Trump calls for 100% tariffs on cars made in Mexico as part of US manufacturing plan

[Eugene]

Trump calls for 100% tariffs on cars made in Mexico as part of US manufacturing plan (Associated Press)

SAVANNAH, Ga. (AP) — Donald Trump on Tuesday pledged to stop U.S. businesses from shipping jobs overseas and to take other countries’ jobs and factories by relying heavily on sweeping tariffs to boost auto manufacturing — despite warnings that domestic consumers would pay more and a lack of specifics about how his plans would work.

“I want German car companies to become American car companies. I want them to build their plants here,” Trump declared during a speech in Savannah, Georgia.

Trump added that, if elected, he’d put a 100% tariff on every car imported from Mexico and that the only way to avoid those charges would be for an automaker to build the cars in the U.S.

His ideas, if enacted, could cause a huge upheaval in the American auto industry. Many automakers now build smaller, lower-priced vehicles in Mexico — facilitated by a trade agreement Trump negotiated while president — or in other countries because their profit margins are slim. The lower labor costs help the companies make money on those vehicles.

https://apnews.com/article/trump-foreign-companies-investment-cb60395d632e7eaa2a398abcf616d1be

[MichMan]

1. The claim in the OP that the vehicles built in Mexico are those with low profit margins is mostly false

Many automakers now build smaller, lower-priced vehicles in Mexico — facilitated by a trade agreement Trump negotiated while president — or in other countries because their profit margins are slim. The lower labor costs help the companies make money on those vehicles.

General Motors builds full size Chevrolet and GMC pickups there as well as the Terrain & Equinox SUV.

Ford builds the Bronco Sport and Maverick pickups in Mexico.

Stellantis builds Dodge Ram full size pickups in Mexico

Toyota builds Tacoma pickups in Mexico.

Those would be some of the most profitable vehicles they sell. There are some other models produced there that need low cost labor to be profitable, but the majority built there are already quite profitable, regardless.

[Self Esteem]

4. "Many automakers now build smaller, lower-priced vehicles in Mexico..."

Nothing you said indicates that line is false lmao

Unless you have info that suggests "many automakers" don't build smaller, low-priced vehicles in Mexico, it's you whose info is false.

The article never said only low-priced, smaller vehicles are built in Mexico - just that many automakers build them there.

[MichMan]

5. Specifically mentioned to give the deceptive impression that the low cost of labor was necessary for profitability.

The examples I listed clearly are not in that category as they are some of the most profitable vehicles that are sold, period. Have you looked at the sticker prices of a Chevrolet Silverado, Dodge Ram or Toyota Tacoma?

I've worked in manufacturing my entire working career for auto suppliers in small towns who are trying to pay people decent wages, while having to outbid competitors with plants in China and Mexico, and losing out. I don't believe in corporations building things in third world countries paying sub standard wages while American's are expected to be content working at Wal Mart. Who cares where something is made as long as it is cheaper, right?

Others don't care as it isn't their jobs that are at risk. Maybe those who work from home will get a wake up call when their employer outsources their job to people in other countries. If all one needs to perform a job is a computer, phone and internet, lot of people in other countries could work from home for a lot cheaper wages.

[Self Esteem]

6. You said the claim was false. You were wrong.

You can still go back and edit your post BTW.

Nothing in that line you highlighted was false.

[MichMan]

7. I edited it to say mostly false

[Prairie Gates]

2. Truly amazing that the radical free enterprisers are silent at this

Are they taking Trump seriously, literally, or neither?



Where are the Milton Friedman types and the Chicago school geniuses?

[SKKY]

3. Elon is not going to like this one bit.

Not that I care. Just making an observation.