Trump says he ‘couldn’t care less’ if auto prices rise because of tariffs

[ColdHardTruth]

Anyone still think he is going to reduce inflation "starting day one"? It looks to me like he doesn't care about inflation at all.

A car is one of the most expensive items people buy with the average new car price around $48k. Adding $12k to the sticker price is something consumers will care about, even if Donald doesn't.

https://www.cnn.com/2025/03/29/business/trump-auto-prices-tariffs/index.html

We've been telling the right that he has been lying since day one.

All he does is lie.

 

[Chomsky]

What is the 50% number are you referencing, specifically?

50% (approx) of cars sold domestically are imported.

Online automotive marketplace Cars.com found just over half of new inventory vehicles had their final assembly in the U.S

Source:

Looking for a car that's truly 'made in America'? Good luck finding one.

Trump's auto tariffs are expected to hit virtually all automakers, including American companies that assemble cars in the U.S.

www.usatoday.com

Also,

All told, around 45% of the vehicles sold in the USA are imported,

And not surprising, most "American" cars built here have non-domestic parts, seemingly in the 30-50% mark.

Besides the "45%" number in the excerpt above, this list below also has part-content by vehicle:

How Much Of Your Car Is Really Made In The USA? | Carscoops

A government document provides a detailed account of where cars are made, and some details are surprising

www.carscoops.com

 

[Chomsky]

No the uncertainty is being generated by trump.
He’s the one holding the tariff cards.

Making “ corporations focus on employment resources and supply chain “ instead of the bottom line “??

Sweet baby Jesus. Corporations are always focused on supply chains , employment and resources because these are imprtant to the bottom line.

You think that for a tariff that may be in place for 4 weeks or 4 years they are going to make a major shift in operations with no clear demand as of yet?

Did it occur to you that Americans choose cars on other things other than price?
What if very few people switch to American and simply decide that the value, reliability or
Features of foreign cars outweigh any cost difference?

Ironically, the automakers had to deal with the supply-chain hell that occurred coming-out of the pandemic Trump presided over, to now once again dealing with supply chain disruptions - again under Trump!

 

[Allan]

Ironically, the automakers had to deal with the supply-chain hell that occurred coming-out of the pandemic Trump presided over, to now once again dealing with supply chain disruptions - again under Trump!

The supply chain is going to be a bigly problem. GM, Ford and Stellantis know people won't pay the additional cost that parts tariffs impose. In addition steel and aluminum are about to cost them 25% more.

So rather than assemble cars that won't sell they'll shut down plants until this is over. I think we'll see that happen quite quickly in all three countries. With the 'just in time' system they don't have inventory to fall back on.

 

[Chomsky]

And I worked in the auto manufacturing supply chain (auto was one line of business…healthcare, beauty, consumer products, construction…other lines)

They are SKILLED jobs. Were there some low skill? Yes. We tended to utilize temp to hire and temp agencies to fill those jobs…and they had (obviously) the lowest pay rates, highest turnover and were the first that we flexed up/down as necessary and as even slight market changes indicated. They were the most expendable

The majority of the FTEs were highly skilled and possessed bachelors/specific training - if not advanced degrees.

I also had a client in chip manufacturing - again - SKILLED manufacturing.

Manufacturing is no longer a field for your high school graduates (or high school drop outs). Those days are gone.

And MY personal experience in those industries is close to a decade old. Those companies are leaner and even MORE highly skilled now with fewer FTE headcount

Agreed. Manufacturing is moving from skilled labour, to technology and skilled technologists.

I at times apply my stock-in-trade to the manufacturing industry, and am seeing exactly what you are. And make of it what you may, in the last place I helped-out Spanish was the predominate spoken language of the factory floor. Not for casual conversation, but for actual work-involved communication!

For better or worse, this implied a preponderance of unskilled or low-skilled newly arrived immigrant labour - and that's exactly what I found.

So yes, America's factory floors are a changin'! Both in technology, and in the labour deployed.

 

[NuffSaid]

Not by 25%

Prices going up any percent is still not what Trump promised.

Trump - prices down, Kamala - prices up

 

[Chomsky]

Case studies my ...

The economic reality is that with factories in the USA comes decent paying work,

and unionization opportunities to preserve worker rights.

With decent paying work also comes not only the ability to make more purchases, but also afford homes, the ability to increase savings, and to fund marriage and family.

Why do you think any of the other nations who've had those tariffs and value added taxes did so? To prevent American competition in their home markets. To lead citizens to buying products and increase gainful employment thereby in those home nations.

Trump is simply showing he recognizes this economic reality, and he is willing and able to use those same techniques, in his case only in favor of the USA.

Possibly in automotive, even though I think you're optimistic of union participation in many of the newly auto built facilities.

