Trump threatens auto companies?
- Thread starter Tom Paris
- Start date
Of course...
President Trump's newly announced 25% import tariffs on foreign cars will increase vehicle prices by thousands of dollars for cars coming from Germany, Japan, and South Korea, as well as for the U.S.-assembled autos that use foreign-made parts, according to most auto industry experts.
However, one company likely to fare better than others is Tesla, the electric vehicle manufacturer led by close Trump administration adviser Elon Musk, industry analysts say.
Trump's latest move, set to take effect on April 2, is part of a broader global trade war launched as one of the opening acts of his second term. When announcing the new tariffs on Wednesday, he said: "What we're going to be doing is a 25% tariff on all cars that are not made in the United States. If they're made in the United States, it is absolutely no tariff."
By that standard, it would stand to reason that Tesla, which makes all the cars it sells in the U.S. in Texas and California, might be immune to effects of the tariffs. But Musk posted Wednesday on X that it wasn't so.
"Important to note that Tesla is NOT unscathed here. The tariff impact on Tesla is still significant," he wrote.
Even so, according to auto industry analyst Daniel Ives of Wedbush Securities, "Tesla is the one least impacted" among U.S. carmakers.
President Trump's newly announced 25% import tariffs on foreign cars will increase vehicle prices by thousands of dollars for cars coming from Germany, Japan, and South Korea, as well as for the U.S.-assembled autos that use foreign-made parts, according to most auto industry experts.
However, one company likely to fare better than others is Tesla, the electric vehicle manufacturer led by close Trump administration adviser Elon Musk, industry analysts say.
Trump's latest move, set to take effect on April 2, is part of a broader global trade war launched as one of the opening acts of his second term. When announcing the new tariffs on Wednesday, he said: "What we're going to be doing is a 25% tariff on all cars that are not made in the United States. If they're made in the United States, it is absolutely no tariff."
By that standard, it would stand to reason that Tesla, which makes all the cars it sells in the U.S. in Texas and California, might be immune to effects of the tariffs. But Musk posted Wednesday on X that it wasn't so.
"Important to note that Tesla is NOT unscathed here. The tariff impact on Tesla is still significant," he wrote.
Even so, according to auto industry analyst Daniel Ives of Wedbush Securities, "Tesla is the one least impacted" among U.S. carmakers.
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All prices are going up Donnie. That's what happens when you slap tariffs on everything.
hawkeyetraveler
HB Heisman
So now conservatives are ok with the government influencing private decisions on price/profitability?
We have wandered into bizarro land.
We have wandered into bizarro land.
He’d rather have artificial scarcity than people bitching about the price of autos going up.
All of this is why the RINO thing is hilarious. Republicans have wandered so far away from conservative principles.
All of this is why the RINO thing is hilarious. Republicans have wandered so far away from conservative principles.
“Don’t you dare increase prices for something that I am 100% responsible for!!!!!”
Congrats on all those who voted for this stable genius.
Congrats on all those who voted for this stable genius.
^This. So much this! ^
Government imposing price controls is a major characteristic of command economies! That is more Communist-like than anything Bernie Sanders has proposed.
WTF? 😳
There aren't going to be any price controls. Jeesh.
No, I don't like this. He shouldn't be telling them how to run their business.
How about coerced price limitations?
The only thing I know for sure....
Have a used vehicle I was planning on selling this spring. No plans on doing that now.
Have a used vehicle I was planning on selling this spring. No plans on doing that now.
So no quote on a "threat"? Title says "warns" and post said automakers "felt" like they might get punished. So any thing real here?
Yeah we are thankfully all automobiled up in our house. Earlier this year we get a used CRV for my youngest to start her out in life, and if this comes to pass, I likely saved quite a bit of money doing it now rather than doing it later.
It also says a threat came on a call. I guess we have to take the WSJ at face value.
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Everybody needs to be honest with themselves. MAGA is not conservative.
They didn't hold pricing when there were supply chain issues. Rather, they charged a mark up over MSRP.
Different problem,.. The reality of lost manufacturing capacity is different than handling the accounting on an new tariff...
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Which will surely help turn around that cratering consumer confidence index 🙄
I agree with you about Cultservatives, but you left out....ummm the left.
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Cultservitives
This all figured out. Just call them what they want and look over there. Sounds much like price controls...
Smoot-Hawley lives again along with wars and depressions.
The middle is gone. Only loonies left and the ridiculous on the right.
