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The Big Three (GM, F, FIATY.PK) automakers are lobbying hard for continued tariffs on Japanese...

The Big Three (GM, F, FIATY.PK) automakers are lobbying hard for continued tariffs on Japanese cars, according to Nikkei. The existing import tariffs in the U.S. on Japanese automakers (TM, HMC, NSANY.OB, MZDAY.PK, SZKMY.PK) have been a key negotiating point in recent trade talks and proposed agreements.
Comments (2)
  • Michael Bryant
    , contributor
    Comments (5369) | Send Message
    And it is funny that (TM) and (HMC) vehicles are mostly made in America, while 70% of (F) cars are made in Mexico.
    14 Jun 2013, 07:04 PM Reply Like
  • Tdot
    , contributor
    Comments (3453) | Send Message
    Michael - time for some Fact Checking...


    Year-to-date through May, Ford sold 28,801 Fiestas and 136,833 Fusions in the US that were built in Mexico, along with 11,260 Lincoln MkZ cars, for a total of 176,894 out of 377,377 total cars sold in the US.


    That is 47% of Ford's cars, and 17% of the 1,057,652 vehicles including trucks and utilities. Where does your 70% come from? Calculate much?


    Ford is also bringing a significant percentage production of the Fusion and MkZ to the US starting this summer in Flat Rock, Michigan, where Mustangs are made.


    Mexico is considered North America, just like the US and Canada. NAFTA makes the trading partners equals, with zero tariffs.


    The Toyota and Honda cars made in the US are built in non-union transplant factories in poor, underemployed southern states with huge tax concessions and cash incentives (bribes) funded by taxpayers to stay there, for half the wages and benefits for workers; and all the extra profits from that cheap labor go to Japan. Is that a concern?


    In any case, Japan's automotive market is totally closed by onerous Japanese laws to virtually any imports of vehicles, and to any manufacturing there by any foreign automakers. Japan places huge tariffs on importation any "foreign" automobiles or local manufacturing by "foreign" automakers. It is not a level playing field. Japanese automakers are able to reap huge profits in their home market, and doubling down in the US market, while openly denying any US automaker participation in that home market. That is why US automakers are concerned.


    By the way, the exact same situation applies to the Korean automakers and the South Korean government as well.
    14 Jun 2013, 08:12 PM Reply Like
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