My stock-in-trade brings me into contact with manufacturing concerns on occasion, and I can assure you my most recent manufacturing client (in a high-tech industry!) did not have the labour-force you mentioned. The factory-floor workers started at a bit above the local minimum wage, worked under difficult conditions, and enjoyed what I would describe as a less than optimal quality of life.

The office and supervisory & professional/technology staff were for the most part educated, Caucasian, white collar, and reasonably well paid.

Whereas the factory floor labour was generally Hispanic, less-educated, low-skilled or unskilled, and often lacking in the ability to speak English.

It was a juxtaposition I expected to some point, but was shocking as to the degree.

So not all manufacturing in America is the panacea some believe it will be.

 

[iguanaman]

Big whooooop!

These tariffs won't last no matter how much liberal bedwetters want to squawk about it.

In the meantime, buying a nice used car/truck from a reputable seller is often a better choice due to the lower taxation, registration fees, and insurance.

Used car prices will also rise...probably more the new cars that people can no longer afford.

 

[iguanaman]

Case studies my ...

The economic reality is that with factories in the USA comes decent paying work, and unionization opportunities to preserve worker rights. With decent paying work also comes not only the ability to make more purchases, but also afford homes, the ability to increase savings, and to fund marriage and family.

Why do you think any of the other nations who've had those tariffs and value added taxes did so? To prevent American competition in their home markets. To lead citizens to buying products and increase gainful employment thereby in those home nations.

Trump is simply showing he recognizes this economic reality, and he is willing and able to use those same techniques, in his case only in favor of the USA.

So how are American workers going to be able to pay their mortgages when they are laid off? VAT taxes are added to all goods not just imports and they pay for things like free healthcare and free college. Is Trump going to give us all free healthcare and college with that tariff money?

 

[Chomsky]

The thing is, trade channels that took decades and even a century to build are being destroyed. When that happens, others move in to fill the gaps. Just as countries in SA have filled in China's grain demands, pretty much replacing the US. EVs from China just got a lot cheaper with Trump's trade wars.

Exactly.

Vehicles from other countries just got cheaper to sell outside of America.

Our wealth was not built by buying stuff from each other, but from selling stuff to others than ourselves.

 

[Chomsky]

Only about 7-8% of Americans work in manufacturing.

Automation and technology has advanced to the point where even GLOBALLY, the percentage is only like 10% total with higher percentages in pockets. It is NOT the job market it once was and the people having manufacturing jobs are changing.

Blue collar manufacturing is dying.

Why are we chasing a dying industry? The future of employment for our population is NOT in having people making widgets. It’s never going to produce the volume of jobs necessary. That’s OVER. Done. Hang onto what we can for those who still rely on it - but let’s face the music.

Our problem isn’t a lack of onshore manufacturing for the sake of economic opportunity for workers.

That mindset is outdated. Robots and automation do the bulk of the jobs. And that’s not going to change….its going to get worse.

Do we need certain capabilities for the sake of national security? Yes.

But you don’t punitively tax (via tariffs) your entire population chasing a magical unicorn that doesn’t exist. The days of John Average American working a manufacturing job with a high school diploma and living a middle class lifestyle are gone.

Hear! Hear!

 

[Chomsky]

The thing is not everyone can become a STEM employee. Those 68,700,000 individuals are going to need more than just a ubi. That said, we all need a reformed welfare that gives everyone the same amount regardless of their resource(s) or work credits. America should be the first to implement ubi.

Well, that day is going to come. And the path between now and then will be painful.

I'd like to see a minimal UBI + Universal healthcare, in lieu of most means tested social assistance. That's pretty much all we need.

 

[Chomsky]

I agree with you................I don't care for Trump or his tariffs, but I back him 100% on the USA being being more self reliant on resources.

These useless whiny assed American liberals want other countries to tear up their lands for minerals so they can feel all touchy feely about themselves.

I believe you're in error. The bolded was Trump's mandate to Ukraine.

 

[iguanaman]

Exactly.

Vehicles from other countries just got cheaper to sell outside of America.

Our wealth was not built by buying stuff from each other, but from selling stuff to others than ourselves.

Actually the postwar boom and the rise of the great middle class was internal and not through exports which came later. Europe was decimated and broke from the war and we actually gave them handouts to rebuild themselves. That is no longer possible since we slashed the taxes on the highest bracket and corporations no longer pass any of the increased profits on to the workers. FDR created a Goldilocks economy for workers by stopping business owners from pocketing most of the profits. That all ended with Reagan and the middle class has been faltering ever since.
But you are right about exports being vital to our economy today like it is for every nation.

 

[Chomsky]

Invest millions in a new factory when trump can change his mind over night?
No responsible business would risk that.

