Stellantis Faces Tough Road Ahead With New Tariffs

Stellantis Faces Tough Road Ahead With New Tariffs​

Trump Administration's Trade Policy Could Lead to Higher Prices and Production Challenges​

Stellantis is warning its U.S. dealers that the new 25% tariffs on products from Mexico and Canada will put the automaker at a serious disadvantage compared to its Asian and European competitors. This warning comes as the Trump administration pushes forward with aggressive trade policies aimed at reshaping international commerce.

Stellantis Faces Tough Road Ahead With New Tariffs

Stellantis is warning its U.S. dealers that the new 25% tariffs on products from Mexico and Canada will put the automaker at a serious disadvantage compared to its Asian and European competitors. This warning comes as the Trump administration pushes forward with aggressive trade policies aimed...

moparinsiders.com

 

[WakeupAmerica]

Maybe a US car maker should built the cars in the US.

 

[vbondjr1]

I feel like if we don't need to ship it across an ocean, why pay a tariff on it? Canada and Mexico are our neighbors. We should be working with them more and not against them.

 

[redriderbob]

I feel like if we don't need to ship it across an ocean, why pay a tariff on it? Canada and Mexico are our neighbors. We should be working with them more and not against them.

The whole purpose of all these tariffs is for both Mexico and Canada to stop fentanyl from coming across the border. Canada refuses to meet Trump's demands to put more people on the border. Another mega fentanyl lab was found in British Columbia. With Mexico it's about the cartels who pretty much run the entire northern part of the country.

'All fentanyl, all the time': How the deadly drug became Canada's public enemy No. 1

A pillar of organized crime, fentanyl has wreaked havoc across Canada and sparked a trade war with the U.S. The bad trip could get worse.

nationalpost.com

 

[Jeeper1961]

I'm no fan of tariffs but I can understand their use in certain situations. Most countries have extreme protectionist tariffs and policies. We are about the only country that has what can be called open markets. It would be nice to stop the flow of fentanyl and get some of these countries to open up their trading policies with the USA. I'm hoping these tariffs with Canada and Mexico go away very soon. I'd much rather trade with our North American neighbors than China.

 

[larrywal]

So this must mean there are no Meth Labs in the USA ?
It's all coming from Canada or Mexico? Wow

 

[TripleT]

So this must mean there are no Meth Labs in the USA ?
It's all coming from Canada or Mexico? Wow

You are aware that Fentanyl and Crystal Meth are not the same? WOW.... as someone who watched someone die in front of my house while the first responders feared contact with them, might be interesting, to maybe look up the difference before posting. Not judging, just sayin.

 

[larrywal]

You are correct sir please accept my apology I meant Fentanyl. I didn't know it was only Mexican or Canadian made for export to the USA .
I wonder why Mr. Trump didn't do something about it in his first term? Better intelligence now I guess .
The tariffs are joke, we get it the USA doesn't need anybody and the new regime is going to prove it
Have a good day

 

[TripleT]

You are correct sir please accept my apology I meant Fentanyl. I didn't know it was only Mexican or Canadian made for export to the USA .
I wonder why Mr. Trump didn't do something about it in his first term? Better intelligence now I guess .
The tariffs are joke, we get it the USA doesn't need anybody and the new regime is going to prove it
Have a good day

https://www.dea.gov/sites/default/files/2020-03/DEA_GOV_DIR-008-20%20Fentanyl%20Flow%20in%20the%20United%20States_0.pdf

Crystal Meth can be made in a small lab, think breaking bad.

Fentanyl has medical use but must be closely monitored. So, the issue is uncontrolled supplies the flow across the borders and make their way into black markets.

We lost operational control of the border in the last administration.

An extremely small amount, just the dust is deadly. Watching the empty eyes of someone as their life slips away is haunting.

 

[MotorMaven]

The whole purpose of all these tariffs is for both Mexico and Canada to stop fentanyl from coming across the border. Canada refuses to meet Trump's demands to put more people on the border. Another mega fentanyl lab was found in British Columbia. With Mexico it's about the cartels who pretty much run the entire northern part of the country.

'All fentanyl, all the time': How the deadly drug became Canada's public enemy No. 1

A pillar of organized crime, fentanyl has wreaked havoc across Canada and sparked a trade war with the U.S. The bad trip could get worse.

nationalpost.com

The issues aren’t connected, not to mention that there’s no evidence of any fentanyl coming from Canada into the USA.

The Europeans have to be getting fed up with the USA at this point. European money saved Chrysler from collapse twice in less than a decade — first Daimler and then FIAT.

