business

U.S. auto dealers worry Trump will impose tariffs on imported cars

18 Comments
By Tom Krisher and Paul Wiseman

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18 Comments
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Spare a thought for the US auto industry in the 70s when the Japanese put a 40% tariff on US cars while it stole way market share in their home market, resulting in mass layoffs in Detroit.

Spare another thought for the people who build and sell the US cars in China and S. Koreans which are slapped with steep tariffs as a matter of course, and which the globalists have no problem with.

Tough luck, dealers. You chose to be part of a sleazy skewed industry that has gotten a free ride on America's excessive open market.

1 ( +7 / -6 )

Biased article.

Dealers of domestic brands would benefit.

The media is scrounging for anything to hit Trump with.

1 ( +8 / -7 )

There are far too many cars in the world, especially in major cities-California has the worst car jams in the world!

1 ( +4 / -3 )

"If we (tax) Audis, Germany could say, 'We don't want your peanut butter,' " she said.

Or, they could say, "We'll manufacture within the US." Like the Japanese have.

-3 ( +1 / -4 )

No Japanese is interested in buying US cars anyway, and thats good.

-1 ( +6 / -7 )

This artical is the oldest Japanese trick in the book.

"If you put tariffs on I cars, then that's not good for you".

Sorry Japan, but the USA is not that stupid.

-3 ( +5 / -8 )

Japan knows they need the US market. With less and less friends in Asia, things are quickly coming to a head, good or bad, and we have Trump to thank for that. This is why Abe was scrambling in the early days of the Trump administration to get on the golf course with Trump.

*Spare a thought for the US auto industry in the 70s when the Japanese put a 40% tariff on US cars while it stole way market share in their home market, resulting in mass layoffs in Detroit.*

So many people don't seem to get this. Japan enjoyed either low/no tariffs all the while and churned out major profits. They were able to build and adapt cars to the American lifestyle while their US counterparts were not.

This is why Japanese people don't 'want' U.S. cars, because they've never had a fair shot at them. Just like with the rice here (California rice is just as good!).

Japan had access to the world's single strongest economy for virtually no cost, and now the gravy train is coming to an end -- unless, god forbid, they agree to trade that benefits both parties Gasp!.

-5 ( +1 / -6 )

Japan has over a third of the US market share, yet only 10% are manufactured in Japan - the majority are made in the US. So Japanese automotive companies don't have a dog in this fight.

1 ( +4 / -3 )

Using "National Security" justifications for auto tariffs, "National Emergency" pretexts to build the border wall... seems to me like the "Master Negotiator" isn't doing to well at actually making, you know, deals, and has to resort to obscure loopholes to get anything done.

Oh, and Congress? You might want to grow a spine before your branch of government becomes completely irrelevant. Remember that the President might not be on your "team" next time.

2 ( +4 / -2 )

If there's a mistake left to be made, he'll make it. He doesn't even understand how tariffs work, and that they disporoportionately harm the economies of the companies that impose them by making products more expensive for consumers. If the country has limited domestic production capacity for these goods, tariffs simply discourage spending. While this is not the case with cars in the US, it does not constitute a national emergency any more than illegal immigration does.

2 ( +3 / -1 )

All three of Strong's dealerships sell vehicles made by German automakers — Volkswagen, Audi and Porsche. No Porsches or Audis are built in America. Only a couple of Volkswagen models are.

Hey, Mr. Strong - ever thought about selling cars made in the USA?

-5 ( +2 / -7 )

Most Japanese cars are built in USA. Toyota vehicles actually have more USA content that most domestic cars as big 3 build in Mexico and Brazil. Europe will have to worry but they also build many models in USA.

BMW X5 X3 and MB C series , Hyundai also builds in USA. So note if they can build in USA and export to other countries know US labor is quite cost effective.

0 ( +3 / -3 )

content of auto manufacturers

1. Jeep Cherokee: Belvidere, Ill.

2. Honda Odyssey: Lincoln, Ala.

3. Honda Ridgeline: Lincoln, Ala.

4. Ford Taurus: Chicago

5. Chevrolet Volt: Detroit

6. Honda Pilot: Lincoln, Ala.

7. Acura MDX: East Liberty, Ohio

8. Ford Explorer: Chicago

9. Ford F-150: Claycomo, Mo., and Dearborn, Mich.

10. Chevrolet Corvette: Bowling Green, Ky.

-2 ( +0 / -2 )

USA cars are gas guzzlers. Too big, no good quality and Japanese won't want them, even if all tariffs are zero. Trump is a great President, but he is getting bad advice in this issue.

-4 ( +0 / -4 )

Americans will end up as the losers as the American companies will raise prices and reduce quality. History is set to repeat itself.

-4 ( +0 / -4 )

but he is getting bad advice in this issue.

Bad advice? He campaigned on this. This idea is his

3 ( +3 / -0 )

USA cars are gas guzzlers. Too big, no good quality and Japanese won't want them, even if all tariffs are zero.

Old Hat.

4 ( +4 / -0 )

One forgets that Trump is NOT looking or "profit" from tariffs as much as fair and equitable trade deals. Also, he did not push for any country to "buy" US products as much as required more US companies to manufacture in the US or more foreign companies to relocate to the US.

He is in essence doing what China did for decades using low labor costs to invite companies into China while heavily taxing them and also keeping high tariffs on foreign imports. China wanted to "profit" from it all going "both" ways (going in and out). In stead, he wants jobs in America even with higher labor costs, but balancing it out with fair and equitable tariffs and taxation.

That also applies to autos. Japanese companies have competed in the world market by quality and reliability that even overtook Mercedes. Japan can continue to compete. What is a little loss in volume and gross revenue? The entire world is realizing the slower growth.

Now is the time for creativity, ingenuity and initiative. Times are changing... and much quicker than we imagined a few years ago... More autos are going electric and China is going all electric. So "change"... don't worry. Time to do it is now. If you are good, you will survive and will be doing much better.

Remember that all businesses are there to "serve" the public consumer first and not just the stockholders or investors or the banks. Money "flows" from the public, the consumer and not from any other source.

(Use some of those monies spent on executives for more R&D and future infrastructure.)

0 ( +0 / -0 )

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