Mexico, President Trump, United States discussed on
An ask you whether you think this logic makes sense if the, if the new policies are going to increase the cost of vehicles made in the United States or in or in North America that would tend to make the price of imported vehicles more competitive and push sales towards imported vehicles? Will have. Which will have the opposite of, the economic, and political effects that the president wants. And some people theorize that, when that starts to happen the president will respond by putting new, tariffs on imported vehicles to raise their prices so that American Vehicles can compete do you do you. Think that's a Threatened I mean clearly, there's there's, he's suggested that there will be tariffs on you. Know vehicles and parts coming in from China from. Europe so I think that is part of the discussion we've been really focused on the NAFTA part of it because that is the biggest chunk and even European auto makers build cars in Mexico. Hearts from, Mexico when they. Have plants in the US so yes And now all that adds a lot of inflationary pressure to in wages aren't doing so let me see if I. Can squeeze in? Two more questions. With you a lot a lot of people have suggested. That part of what happened in Mexico that Trump is. Really upset about is. The. Chinese parts were coming. Into Mexico and through one process or another being treated as a as Mexican parts and getting low tariff, treatment and ending up in the United in American cars in a way they, shouldn't have been is that true, I don't know I'm not an expert on the whole supply or system? It, may. Well be, very, possible, that, that is true I just don't know okay, there's a, listener question a listener wants to know what is. The state of US production of either cars or. Parts which you you said you're not an expert so much on the parts in in Mexico who is in Mexico making cars is it at the Detroit makers is at Toyota and Volkswagen who's. There yes You know there are US manufacturers there are German manufacturers Volkswagen Audi there are Japanese manufacturers so you know everybody set up their production foot prints based on the deal the NAFTA well I guess it's the current NAFTA agreement and so yes a lot of production I think it's almost it's something like one point nine million. Vehicles come in? From Mexico that. Are built and there you know there are no Mexican. Automakers that's it's all foreign automakers to them that they. Have set up operations. There. Interesting okay my very. Last question if you if the two choices were the system that's in place today or that was in, place let's say before Trump with the tariffs on the system that was in, place a year ago versus what, was proposed on Monday which would you prefer to see if your interest? Was The American auto industry and the American auto buyer consumer Well, two different ones for the American can consumer, you know production Mexico has kept prices of vehicles down but is? That, good overall and has it. Has it created jobs, I that, would be her choice I absolutely believe that you know this is an old agreement when you think. About this was a NAFTA was twenty, four, years ago when you, think about Google didn't exist Amazon. The world has changed and so it absolutely needed updating I'm not, an expert, on policy and all the intricacies of it you know, but clearly, there needs there needs to. Be some update Michelle crabs executive analyst for auto trader she's the president of society of automotive analysts. And past president of the automotive Press Association. As well absolutely great to have, you, on the show thanks for making time this morning Michelle and I, look forward to talking. To you. Again in the. Future happy to do it. All right thanks a lot that was a fascinating conversation. Glad to get a listener question in there as well I got so much More I want to. Talk about I'll take a break, on, trade for a little bit when we come back I got I, got a listener Email. This morning. That I wanna. Share with you that started. I know you hate Trump I got the rest for. You right after this Morning. Drive interstates are getting busier and one trouble spot, westbound I seventy path to seventy and accidents a car spun out it's off the highway in the. Grass facing the, wrong direction creating just let's great once you hit Quebec. Overpass twenty five hundred eighteen seventy filling and they're both directions I seventy six traveling, through commerce city twenty five no trouble downtown and the tech center and the voter turnpike highway, thirty six thousand. In great shape then forecast today sunny skies going to be hot with high near ninety two cloudy. Tonight a low of sixty two upper eighties tomorrow right now sixty degrees but traffic and weather on six thirty k. Hal Georgetown loop railroad is by Judah tall tales and Tommy knockers your. Haunted journey. Begins with a van ride. From devil's gate station in Georgetown to the Lebanon mine. Once there you'll be. Greeted by, your host and taken on a tour of the Lebanon mine where the legends of. The Tommy knockers and other..