That's a key reason I bought 2 Teslas. Made right up the road from me, maybe 15 miles. I used to work across the freeway at Lam Reaearch. The workers were important to me; the CEO, not so much.
Car prices to rise due to tariffs and certain vehicles possibly ...
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4WD
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Doubt no thought at all was put into this.
You would not know that.
Consider my post #59 for a possible scenario...
Maybe but the market has already found out how to make parts as efficiently and cheaply as possible and if that place wasn't here before the tariffs, it means it was more expensive to make it here and that means it will be more expensive to make them here.
Exactly. Sales tax, sin taxes and fees are all regressive and impact the average person harder than the 1%. In America a speeding ticket is supposed to punish the offender. Who gets punished more with a two hundred dollar fine? A kid making minimum wage or someone well off? . Finland, for instance, has “sliding-scale penalties” for traffic offences and tickets are linked to salary. So the kid would be fined $100 and the well off individual may pay $100,000.
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In Houston there is opportunity for more sin tax. Guys with $100k F250’s who only pull an ATV to the deer camp at a ridiculous speed on I-10 … (yes, I know them personally)
Depends. Micron and if you still count Intel's front end is still in the US to some extend.
The reason for TSMC, Samsung, Hynix, Toshiba / Kioxia success is not because labor is cheaper there but they are less wall street dominated in operation. Intel is a true example of when you let the finance and sales guys started running it they turn into a dividend company who paused investment and focus on being a monopoly milking every penny.
The other guys mentioned above, even the fabless US chip companies like Qualcomm and Nvidia, focus on R&D and where they are good at. Micron is not failing in NAND or DRAM vs Samsung Hynix or Kioxia, SanDisk / Western Digital didn't do well or bad compare to other companies even when their FAB is in Japan (shared with Toshiba / Kioxia).
It is not where it is made but the executives and board of directors. My rule of thumb is don't invest in a tech company run by accountants or sales.
Also I don't get how "ALL" trade wars are about is where they are made. Do you count Nvidia's $30K chip Taiwan made? My source told me that $30K chip cost $150 of TSMC's wafer and $300 of South Korea's SK Hynix HBM memory, and the ($30000 - $450) goes to Nvidia who probably paid $15000 of that into their R&D. Do you consider that US manufacturing when those are white collar jobs in offices when they probably hired more engineers than a couple operator inside TSMC's fab in Taiwan?
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Nah, don't panic buy anything.
It's a common American consumerist misconception that if something goes how you don't want it, a little money spent will make things better for you.
Probably better to sit out and save while things sort themselves out.
Remember, there are people with less patience and weaker wills than you, who will convince those in power to undo the worst of whatever.
Quadruple YAY! from my side!
A consumption tax empowers the taxpayer to at least partially control their own tax destiny.
Scott
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I'm just going to keep fixing old cars I have, and put all my savings into gold for a while until the market settle down.
US still leads, just that no US companies wanted to take risk to be a foundry back in the mid to late 2000s.
Qualcomm, nVidia, AMD, etc are all US companies and do well, and most of their IPs are generated in the US. The equipments their foundry bought are also R&D in the US, Europe, and Japan (ASML, AMAT, Lam, Nikon, Canon, Tokyo Electron, etc). Most of the cost of a chip plant is the equipment depreciation and those equipments are US / Europe / Japan companies R&D.
The "labor cost" in chip "manufacturing" is low, but the R&D cost is high. You can move the plant around the world and it won't make a huge difference in where the actual paycheck go to too much. Taiwan is very good at something, US is very good at something, S Korea and Japan are also very good at something. If you try to force things around you end up with a bad product, like how China's chip industry is right now.
At the start of the video it briefly mentioned the domestic makers making small cars. My first thought was, Vega and Pinto. It shouldn't, those relics are long and dead, that's beating a dead horse, but I'm not sure I'm looking forward to the Big 3 trying their hand again at small and cheap. We're a couple generations removed from those times but I still have this nagging feeling that Detroit would be like "oh you won't buy our expensive profit-heavy big vehicles? well we can make you regret that."
I'm not even sure how much I want a small car... cheap yes, but small vehicles tend to just do everything that much worse.
I'm not much of one for rolling back standards but... roll back a bit and you could shave a few percent. Removing the backup camera isn't going to save much (unless if semiconductor products really do get expensive). But if you took out a couple airbags, anything "smart" with forward collision detection etc, and otherwise decontented, could you shave more than a few percent off?
I'm probably tilting at windmills on this one. Only if the economy crashes and burns would low content cheap cars sell again.
IMHO-you are not going to see a sub $20,000.00 car manufactured in the U.S. because with all costs involved it's simply not possible.
If the economy does crash and burn, manufacturers will be forced to offer some reasonably priced US built cars since the high margin and costly pickups and SUVs will become unsalable and the captive imports that make up the majority of GM's sales will become untenable under the current high tariff regime.
They'd either come up with something that they can move at volume or they become history.
They'd either come up with something that they can move at volume or they become history.
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dnewton3
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Well said. I lament the absence of decent sports sedans from our shores. Admittedly they were few and far between, but they did exist and I miss them.
Yeah I know we've had all the outa the US made parts, problem is we still have to pay US prices for them no matter who made them.
Tons of middle men needed their cut of it.
Now if said parts are made here we get inflated materials costs (union steel workers and pensions) etc. etc. as well as the parts cost, because instead of the people making said parts used to get paid what $5 per hour? Now the ones making the parts will get $40. per hour, then of course million plus dollar or more cnc and robotic machines as well.
So what ever cost $40. a few months ago will at some point in time cost over $200.
Fun times comin.
Tons of middle men needed their cut of it.
Now if said parts are made here we get inflated materials costs (union steel workers and pensions) etc. etc. as well as the parts cost, because instead of the people making said parts used to get paid what $5 per hour? Now the ones making the parts will get $40. per hour, then of course million plus dollar or more cnc and robotic machines as well.
So what ever cost $40. a few months ago will at some point in time cost over $200.
Fun times comin.
The Ford Contour was one but it started life in Europe then of course they softened the suspension. They followed up on this by making most of them fleet rental specials with steel wheels, 4 cylinders, and automatic transmissions.
I'm confident a Kentucky built Camry would outperform the best Contour, just owing to 25 more years of power train and tire technology.
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