Nor would the Board sign-off on it.

 

[Chomsky]

My best friend just bought her 16 year old son a very nice, used, Subaru. The old owner wanted one with better and more up to date technology and her son is very happy to have a snazzy little Subaru to zip around in. Doesn’t matter to him that it doesn’t have all the bells and whistles of 2025. (I think it’s a 2016? That thing will run reliably and safely for him for years to come)

Trust me, if it has a motor and wheels - a 16 yo boy will be thrilled to joy!

 

[slavablueberryjam]

Well, that day is going to come. And the path between now and then will be painful.

I'd like to see a minimal UBI + Universal healthcare, in lieu of most means tested social assistance. That's pretty much all we need.

Yes, minimal UBI to make sure everyone has a house, with good plumbing and electricity. And, have enough to spend on 'goods', but not so much they will be spending on everything.

 

[Chomsky]

Navigation systems have probably saved a few marriages as well.

"Sweetie if you tell me about the turn 1/2 km AFTER the intersection one more time we're going to be a Dateline episode" conversations are a thing of the past.

Sad to say, I've never had a relationship with a partner that could adequately ride shotgun.

From the time my boy entered his early teens, he got shotgun and SHE got the backseat! Form follows function, you know!

 

[Chomsky]

The supply chain is going to be a bigly problem. GM, Ford and Stellantis know people won't pay the additional cost that parts tariffs impose. In addition steel and aluminum are about to cost them 25% more.

So rather than assemble cars that won't sell they'll shut down plants until this is over. I think we'll see that happen quite quickly in all three countries. With the 'just in time' system they don't have inventory to fall back on.

Possible.

You may hear talk to appease Trump, but I don't see automakers making really big decisions until the next administration.

 

[Chomsky]

Actually the postwar boom and the rise of the great middle class was internal and not through exports which came later. Europe was decimated and broke from the war and we actually gave them handouts to rebuild themselves. That is no longer possible since we slashed the taxes on the highest bracket and corporations no longer pass any of the increased profits on to the workers. FDR created a Goldilocks economy for workers by stopping business owners from pocketing most of the profits. That all ended with Reagan and the middle class has been faltering ever since.
But you are right about exports being vital to our economy today like it is for every nation.

Yes, this is true as to how it was postwar, and how it is today.

I could have defined the timeframes better.

 

[jaeger19]

Ironically, the automakers had to deal with the supply-chain hell that occurred coming-out of the pandemic Trump presided over, to now once again dealing with supply chain disruptions - again under Trump!

Well we know MAGA doesn’t understand the economy.

I figure the goal here is to push the economy back into recession, increase unemployment, decrease the price of stocks.

By doing so , he will undo the recent wage gains in the middle and lower class. And he will undo the current power held by the employee in a growing economy with fewer workers.
It will allow the hedge fund managers to do stock buybacks with low stock prices.

Elon doesn’t pay taxes because he borrows against his stock so people loan him money based on the value of the stock and now he could conceivably pay off his “ loans” easier now that his stock is down.

Most people unless laid off will be happy with a recession. They will be paying less for products and services. They aren’t going notice their wages stagnating.

And with the economy in recession there will be great support for another giant tax break that helps the billionaires and multilmillionaires

 

[Chomsky]

Yes, minimal UBI to make sure everyone has a house, with good plumbing and electricity. And, have enough to spend on 'goods', but not so much they will be spending on everything.

I wouldn't go that far. My vision of UBI would be basic sustenance eliminating social assistance.

We still need to focus on individual capital enterprise. I want UBI to only be a safety-net for those that may otherwise slip through the cracks.

 

[Ethel2]

This is what you get when one takes a snippet of a conversation out of context...and then engages in spin, speculation, innuendo and hyperbole.

And is what you get when a poster worships the sex offender no matter how egregious his behavior.
There’s no other way to explain “I don’t care if car prices go up” than he doesn’t give a shit about anyone but himself. HE can afford new cars. For most people it’s going to be a struggle.

 

[BirdinHand]

I wouldn't go that far. My vision of UBI would be basic sustenance eliminating social assistance.

We still need to focus on individual capital enterprise. I want UBI to only be a safety-net for those that may otherwise slip through the cracks.

I’d meet in the middle.

I think we are going to need to guarantee basic housing, basic needs, universal healthcare and a bit of dignity, etc.

The more and more technology advances, the fewer people are going to have the smarts and skills to actually hold meaningful productive jobs.

 

[Ethel2]

"Likely".... We shall see. And only $3,000? Oh the horrors. .....

Dealerships mark down more than that as often as Biden takes liver pills.

Add that $3000 to inflation, cost of groceries, housing, even your plumber….and those on the edge are going to go underwater.
Let’s just hope they all vote their conscience.