Regardless of Trump, the system crashes around 2033 due to demographics. Boomers that own about everything start to die off in bigger numbers and mass amounts of property will be sold off.
What is intereresting
Dems bitch about price controls. Think about that for a while.
Dems want abortion on demand, when it takes a 2.2 birthrate and we are running 1.7
R's want curbed immigration (see above)
R's traditionally the war party have been replaced. R's don't seem to understand that the future isn't overwhelmingly white.
What is astronomically funny is that doctor visits are plummeting and it is picking up speed. YOUNG PEOPLE who aren't represented by this board very well absolutely do on want much to do with the current "treat with pills" medical system and want to promote preventative medicine by practicing health lifestyles. The pro-vaxer's dont see that one coming and it's not about stupid uniformed ignorant people, it's about parents and people in a growing group that have experienced injuries.
This announcement is paid by political action and I don't play a doctor on TV.
Let the ignorant ha ha ers begin. Show your stupidity.
The middle is gone. Only loonies left and the ridiculous on the right.
Regardless of Trump, the system crashes around 2033 due to demographics. Boomers that own about everything start to die off in bigger numbers and mass amounts of property will be sold off.
What is intereresting
Dems bitch about price controls. Think about that for a while.
Dems want abortion on demand, when it takes a 2.2 birthrate and we are running 1.7
R's want curbed immigration (see above)
R's traditionally the war party have been replaced. R's don't seem to understand that the future isn't overwhelmingly white.
What is astronomically funny is that doctor visits are plummeting and it is picking up speed. YOUNG PEOPLE who aren't represented by this board very well absolutely do on want much to do with the current "treat with pills" medical system and want to promote preventative medicine by practicing health lifestyles. The pro-vaxer's dont see that one coming and it's not about stupid uniformed ignorant people, it's about parents and people in a growing group that have experienced injuries.
This announcement is paid by political action and I don't play a doctor on TV.
Let the ignorant ha ha ers begin. Show your stupidity.
Raise the cost of production and you change the quantity supplied. Either manufacturers raise prices or dealers will do it for them.
US auto companies still haven't recovered from the price gouging they did during covid. Dealers still have a lot of unsold inventory from 2023 and 2024. There's little chance the big auto companies go down that road anytime soon.
He wants to control everything. He already controls the 3 branches of government. He's using the power of his office to coerce huge legal firms who participated in lawsuits against him into providing millions of dollars worth of free legal services. He's leaning on the Fed to lower rates. He's already assumed defacto control of media like Meta and X. He's manipulating the markets to suit his needs. This is exactly how things work in autocracies.
Are conservatives cool with this? Absolutely! He's owning the libs!
I thought MAGA was against Harris' proposals to ban price gouging for food and groceries. How is this different other than the product impacted?
hawkeyetraveler
HB Heisman
Well yeah, I get it from Warren - who I am NOT a fan of. But this is your conservative darling Trump.
Great time to be +1 on vehicles instead of looking for one.
For us that is a combination of luck (being time to replace our older one last fall) and always selling myself instead of trading in. You can control when you sell that extra vehicle which my intent had been this spring with a better market than last fall.
Last fall was the first vehicle I'd bought since 2020 and experienced some sticker shock. This helps.
i always love the nuanced understanding of economic principles that comes out of some people as soon as someone they like is president
after 4 years of daily monitoring for any negative economic news and wailing about any cost or price increases being solely the president's fault, now they turn into Econ PhDs.
after 4 years of daily monitoring for any negative economic news and wailing about any cost or price increases being solely the president's fault, now they turn into Econ PhDs.
Synonyms of 'threat' in American English
- warning.
- foreboding.
- omen.
- portent.
- presage.
I am so happy I bought a new car last year before this dumpster fire got elected. MAGAs keep punching themselves in the dick and blaming Biden. Just the dumbest cucks in US history.
I'm not sure why you think I like Trump. I'm on record opposing him on many things. I guess you are an all-or-nothing person, and if there's just one tiny thing I think Trump got right, I must be a MAGA Trump boot licker. I'm going to keep being intellectually honest, even if tea blue at all cost can't be.
hawkeyetraveler
HB Heisman
Fair enough and sorry I shouldn’t have used the possessive “Your” as it wasn’t my intention to paint you with a MAGA brush. Still the point stands that one expects price controls and/or influence from progressive democrats. One does not expect it from Trump.
