Trump's Tariffs Will Collapse the American Auto Industry

[Dont Taz Me Bro]

His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.

MSN

 

[okfine]

It will kill both the foreign and domestic US motorcycle market also.

 

[Mashmont]

His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.

MSN

Unions LOVE Trump's plan, but notice how the leftwingers are suddenly concerned about the corporations instead of the union workers. Everything the left claimed to want, Trump is now doing. Yet the hypocrites still slam Trump.

 

[okfine]

Unions LOVE Trump's plan, but notice how the leftwingers are suddenly concerned about the corporations instead of the union workers. Amazing!

People expected low prices from your dear leader, but I guess you have some kind of mental block.

 

[Leo123]

Unions LOVE Trump's plan, but notice how the leftwingers are suddenly concerned about the corporations instead of the union workers. Amazing!

Leftwingnuts just hate Trump. That's their whole life. They've got no better plans, they have no real policies, just hatred.

 

[TroglocratsRdumb]

Comment: The UAW likes it.

In a Victory for Autoworkers, Auto Tariffs Mark the Beginning of the End of NAFTA and the “Free Trade” Disaster - UAW | United Automobile, Aerospace and Agricultural Implement Workers of America

Days after Volkswagen, the #2 automaker in the world, announced making $20.6 billion in profit in 2024, a new UAW survey of VW workers in Chattanooga reveals the devastating financial toll of VW’s substandard U.S. health care offerings.

uaw.org

This afternoon, the Trump administration announced major tariffs on passenger cars and trucks entering the U.S. market, marking the beginning of the end of a thirty-plus year “free trade” disaster. This is a long-overdue shift away from a harmful economic framework that has devastated the working class and driven a race to the bottom across borders in the auto industry. It signals a return to policies that prioritize the workers who build this country—rather than the greed of ruthless corporations.
“We applaud the Trump administration for stepping up to end the free trade disaster that has devastated working class communities for decades. Ending the race to the bottom in the auto industry starts with fixing our broken trade deals, and the Trump administration has made history with today’s actions,” said UAW President Shawn Fain.

 

[okfine]

Leftwingnuts just hate Trump. That's their whole life. They've got no better plans, they have no real policies, just hatred.

Auto workers are afraid of losing their jobs. But that makes zero sense to you.

When they lose their jobs will you blame the left?

 

[ReinyDays]

Collapsing the auto industry is good for the environment ... the Eco-Socialist want 90% of passenger vehicles OFF the roads ... that certainly bankrupts car-makers ... folks will start riding bikes more ...

Trees before People ... Schwinn is American as apple pie ...

 

[Leo123]

Auto workers are afraid of losing their jobs. But that makes zero sense to you.

When they lose their jobs will you blame the left?

Autoworkers already lost their jobs decades ago when they went overseas. Just like the chip makers in Silicon Valley lost their jobs due to cheap labor overseas and high tariffs on America. The UAW is backing Trump. These Trump tariffs will bring manufacturing back to America and allow US to actually sell cars overseas where few or no American cars can be found because of previously high tariffs.

 

[fncceo]

folks will start riding bikes more ...

Aren't all the bikes made in China?

 

[C_Clayton_Jones]

Leftwingnuts just hate Trump. That's their whole life. They've got no better plans, they have no real policies, just hatred.

“Goldman Sachs assumes new vehicle net prices in the U.S. will rise by roughly $2,000 to $4,000 over the next six- to 12-month timeframe to better reflect tariff costs.”

Trump – making Americans poorer.

 

[Crepitus]

Unions LOVE Trump's plan,

Feel free to prove that.

 

[shockedcanadian]

His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.

MSN

They shipped millions of jobs overseas for slave labour and the price of a car didn;t go down.

They adapt or find new management. They have been making free cash through slave labour, loose border laws and arbitrage.

 

[candycorn]

His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.

MSN

I doubt that because the policy can (and will) change the moment he gets bad news or him personally. But it sure as hell isnt’ helping.

 

[Leo123]

“Goldman Sachs assumes new vehicle net prices in the U.S. will rise by roughly $2,000 to $4,000 over the next six- to 12-month timeframe to better reflect tariff costs.”

Trump – making Americans poorer.

Ford is lowering it's prices.

 

[candycorn]

They shipped millions of jobs overseas for slave labour and the price of a car didn;t go down.

Just like Trump did with his clothes...right?

And the only time you’re not kissing his ass is when you’re worshiping his ass.

 

[shockedcanadian]

Just like Trump did with his clothes...right?

And the only time you’re not kissing his ass is when you’re worshiping his ass.

Nobody gave a shyte about the outsourcing of millions of jobs from the West while corporations didn't drop their prices even $10.

The days of pity are over. All car companies will compete for marketspace. If they overspent on executives and gave millions in stock options to CEOs, oh well. May the best company win

 

[okfine]

Autoworkers already lost their jobs decades ago when they went overseas. Just like the chip makers in Silicon Valley lost their jobs due to cheap labor overseas and high tariffs on America. The UAW is backing Trump. These Trump tariffs will bring manufacturing back to America and allow US to actually sell cars overseas where few or no American cars can be found because of previously high tariffs.

They will lose their jobs.

 

[yidnar]

“Goldman Sachs assumes new vehicle net prices in the U.S. will rise by roughly $2,000 to $4,000 over the next six- to 12-month timeframe to better reflect tariff costs.”

Trump – making Americans poorer.

once the better trade deals are made ... and they will be .. said threatened tariffs will be discontinued ... just like the 90 pause for countries wanting to make a deal ..

 

[Winco]

Unions LOVE Trump's plan, but notice how the leftwingers are suddenly concerned about the corporations instead of the union workers. Everything the left claimed to want, Trump is now doing. Yet the hypocrites still slam Trump.

I'm a Union Member.
I can't STAND TRUMP.

Nothing UNION wise. How has trump supported my UNION?

For Example: Trump hated EV's then Musk Came along, and ALL AT ONCE, trump supports TESLER (sic)
Why is that?