Americans risk toast. Given the 25% customs tasks, car manufacturers must approve 80% of the additional cost for consumers, according to the consultant Alixpartners, cited by Bloomberg.
Evaluation: If stable at the moment, the price of cars should increase by $ 1,760 on average in the coming months. This could fall down. Wakefield anticipates that one million vehicles sold less in the next three years.
Retail sales, and especially cars, have already retreated more than expected in recent weeks, while customs tasks will also apply to appliances containing steel.
0.9% fell in May, reaching $ 715.4 billion, according to data published by the Ministry of Commerce. Sellers of car and spare parts have experienced the highest fall (-3.5% sales for a month), followed by the DIY maintenance and garden maintenance sector (-2.7%).
If he believes that customs duties will generate “considerable costs”, the firm of Alixpartrers, however, establishes that the difficulties will end the fading as the countries in question will approve agreements with Donald Trump.
On the contrary, it is likely that the blows of the US president against electric cars have much more durable effects. The US president intends to reduce or even eliminate financial aid for the purchase of electric vehicles.
Alixpartners, therefore, divided his sales forecasts by two. Battery electric vehicles should only represent 17 % of US car sales in 2030, compared to 31 % according to their previous forecasts. It is likely that American manufacturers will be relegated to performing support roles, while the world market changes the paradigm.
Jobs
Many analysts fear that these policies have negative consequences in the labor market in the United States. The number of employees has already tended to decrease in the automotive industry (-2% in May for a year) according to the American Work Statistics Office.
At least initially, the manufacturing sector could suffer customs barriers established by Donald Trump, especially in the Detroit region, the heart of American behavior, where the US president has carried out significant scores in the last elections.
Some workers in the automotive industry still support the policy of the US president.
This former worker is in Macomb County, near Detroit, known in the United States for having been one of the first bastions of the Democratic Party to change the Republican Party during the election of Ronald Reagan in 1984. Very dependent on the automotive industry, this county is particularly exposed to economic shocks and manufacturing employment has decreased significantly.
Source: BFM TV
