[NickyC]

Most new cars now are already ridiculously overpriced, loaded with bloat and things I don't need. Even thinking about adding another 25% on top of what we have right now is insane to think about.

If buying new, Tesla is becoming the only realistic option at this point.

[DrVenture]

Originally Posted by ASAP

a tarriff does not go directly on the retail price of the product but rather the import cost... you would not see a 25% price increase... imho likely what would happen is maybe a 15% increase in cost of which BMW would perhaps have to cover 5%... so maybe a 10% increase in price... but none of us have any idea how BMW does accounting or what their import costs are... point being, you will never see a 25% increase in price related to this

Correct, a tariff is applied to the declared wholesale price. If the car's MSRP is $75K, and the invoice price is 10 -15% less, then 10-15% less than 25%. So, a 21.25 - 22.5% tax (tariff) against MSRP. Whether or not a manufacturer or dealer absorbs any of that remains to be seen. Many have stated that they will not.

Even if the end result were a 15-20% increase in price, that is a hefty tax increase. What could make matters worse is if there are reciprocal tariffs on our exports. That would hit multinational exports hard and hurt profits of many Dow and S&P companies, putting the hurt on people's perceived wealth, I.e. - 401Ks.

You would then not to have to be buying anything to take a solid hit. Retirees would feel quite the pinch. People were pretty upset over inflation that never hit anywhere near those levels, and that was despite the stock market remaining positive. Drops in stock prices and sales is followed very quickly by companies shedding workers. We are at the point where idealism meets reality.

[DrVenture]

Originally Posted by NickyC

Most new cars now are already ridiculously overpriced, loaded with bloat and things I don't need. Even thinking about adding another 25% on top of what we have right now is insane to think about.

If buying new, Tesla is becoming the only realistic option at this point.

Almost as if someone planned it that way.

It is not unrealistic to project 20% increase on many imports, a stock market correction, an upsurge in inflation and a return to higher interest rates. All for the greater good, ya know. Give the people what they want.

[kudos]

Originally Posted by DrVenture

Almost as if someone planned it that way.

It is not unrealistic to project 20% increase on many imports, a stock market correction, an upsurge in inflation and a return to higher interest rates. All for the greater good, ya know. Give the people what they want.

Isn't it interesting that as soon as Elon built a Tesla factory in China that BYD really started taking off?

[Mavus]

Originally Posted by NickyC

Most new cars now are already ridiculously overpriced, loaded with bloat and things I don't need. Even thinking about adding another 25% on top of what we have right now is insane to think about.

If buying new, Tesla is becoming the only realistic option at this point.

no not really … for many that option does not work. I would get Toyota or Mazda if need be but not that pile of crap. There is a reason why Toyota is #1

[mvigod]

I wonder if BMW could sell their cars for MUCH less to BMW NA in order for the tariff applied to be very small. So instead of a 80k invoice make it 20k so the tariff dollar amount is 1/4 of what it would be. then just sell the car from BMW NA (the importer) to the dealers at the "normal" invoice price they would have anyway plus the smaller tariff or portion thereof. Is this a workaround?

[DrVenture]

I don't know if customs would fall for that ruse. But there are many currently seeking workarounds, such as front-loading inventory or new suppliers. Both have additional expenses, such as warehousing and even QC issues. A lot of time/effort is already going in to re-jiggering supply chains - that translates to higher costs, as well. As we saw a few years ago, disrupting supply chains is expensive. As is manufacturing domestically with significantly higher wages/benefits. Maybe automation eliminates some workers, but automation is expensive too. Besides costing blue-collar jobs, it can require more expensive labor for engineering, design, software, energy and repair/maintenance.

[NickyC]

Originally Posted by Mavus

no not really … for many that option does not work. I would get Toyota or Mazda if need be but not that pile of crap. There is a reason why Toyota is #1

I would certainly be open to purchasing a Toyota. They were the last cars I’ve owned prior to my uninterrupted BMW purchases since 1998.

With that being said, which current new Toyota offers the same performance as a G80 CS at half the price?

[Mavus]

Originally Posted by NickyC

I would certainly be open to purchasing a Toyota. They were the last cars I’ve owned prior to my uninterrupted BMW purchases since 1998.

