Featured Trump tariffs put the US auto industry in disarray

The cheap econo-boxes also helped them meet cafe standards - offsetting those large highly profitable gas guzzlers. Since the governments' appetite to increase taxes for bad behavior on large corporations has diminished - they're free to do whatever they want. They just need to 'kiss the ring' and aim platitudes in a certain direction.

Hey it works for Putin; or is it the other way around. Sorry I'm getting senile.......

 

Kia K4 is made in Mexico to keep cost low - the reason no small cars are made in the USA is Labor Cost - spelled - UAW.

If you want an entry level model at rock bottom prices - you can not make it in the USA because of labor cost.
Labor is the single largest variable in the cost of car manufacturing.

KIA has a huge manufacturing Facility in the USA and makes most of its models right there but even for them as a non-union plant the American Labor Cost are a no go for their entry level vehicles.

Why Automakers Need To Focus On Labor Cost Per Vehicle

Our “Harbour Report” team has conducted a comprehensive analysis of labor costs per vehicle across over 250 vehicle assembly plants globally, including a review and incorporation of sourcing strategies. Labor typically constitutes 65% to 70% of total conversion costs, requiring it to be a key focus area for automakers.

 

I read only the summary in the link but I find the term "conversion" to be undefined? Why not "production" or is there some difference I'm not understanding?

 

same - same

 

Exactly. The cost of labor is something like 1/10 in Mexico compared to here. But if there's a tariff on the car, it is now more expensive to produce anyway for the manufacturer.