What will a 20% tariff do to the cost of the new gt4 and spyder?

For that matter, what about the 2016s

 

A bit premature to consider IMO, but it would in theory raise the costs a lot. Maybe not quite 20%, as many OEM's would be pressed to thin margins to compete for market share, but considerably more than they are now. Maybe 15%? The secondary market would also go up, but it's anybody's guess how much.

 

I guess I gotta save more pennies.

 

If a tariff indeed drives the price up, my sense is that it will kill sales. Whatever tariff it is will likely be short-term in nature, driving up the initial cost, but I don't see how the resale values would keep up given new models 2-3 years out could very well not have a tariff... Wouldn't it stand to reason that anyone looking to buy is going to take serious resale pressure, driving the market to wait and see in the US, perhaps creating a favorable market price elsewhere?

 

"Harley-Davidson, the American motorcycle manufacturer, said on Monday that it was shifting some of the production of its bikes outside the United States to avoid European Union tariffs imposed as part of a widening trade dispute. The announcement, made in a public filing, is an early sign of the financial cost to companies on both sides of the Atlantic as the United States and Europe impose tariffs and counter-tariffs on each other."

If this tariff comes to fruition, it will be interesting to see how different companies respond. As in the case of Harley, there could be some unintended consequences.

I recently received the following from Pebble Beach, as I suspect some of you may also have. Clearly, the collector car community is worried and right now there is a lot of uncertainty. Trade stuff is so damn complicated and I don't pretend to know one damn thing about it. I'm just going to buckle myself in because the ride may get bumpy!

 

I deal with politics so much in other aspects of my life that I don't want to deal with it on a car forum or when it comes to what has been a decades long hobby of mine...that said, I cannot imagine these new tarriffs and trade wars will endure for very long. There's too much riding on open trade policies between the US and the other major Asian and European economies. So my prediction is this will blow over soon. That said, IF there are sustained tariffs on imported cars, prices will go up initially, which will result in demand (on the new car market) going down, and then prices likely will go down again to attract buyers. The market will correct.

I still think this is a high-stakes game of chicken though. See who is going to blink first.

 

 

Yup.
But which price--wholesale in Germany?, FOB USA?, dealer price? retail?, and if it's an 'early' tax does every middleman increase their margins to cover increased investment?

 

It means there won't be any cars left in Canada!

 

Let's say hypothetically that the 20% tariff happens. If Porsche starts building American market cars in America, how much would that affect your purchase decision? Would you pay 20% more for one made an imported from Germany? Or pay current prices for one made in Ohio?

 

This is an odd question, maybe I'm missing something. Does it actually matter where the car is manufactured? If it's a plant owned by Porsche, built by Porsche, maintained by Porsche to build cars to the same specifications they engineer and deliver in Germany, why should we expect them to be any different at all?

It just seems like it's not a practical strategy for Porsche, unless they're actively trying to expand in the US market, independent of any of this tariff talk. I would imagine these tariffs would have to be essentially set in stone for many years to force their hand to this degree to consider manufacturing cars in the US, unless they already have an initiative to do so. I'm not going to pretend to guess and I have done zero research on the topic, but I think it's a huge stretch to think any of this would come to that unless it was somehow confirmed to be long-term.

 

 

The German automakers have already started they can't survive and are pressuring the EU to drop tariffs on American vehicles imported into Europe Merkel can't block this, as she would be toast. The German economy is powered by the auto industry. EU growth is already slow and would go into recession as American tariffs take hold. My bet right now is the EU blinks and tariffs by both sides are greatly reduced.

 

Lets get a pic of Merkel in a Ford