Feb. 20, 2019
Beltway Talk Podcast: Dealers Respond to 232 Tariff Threat
On the latest episode of AIADA’s Beltway Talk Podcast, we sit down for a quick interview with AIADA President & CEO Cody Lusk to discuss tariffs, national security, and why dealers need to care about it. With auto imports in the cross hairs, international brand dealers have every reason to be concerned. Lusk has the background on what’s happening, and some tips on what dealers can do to prepare for what comes next. Click here to listen. And after that, you’ll want to click here to register for AIADA’s Washington D.C. Fly-In, where you can make your voice heard on government policies that impact your bottom line.
US Automakers to Trump: Don’t Slap Tariffs on Imported Cars
America’s auto industry is bracing for a potential escalation in President Donald Trump’s tariff war with the world, one that could weaken the global auto industry and economy, inflate car prices and trigger a backlash in Congress. Late Sunday, the Commerce Department sent the White House a report on the results of an investigation Trump had ordered of whether imported vehicles and parts pose a threat to U.S. national security. According to the AP, Commerce hasn’t made its recommendations public, and the White House has so far declined to comment. If the administration imposed 25 percent tariffs on imported parts and vehicles including those from Canada and Mexico, the price of imported vehicles would jump more than 17 percent. Luxury brands would absorb the sharpest increase: $5,800 on average. Dealers who sell German and some Japanese brands would be hurt the most by the tariffs. The American International Automobile Dealers Association this week called the Commerce Department’s investigation “bogus.” For the full story, including predicted SAAR reduction and layoffs if tariffs are implemented, click here.
Supercars That Will Still Put a Big Dent in Your Wallet but Not Drain It
If you fell asleep beneath a Lamborghini Countach poster on your bedroom wall or thought Thomas Magnum’s red Ferrari 308 GTS was the best part of the original “Magnum P.I.,” the New York Times has some good news: You might be able to afford a new supercar. And you might find it sharing showroom space with a family crossover. Modern engineering and materials have given automakers the ability to create performance vehicles with capabilities unheard-of 20 years ago. In today’s dollars, that circa-1985 Countach would start at $325,000. A car that’s infinitely more capable and better engineered can be had for half of that — obviously not inexpensive, but down from the stratosphere. Walk into an Acura dealership and a brand-new NSX can be yours for $159,300, excluding those pesky taxes and licensing fees. It fully looks the part of a supercar, with aluminum and composite body panels draped alluringly over a chassis composed of aluminum, carbon fiber and ultra-high-strength steel. Another hybrid is the BMW i8. It has the scissor doors of the Countach but loses three-quarters of the engine cylinders. For the full list of semi-affordable super cars, click here.
Opinion: Bad Policy, Worse Political Strategy on Auto Tariffs
The Trump administration has gotten itself so far out on a ledge over auto tariffs that it's struggling to find a way to crawl back to political safety. But, writes Eric Kulisch in Automotive News, we've seen this movie plot before, haven't we? The auto tariff fight isn't so different from the border wall fight, except that it's even more one-sided. There's Trump (and adviser Peter Navarro) — and there's everybody else. But here we are, on the brink of punishing tariffs, on national-security grounds, that could do upwards of $83 billion worth of damage to the economy by some estimates. All because the author of Trump: The Art of the Deal has backed himself into a corner again. American consumers can pay that price, or stay on the sidelines, which would hurt sales and the jobs that depend on them. And those job losses will be felt in every congressional district around the country. For the full opinion piece, click here.
Toyota Prius C to be Cancelled in Favor of 2020 Corolla Hybrid
The Toyota Prius c is in its last days. Toyota has confirmed to Autoblog that its smallest and cheapest hybrid, on sale since 2012, will be leaving the line-up to make way for the slightly larger and more frugal 2020 Toyota Corolla Hybrid. A Toyota spokesperson confirmed earlier reports and added that 2019 Prius c stock is already limited, with approximately 700 left in stock. "The transition to Corolla Hybrid (should be) in the next couple of months." Toyota had already reduced the number of Prius c trim levels for 2019. The 2020 Corolla Hybrid is going on sale this spring, and its fuel economy figures were released earlier this month, with an estimate 53 mpg city, 52 mpg highway and 52 mpg combined. That's comparable to most trim levels of the regular Toyota Prius, whereas the Prius c can "only" manage 48 mpg city, 43 mpg highway and 46 mpg combined. The negative reaction to the current Prius' styling could certainly play a role in the decision to provide a more conventionally styled Prius alternative. For more on Toyota’s plans, click here.
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Survive The Zombie Apocalypse In Luxury With This $263K Rhino GX [Car Scoops]
11 Off-The-Wall Motorcycle Laws For 2019 [MSN]
The Toyota Alphard Is the Opulent Luxury Minivan the Rest of the World Needs [Jalopnik]
Honda Recalling 100,000+ Ridgeline Pickups for Carwash Sensitivity [Car & Driver]