With that being said, which current new Toyota offers the same performance as a G80 CS at half the price?

the question by op was re “bmw” … why are you bringing in g80 into the discussion? we all know very well that Miata is always the answer or you may consider zupra

[M3Sleeper]

Media is spreading fear and panic right now about Trumps tariffs. Let's look at all the positives in the market and let's remember 5-6 years ago what the USA was like.

With that said it's difficult to say at this point and nobody has a clear line of sight.

I would contact your BMW rep and see what they say. Surely corporate is discussing this and they should be able to respond and reassure you.

I just got my 2025 but I would not pay 25% I would cancel and buy a low mileage Preowned even if you put a deposit down I'm sure it would still be way better financially,

If you own a business you should be able to take deductions that's what I do. If not hang in there and wait while communicating with BMW

Good luck on the new pick up

[afadeev]

Originally Posted by zvez

And yet he's using c17s to transport a few dozen immigrants instead of chartered jets which would be tiny fraction of the cost, wants an iron dome missile system, his first term he massively ballooned the deficit. Explain how this is fiscal conservatism?

It isn't.
It showmanship politics.

Originally Posted by KevinC

Tariff won’t happen, or if it does, will quickly be negotiated to oblivion.

Great, so just transient disruption to the economy and American status in the world. So relieved.

Originally Posted by X5MnM3comp

However, even if it was a leverage to negotiate some deal, I would still expect car prices to increase a bit.

The uncertainty about US economic policy and leadership will produce a hit on economic growth from discruption to corporate planning and investment cycles.
Never mind the trade and demand descruption from 25% tax on imported goods and materials.

Not to worry - the Muppet will find someone else to blame for the disruptions!

Originally Posted by KevinC

This is Trump the businessman negotiating, and he doesn’t want to kill the economy either.

As a C- transfer student to UPenn, there is no evidence that he has a clue what impacts to the economy his actions are producing.

As long as his actions get the headlines and generate traffic on Twitter, it all that matters.
When that fails - Muppet will dial up the blame-game.

Originally Posted by BMWbiker

I made sure to complete my purchase last year for this very reason.

Same here.
Good for the next few years.

Not awesome, but it is what it is.
a

[NickyC]

Originally Posted by Mavus

the question by op was re “bmw” … why are you bringing in g80 into the discussion? we all know very well that Miata is always the answer or you may consider zupra

My thought was if BMW increases the prices of their cars 25% due to tariffs, really only the option for performance minded people at a decent price is Tesla. The Model 3 Performance matches the G80 CS in performance for basically half the price (never mind the Plaid). I would consider a Toyota model at that price, but nothing they have even comes close to that performance which I'm aware of.

[DrVenture]

Originally Posted by NickyC

My thought was if BMW increases the prices of their cars 25% due to tariffs, really only the option for performance minded people at a decent price is Tesla. The Model 3 Performance matches the G80 CS in performance for basically half the price (never mind the Plaid). I would consider a Toyota model at that price, but nothing they have even comes close to that performance which I'm aware of.

That would be ironic if this caused diehard ICE buyers to flee for EVs, lol. If you want AWD and high HP in a sedan, the options do seem to be German and EVs though.

[NickyC]

Originally Posted by DrVenture

That would be ironic if this caused diehard ICE buyers to flee for EVs, lol. If you want AWD and high HP in a sedan, the options do seem to be German and EVs though.

I was thinking that too!

[X5MnM3comp]

Originally Posted by M3Sleeper

Media is spreading fear and panic right now about Trumps tariffs. Let's look at all the positives in the market and let's remember 5-6 years ago what the USA was like.

With that said it's difficult to say at this point and nobody has a clear line of sight.

I would contact your BMW rep and see what they say. Surely corporate is discussing this and they should be able to respond and reassure you.

I just got my 2025 but I would not pay 25% I would cancel and buy a low mileage Preowned even if you put a deposit down I'm sure it would still be way better financially,

If you own a business you should be able to take deductions that's what I do. If not hang in there and wait while communicating with BMW

Good luck on the new pick up

Trump in a news conference when asked about the possibility of tariffs on EU, his answer was yes. It was aired on tv not said by a reporter or stated in an article. 5-6 years ago was when 25% tariff was first imposed, since then the inflation hasn’t stopped rising.

