【By Guancha Observer Network Zhang Jiadong, Edited by Gao Shen】
According to a report by The Washington Post on May 13 local time, data from Kelley Blue Book, released by Cox Automotive, showed that the average transaction price of American cars rose by 2.5% in April this year. This figure is higher than the average increase of 1.1% for the same month over the past ten years.
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The Washington Post reported that the rise in car transaction prices was due to Trump's imposition of a 25% tariff on imported cars in April this year. Although the White House later stated that the car tariffs would not be叠加 with steel and aluminum tariffs, analysts believe that even domestically assembled cars will be affected by rising parts costs.
Due to the uncertainty of tariff policies, demand from American automakers surged in the first three months of this year. Jonathan Smoke, an analyst at Cox, said earlier this month at an industry conference that this short-term buying spree was also a factor driving the continuous increase in car prices since the announcement of the car tariffs. He also mentioned that the prices of non-imported cars are also rising.
Another analyst at the company, Erin Keating, said that American automakers have not yet adjusted their official suggested retail prices, but some manufacturers have made changes in price incentives, which directly increased the final consumer prices when purchasing vehicles. According to past experience, manufacturers' price adjustments generally begin in the summer, and car prices may further increase then.
Ford confirmed this trend in a notice to dealers last week. A company spokesperson said in an email that the price increases for Ford Bronco, Maverick hybrid pickup trucks, and Mustang Mach-E ranged from $600 to $2,000. The spokesperson stated that this price increase was part of the company's normal mid-year pricing strategy and also influenced by tariffs. Even though the increase has exceeded the average level in previous years, he added that "we are not passing on the full cost of the tariffs to our customers."
Karl Brauer, an analyst at American automotive research firm iSeeCars, said that no car manufacturer can accurately know how much new tariffs will cost them, complicating consumers' situations. "If import tariffs are imposed on cars that previously did not have such taxes, price increases will inevitably occur."
Meanwhile, related reports indicate that the cost of tariffs has already been reflected in the financial statements of global automakers. Japan's three major automakers said they expect US tariffs to cost them billions of dollars.
Toyota said at its earnings meeting last week that tariffs in the United States alone would cost the company $1.2 billion in April and May.
Honda said that global trade friction initiated by the United States would cause significant financial damage to the company, resulting in a loss of $4.4 billion in profit for the new fiscal year starting in April, a 70% decrease compared to the previous year.
To counter tariffs, both Toyota and Honda stated that if Trump persists in imposing import tariffs long-term, they may consider increasing production capacity in the United States.
However, compared to Nissan, which reported a net loss in the previous fiscal year and quickly fell into financial crisis, the company announced plans to comprehensively cut costs worldwide and pointed out that due to the uncertainty brought about by potential tariff impacts, it will suspend issuing several financial guidance indicators for the new fiscal year.
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Original source: https://www.toutiao.com/article/7504507983578055207/
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