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I don’t think so. Tariffs will be paid by importers of foreign cars into the USA.
EU countries in the single market will put tariffs on goods coming from USA
for myself I don’t see how it will affect cars in the uk.
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Vaun
Possibly increase the choice?
If China are blocked from selling in the USA they will need to sell them somewhere.
The only person who got all his work done by Friday was Robinson Crusoe.
Anything i post over three lines long please assume it is an article lol.The only way it could affect the scheme would be if the UK imposed a counter tariff but, even then, it would only affect cars built in the US. Are there any cars on the scheme built in the US?
Are there any cars on the scheme built in the US?
Good question. Ford? Maybe??
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German premium brands rely heaviliy on sales within the US market, as such they could choose to increase price’s in other markets, to offset losses from US tariffs.
Overall its unlikely to impact the scheme, other than some possible tail end AP increases based on above. @Brydo touched on a good point, with the US blocking China coupled with Rach from accounts adding luxury car tax to EV’s, China could see this as an opportunity to push more cars cars into the UK, at below the luxury threshold, which could offset any attempted price increase by EUrope manufacturers, who might choose to increase prices on their entry level cars to try and offset losses from tariffs applied by the US.
I don’t think any cars on the Scheme are actually US built, even Fords bigger pickups such as the Ranger is built and shipped from south Africa.
Megalomaniac Trump is.
Joss
Current car: BMW X2 sDrive 20i M Sport 5dr Step Auto In metallic Portimão Blue. 04:10:2025
Previous car:Peugeot 308 GT Premium 1.2 Pure tech Petrol.I think I have to disagree with all of you. I see it having a massive impact, with the EU and also eventually the UK (once they realise that Trump will never give them free trade) imposing retaliatory tariffs on the US. The US tariffs are on parts as well as cars, as Kezo has already said, so it will cause spikes in prices for most European and US cars. China must be rubbing their hands together and ramping up production of EVs ready to replace all those Teslas!
Tesla?
On BBC this morning, our Rach from accounts is thinking of giving £5bn (ring a bell!) to Musk and other US tech barons!
I am by no means an economist of any sort… but surely if European car makers export less and less cars to the US because American buyers now find them too expensive with import tariffs – the European manufacturers will be flooding Europe (and the UK) with their cars to fill the void? And surely that will mean too many cars to sell to European buyers = price wars/lower prices?
Hey, what do I know!
I am by no means an economist of any sort…
Neither is Rach from accounts and neither am I 😂
Germany for instance, as the ones with most to loose, is most likely to sell in the US and use other markets to soften the tariff blow by increasng prices. A trade war amongs’t european manufacturers won’t end well and any trade war with China above what already exists, will without a doubt see tariff retalliate harder, which could impact supplies such as battery cells european manufacturers use in their EV’s for example.
EU Commissioner for Trade and Economic Security is today and tomorrow in China to foster a more balanced and cooperative trade relationship between the EU and China, with a focus on reciprocity, transparency, and mutual benefit on an understanding european manufacturers have a huge pressance in China especially the likes of VW.
There is unlikely to a seismic shift towards China but, closening ties are guaranteed.
A teeny tiny insignificant impact. Virtually no components and parts for eurozone cars are made in the USA, the logistics would be stupid. Even Ford manufactures in Spain/Germany etc, with parts coming from a huge range of mostly EU or near neighbours.
I doubt any car on the scheme would be affected. Even the Mach-E is built in Mexico. This is why Jim Farley, Ford’s CEO spoke out so strongly against tariffs, their own domestic production is entwined with Canada and Mexico, so it just pushes the cost of US production (and car prices) up.
The tariff effect is most felt the other way, i.e. selling to the USA market. Crazily, almost all Americans don’t understand how tariffs work and think the country the tariff is imposed on will pay it, when in fact, it’s the US importer, who then passes that extra cost on to the American consumer. This is not helped by Trump’s rhetoric “China/Canada/EU will pay, we will slap a 25% tariff on them”.
In life, it's not who you know that's important, it's how your wife found out.
I think I have to disagree with all of you. I see it having a massive impact, with the EU and also eventually the UK (once they realise that Trump will never give them free trade) imposing retaliatory tariffs on the US. The US tariffs are on parts as well as cars, as Kezo has already said, so it will cause spikes in prices for most European and US cars. China must be rubbing their hands together and ramping up production of EVs ready to replace all those Teslas!
But your original question was will it result in a rapid drop in choice of cars on the Motability scheme? On the basis that, as far as any of us are aware, there are no cars on the scheme that are made in the US, or are reliant on US made parts, the answer has to be ‘no’.
Teslas may become more expensive if we adopt counter tariffs, but they aren’t on the Motability scheme so, again, no impact.
I think that @Brydo and @kezo make good points about the Chinese seeing Europe (and particularly the UK, if we continue as an outlier in pursuing net zero) as opportunity markets, even more so than they already do.
Crazily, almost all Americans don’t understand how tariffs work and think the country the tariff is imposed on will pay it, when in fact, it’s the US importer, who then passes that extra cost on to the American consumer. This is not helped by Trump’s rhetoric “China/Canada/EU will pay, we will slap a 25% tariff on them”.
So true. It is this worrying level of ignorance that allows Trump to continually spout complete lies, over and over again. The problem is further compounded by a sycophantic US media that doesn’t challenge their Presidents in the way that our media would challenge a British PM who talked nonsense. How many times have we heard Trump say that 60% of the cost of the Ukraine war was paid by the US and all money from European countries was loans? Neither is remotely true, yet he is never challenged on it, so the US public believe it. It is no wonder that he is aligning the US with Russia as he is adopting a similar approach to Putin i.e. never let the facts get in the way of a good argument!
Megalomaniac Trump is.
Are you Yoda, and can I claim a prize?
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