeks ago

nearby

“” The US imported about eight million cars last year - accounting for about $240bn (£186bn) in trade and *roughly half of overall sales*.

Mexico is the top supplier of cars to the US, followed by South Korea, Japan, Canada and Germany.

Analysts have estimated that tariffs on parts just from Canada and Mexico could lead to costs rising by $4,000-$10,000 depending on the vehicle, according to the Anderson Economic Group.””. (BBC today)

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By *uffelskloofMan
17 weeks ago

Walsall

I’m surprised that the UK still exports so many cars to the US.

Based on my own observations on trips to the US over the past thirty years (not particularly scientific I appreciate) three decades ago it was quite common to see particularly German and the odd British car on the roads.

Nowadays when I go there I see hardly any European cars. The overwhelming majority of cars seem to be either American, or Korean/Japanese.

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By *abioMan
17 weeks ago

Newcastle and Gateshead

"I’m surprised that the UK still exports so many cars to the US.

Nowadays when I go there I see hardly any European cars. The overwhelming majority of cars seem to be either American, or Korean/Japanese."

If someone wants a Rolls or a Bentley for example then the tariff isn’t going to put them off… same with a Mercedes or a Porsche or a Lamborghini or a Ferrari

You are beginning to see the smaller cheaper German and Korean cars, but those cars are specifically designed for the American market and built in American factories….

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By *idnight RamblerMan
17 weeks ago

Pershore

But don't Canada and the EU themselves have existing import tariffs and quotas on some categories? Is this all faux outrage?

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By *otMe66Man
17 weeks ago

Terra Firma

"But don't Canada and the EU themselves have existing import tariffs and quotas on some categories? Is this all faux outrage?"

The EU have a sliding tariff on Chinese EV's 17 - 38%. All a bit complex based on subsidies the manufacturer received.

Those tariffs are good to go, because it isn't a Trump tariff.

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By *abioMan
17 weeks ago

Newcastle and Gateshead

"But don't Canada and the EU themselves have existing import tariffs and quotas on some categories? Is this all faux outrage?

The EU have a sliding tariff on Chinese EV's 17 - 38%. All a bit complex based on subsidies the manufacturer received.

Those tariffs are good to go, because it isn't a Trump tariff.

Yes and no… the eu tarrifs us built cars… the Us tarrifs Chinese built cars… the Chinese historically tarrifs Japanese and Korean cars…. And so on

The us realities by tarrifs on European trucks….so it’s swings and roundabouts

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By *entleman_spyMan
17 weeks ago

nearby

The brands we sell in the US are unlikely to notice any change in sales, it may hurt the new jaguar plans but they were already in for a rough ride going all electric. McLaren, Aston Martin, and to an extent Range Rover are unlikely to feel much change, they are already expensive luxury purchases that rely heavily on brand recognition as being a status symbol. If anything the increased prices may even help them in this market.

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By *eroy1000Man
17 weeks ago

milton keynes

"But don't Canada and the EU themselves have existing import tariffs and quotas on some categories? Is this all faux outrage?"

I saw a clip from sky news the other week when this started to get talked about. They said up until now and for many years the tariff that the U.S. charge for incoming cars has been just 2.5% where as the EU have been charging around 10%. Definitely a mismatch but putting it up to 25% means it is still a mismatch, just now in favour of the US

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