It would not surprise me if Stellantis decides the shrinking US market isn’t worth the constant drama and trouble. If I was running things out of Europe, I’d close down Chrysler and Dodge (both are not viable with the tariffs), possibly sell them to a Chinese buyer, and close down most of Auburn Hills.

Milk the RAM and Jeep brands as long as possible with European engineers and minimal design differences and maybe sell off the RAM brand if higher pricing cannot offset tariff impacts.

The last thing I’d do is pour more money into a volatile and untrustworthy US capital structure.

 

[TripleT]

The issues aren’t connected, not to mention that there’s no evidence of any fentanyl coming from Canada into the USA.

The Europeans have to be getting fed up with the USA at this point. European money saved Chrysler from collapse twice in less than a decade — first Daimler and then FIAT.

It would not surprise me if Stellantis decides the shrinking US market isn’t worth the constant drama and trouble. If I was running things out of Europe, I’d close down Chrysler and Dodge (both are not viable with the tariffs), possibly sell them to a Chinese buyer, and close down most of Auburn Hills.

Milk the RAM and Jeep brands as long as possible with European engineers and minimal design differences and maybe sell off the RAM brand if higher pricing cannot offset tariff impacts.

The last thing I’d do is pour more money into a volatile and untrustworthy US capital structure.

Daimler stole the company for less than 1% of merger, Took it cash reserves and wasted them all on a failed attempt buy Mitsubishi. Then proceeded to suck every bit of value out of the company and product and then unloaded it to PE group.

If that is your idea of SAVING a company then any other ideas have little value.

 

[MotorMaven]

It’s not about saving Chrysler. It’s about recognizing that Europe has sunk $30 billion into Chrysler so far and the reward it gets is tariffs and attacks from American politicians.

Daimler bailed out Chrysler big-time. The crappy low quality designs that Chrysler creates in the late 1990s like the self-destroying 2.7L and the exploding 4 speed auto had astronomical warranty costs that would have bankrupted Chrysler on its own.

Replacing the ****ty American platforms and transmissions with quality Daimler platforms like LX, the five speed auto for LX, the GS platform and so on cost enormous amounts that Daimler shoveled in but even that only worked for a little while. Chrysler was a cash furnace once more, just as it had been in the early 1990s and late 1970s and they gave up.

FIAT came in and deleted the rest of the ****ty US designs and engineering and replaced them with higher quality, more efficient designs like CUSW and MultiAir as well as shoveling an ENORMOUS amount of cash into the bleeding company.

Now that those investments have resulted in some of the first decent quality CDJR product in decades, the USA is going after the Europeans again.

If I was considering a choice between shoveling another $20 billion into the business to rescue it yet again from itself or just milking it until it dies, I’d be seriously considering the latter. Anyone sane would.

 

[TripleT]

It’s not about saving Chrysler. It’s about recognizing that Europe has sunk $30 billion into Chrysler so far and the reward it gets is tariffs and attacks from American politicians.

Daimler bailed out Chrysler big-time. The crappy low quality designs that Chrysler creates in the late 1990s like the self-destroying 2.7L and the exploding 4 speed auto had astronomical warranty costs that would have bankrupted Chrysler on its own.

Replacing the ****ty American platforms and transmissions with quality Daimler platforms like LX, the five speed auto for LX, the GS platform and so on cost enormous amounts that Daimler shoveled in but even that only worked for a little while. Chrysler was a cash furnace once more, just as it had been in the early 1990s and late 1970s and they gave up.

FIAT came in and deleted the rest of the ****ty US designs and engineering and replaced them with higher quality, more efficient designs like CUSW and MultiAir as well as shoveling an ENORMOUS amount of cash into the bleeding company.

Now that those investments have resulted in some of the first decent quality CDJR product in decades, the USA is going after the Europeans again.

If I was considering a choice between shoveling another $20 billion into the business to rescue it yet again from itself or just milking it until it dies, I’d be seriously considering the latter. Anyone sane would.

Again, anyone who looks at what Daimler did as anything other than corporate raiding, any further discussion has little value. They stole the company, wasted it cash reserves and replace every platform with an inferior Mitsubishi hardware while that company was in the midst of giant emission and quality scandal. LX was mostly complete before the diamler parts bin were made available, and everything else brought was complete crap.

Yeah the JATCO unit was awesome. Asside for L models, every single Diamler product was inferior, RT is a prime example.

Sell that nonsense elsewhere.

Yes Fiat bailed the company out, but from the mess the Germans Created.