[Mavus]

Originally Posted by NickyC

My thought was if BMW increases the prices of their cars 25% due to tariffs, really only the option for performance minded people at a decent price is Tesla. The Model 3 Performance matches the G80 CS in performance for basically half the price (never mind the Plaid). I would consider a Toyota model at that price, but nothing they have even comes close to that performance which I'm aware of.

ok yeah different question re perf cars for sure as to me perf includes reliability and durability

this whole question re 25% price increase on vehicles will never happen and is non sense cause it doesn’t work like that with supply chains … it will impact certain parts and suppliers and may increase the price by 1 or 2% for certain models. some of it will be absorbed by manuf and some by suppliers and some by consumers

[BMWCCA1]

Originally Posted by BlkGS

BMW's best products are built in Spartanburg anyways...

I understand sarcasm, but that's a pretty bold statement to post here among many who still think only no SUV can ever be considered a real BMW.

[Josh-PA]

for anyone with a BMW on order (myself included), your price should be locked in when your order was placed. I validated that today with my sales advisor.

[mvigod]

Polls so far I've taken asking about tariffs across brands:

Porsche Cayman Poll (not across the entire brand): 61% would cancel. 39% would keep order

Ferrari (entire brand lineup): 80% would cancel. 20% would keep order

BMW(entire brand lineup): 79% would cancel. 21% would keep order

It is interesting how close Ferrari and BMW were in this poll among those who ordered vehicles with both sitting at about 80% cancellation. Porsche (I polled Cayman buyers only, not the full brand lineup) sits at 61%. I have to run a full brand poll on Porsche to see if it changes. I suspect it probably will rise closer to 80% once it includes their SUV's

Either way, this tells me that if tariffs are placed on the EU, the auto market & everything connected to them in the EU and the USA will suffer a great deal.

If the tariff drops below 25% I'd imagine the 80% would decrease along every 5% reduction as price elasticity would change. By the same token, I would expect it to rise higher if the tariff extended beyond 25%.

[DrVenture]

Originally Posted by Josh-PA

for anyone with a BMW on order (myself included), your price should be locked in when your order was placed. I validated that today with my sales advisor.

That suggests a vehicle that has yet to pass customs will be exempt. Not sure that I would consider a sales advisor the final word on that, but maybe BMW is planning to eat the tariff on orders already in the system.

[Blue Sky]

I skipped on Individual paint extra delay to try to get delivery as soon as possible. Currently it's sitting at the port of origin, so as I predicted when placing my order right at Election time, the race is on to see if I can get it before some (even if temporary) tariff is levied.

I too have wondered if BMW might isolate me from the increase considering that I ordered months ago, but BMW has had a hard time economically the last couple years from a number of problems, so realistically, I don't see them doing anything heroically nice to me like eating the increase in any way. No, essentially a new ADM is likely, which of course also means instant big time depreciation if selling during the next administration.

BMW has said some words about upping the production in Spartanburg in case of tariffs, but I don't see sedans or M cars suddenly coming out of that plant, the only BMW products I would consider buying. And having previously bought a new Corvette assembled in Bowling Green, KY, I for sure don't want a M car that isn't assembled in Germany.

[DrVenture]

Originally Posted by Mavus

ok yeah different question re perf cars for sure as to me perf includes reliability and durability

this whole question re 25% price increase on vehicles will never happen and is non sense cause it doesn’t work like that with supply chains … it will impact certain parts and suppliers and may increase the price by 1 or 2% for certain models. some of it will be absorbed by manuf and some by suppliers and some by consumers

What you are saying may apply to individual items/parts shipped here for assembly. But, a finished vehicle from a country subject to tariffs will be assessed the full amount. Whether or not any business chooses to absorb the added cost is yet to be seen. Let's be clear, if BMW "eats" it, that means their investors eat it. Lost profits have repercussions.

In 2023 the U.S. imported almost $600 billion in goods from the EU. The point is to make it hurt, not for it to make no difference. Consumers are losers in trade wars.