Does it make since that we pay American prices for cars built overseas?

Question

I understand that the automobile companies went overseas becauses they could pay lower wages due to the exchange rate and that the environmental restrictions aren't as bad and because of taxes. But, does paying 45k for a vehicle built in another country make any since?

I understand that it does cost money to get it over here, but we have free trade with the countries we trade with.

Of course they are noticing a decline in profits. Very few people can afford to pay that price. When is enough enough? When will corporate America stop catering to the rich? when will the greed go away?

Can you prove Honda is made overseas? Last I checked they were made in America. Toyota is made in America. These vehicles I do not have a problem paying a high price for, bur GM vehicles and Volkwagon, I should get the Mexican and Chinese price for.

Free Trade Agreements:

http://www.ustr.gov/Trade_Agreements/Bilateral/Section_Index.html

Answer 1

First of all, your question doesn't make any sense. You pay not what's 'fair' or a "little" above what it cost to produce. You pay the price that the market of the country you are in dictates. Simple as that, the amount of expenses that go into that equation is staggering to say the least. Think about it. Even the dealer needs to make money, remeber?

Also the guy above, I work as a logistical coordination specialist for a company that hauls parts for GM and Chrysler.

SOOO for your INFO. Even though most the cars are assembled in the states, all the parts for the cars including ASSEMBLED engines come from Mexico such as Silao assembly plant, Taluca Engine assembly etc etc etc..... Also from Arlington, TX. etc etc...

ALLLLSOOO they do not pay the drivers 300-700$ PER car to deliver them across. Drivers get paid PER mile. Usuyally around .90 cents per mile. ALSO the funny thing is, the destination charge from the dealer is BULLSHIT. Because if you notice that all the trucks delivering cars are day cabs, meaning they dont leave the state, meaning it only goes from the plant to the dealership (50-100 mile radius) so it costs them nowhere NEAR that. Probably about 500-1000$ per truck load.

SO all in all, yes you'r getting screwed. Thank the lazy union workers who encumber the good american companies from turning a ******* profit and force them to make less and less quality cars. Guess what? Why do you think that toyota lasts longer? THEY HAVE THE MONEY TO MAKE THEM BETTER, its not that they instinctively have better technology or better workers, they dont have the unions paying 70k$ to a janitor thats been working at GM for 20 years. What bullshit is that? End rant.

cough down with unions cough

Answer 2

Even though the cars are built oversees a lot of times a lot of work is still done in America. The #1 reason for high prices on American cars is the auto workers union. They are paying outrageous amounts of money for healthcare and other benefits for the workers and the retired members. Auto workers also make about $100,000 a year. This is obviously a lot more than auto workers of other countries.

We do not have free trade with every country we trade with.

German cars are the most expensive because people are willnig to pay the money, but also because of the excahnge rate tot he Euro. The Euro is worth more than the $ so we get screwed in the deal.

I think this guy below me missed the question. Anyway I have researched shipping a car from Japan and you can get on shipped from Tokyo to NYC for under $5000. Then it is another $500 shipped from NYC to MA where I live. This is the price of a single car by a consumer. I would guess that Japanese manufacturers pay about $2000 per car. All of this doesnt even matter though because Honda Civics are made in America. Also the American cars that the person is asking about are made in Mexico so there is no overseas shipping required.

Answer 3

Without sounding condescending, you have a somewhat distorted idea of what exactly is an American car & about free trade. Please read the article link here :
(for a better understanding of both)

http://www.thecarconnection.com/pf/Auto_News/Commentary/At_Witz_End_Whats_an_American_Car.S192.A11981.html


By the way less than half of the Toyotas sold here are built here & all of Toyota's profits go to the homeland (Japan)

Answer 4

The car is sold by value, not always by cost.

GM cars are perceived less value but the quality is same as Toyota right now. Therefore Toyota prices $10,000 more and gets it.

German cars are expensive costs and highly valued. They cost much bucks.

Answer 5

does no one understand that it costs millions of dollars to ship 10,000 Hondas half-way around the world? the "destination charge" you pay when you buy a new car ONLY covers the cost the dealer paid to get it to his lot. the semi-truck drivers that haul those things make $300-$700 PER CAR upon delivery. the cars have to be delivered to a loading dock in Japan (or where ever), loaded on a boat, shipped to the US, unloaded, and shipped via train and/or semi all over the country. that alone will raise the price dramaticaly. there are alot of hands those cars go through from the manufacturing plant to your driveway, and i assure you each hand it passes through gets a cut. (mfg.plant, shippers, recievers, distributors, dealers, salemen, etc.) you could go overseas and buy a BMW for $25,000. it will cost you about $5000-$8000 to get it to your house. which is still a deal if you wanna go to Germany, but your travels will add another $2500. ...............................thats why

Answer 6

will develop Hand "specific I do" thank you for asking i'm happy to ensure a minimum of another man or woman on YA is professional lively approximately this subject. To the toaster argument financial war is greater approximately winning the conflict than complaining you have no longer have been given a toaster. If toast is all important bypass to a sturdy Will and purchase a used Toaster. even no count if it truly is made in China you're no longer perpetuating the dying of u . s . BTW there are Toasters made in Mexico. remember they go with a role too EDIT: hiya waldo Is saving our u . s ., Democracy and how of existence truly worth saving??? Or is US "mediocrity" no longer truly worth paying for homestead grown products and centers

Answer 7

No, it doesn't. My brother was stationed in Germany last year and BMW's are half the price of what we would pay at a dealership over here. Its all taxes pretty much.

Answer 8

No not really but not much does, you can get a mercedes in germany for about $14,000.00 you cant touch one thats 20 years old here for that.

Answer 9

Its all about profit, and the U.S is losing jobs daily.