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They already are. In addition it’s precisely because of tariffs (of which there have been many on cars and SUVs long before all this) that we have tons and ton
by CPLX 2y ago
They already are.
In addition it’s precisely because of tariffs (of which there have been many on cars and SUVs long before all this) that we have tons and tons of foreign brands actually building cars in the US.
- chrisandchris 2y agoI think that doesn't answer the question parent asked. Do European car makers build in the US? Yes. Is that going to change? I don't think so. Do US cars sell good in Europe? No. Is that going to change? I don't think so too.
- CPLX 2y agoHave you been to Europe? There are American cars everywhere, though yes they don’t sell as well there as European cars do here. > Europeans don't tend to buy American cars because… Wait until you realize that the EU tariff on American cars has been 4x the US tariff in EU cars for awhile.
- gls2ro 2y ago> Wait until you realize that the EU tariff on American cars has been 4x the US tariff in EU cars for awhile. Can you share the specifics of this lets say end of 2024? I could find for example: EU has 10% on cars from US while US has 2.5% in general and 25% on pickup trucks. Important to note in USA the pickup trucks market is the biggest one vs mid size being the biggest one in EU. When looking at it it seems to me that both entities wants to protect their biggest markets: EU with only 10% protecting midsize and USA with 25% their pickup trucks.
- xorcist 2y ago> Wait until you realize that the EU tariff on American cars has been 4x the US tariff in EU cars for awhile. That's a simplification beyond what's truthful. Import taxes are different on different types of cars, both in the EU and the US. There's certainly some type of car where the above is true, maybe some type of gas guzzling pickup truck or something, but over the total amount of sold cars it is not. Trade-weighted differences simply aren't that great, which is not a coincidence because a) both the US and the EU are developed economies which are likely to benefit from free trade, b) taxation works in nudging the market what to buy which evens out the differences further, and c) we have had trade agreements where this was an explicit goal.
- chrisandchris 2y agoI actually live in the heart of it. Yes, there are US cars here but maybe 1 out of 10 is American in my local and wider area. People tend to buy German, Swedish or French cars here. > Wait until you realize [...] Well, I won't buy am american car (maybe a smaller ford, but not the typical US car) because where I live you won't bring them into most parking lots, and for sure not in parking building. Especially in cities many of them are narrow even with typical EU cars.
- CPLX 2y agoYou have cause and effect backwards. Cars aren’t some static thing that you grow on trees and sell, where like American trees grow bigger cars. The question you should be asking is why American manufacturers don’t target the EU market more aggressively and make cars that fit the formats Europeans buy. It’s not the only reason but an absolutely crucial factor is that EU states protect their domestic auto industry via tariffs and industrial policies/subsidies.
- jeeeb 2y ago> It’s not the only reason but an absolutely crucial factor is that EU states protect their domestic auto industry via tariffs and industrial policies/subsidies. The same is true for America.
- rsynnott 2y agoIn practice, the only significant American brands in Europe are Ford and Tesla. Ford has long designed cars specifically for the European markets (their big sellers are very different in Europe and in the US, and many of their European big-hitters are not even available in the US), and Tesla, of course, isn’t doing so great these days. (GM also used to have a couple of European brands, but again they were rather different to GM’s big US sellers.)