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Found 4 results

  1. The Buick Envision finds itself in a tough spot. General Motors has been exporting the model to the U.S. since 2016. But with the on-going trade-war between the U.S. and China, it means the Envision could smacked with a 25% percent tariff. That is why GM is asking for exemption on the model. In a statement provided to Reuters, GM said that it filed the exemption request on July 30th to the U.S. Trade Representative. In the request, GM makes some sound arguments as to why the Envision should be excluded. Price is major factor. If the vehicle is hit with a 25 percent tariff, GM would be forced to pull it from the U.S. unless it wants to a take serious loss on each model. Why not build it here? The Envision has been a target of critics of Chinese-made goods, including leaders of UAW. GM explains that the sales volume of the Envision doesn't justify moving it to the U.S. Last year, Buick only sold 41,040 Envisions in the U.S. In China, Buick moved about 210,000 models. In addition, the current Envision is reaching the end of its current lifecycle before the company could make the preparations to build the model here. GM also makes the argument that the loss of the Envision would put them in a distinct disadvantage against foreign competitors such as Acura and Volvo. You can check out GM's request on regulations.gov website, which is tracking requests for exclusions from the Section 301 tariff. If the Envision does get hit with a 25 percent tariff, GM has already taken some steps to relieve some of the pain. Before the higher import tariffs went into affect, GM shipped in a six-month supply of Envisions that would be hit with the much smaller 2.5 percent tariff. This should keep dealers happy in terms of stock and not having to deal with a higher price. Source: Reuters, Regulations.gov View full article
  2. The Buick Envision finds itself in a tough spot. General Motors has been exporting the model to the U.S. since 2016. But with the on-going trade-war between the U.S. and China, it means the Envision could smacked with a 25% percent tariff. That is why GM is asking for exemption on the model. In a statement provided to Reuters, GM said that it filed the exemption request on July 30th to the U.S. Trade Representative. In the request, GM makes some sound arguments as to why the Envision should be excluded. Price is major factor. If the vehicle is hit with a 25 percent tariff, GM would be forced to pull it from the U.S. unless it wants to a take serious loss on each model. Why not build it here? The Envision has been a target of critics of Chinese-made goods, including leaders of UAW. GM explains that the sales volume of the Envision doesn't justify moving it to the U.S. Last year, Buick only sold 41,040 Envisions in the U.S. In China, Buick moved about 210,000 models. In addition, the current Envision is reaching the end of its current lifecycle before the company could make the preparations to build the model here. GM also makes the argument that the loss of the Envision would put them in a distinct disadvantage against foreign competitors such as Acura and Volvo. You can check out GM's request on regulations.gov website, which is tracking requests for exclusions from the Section 301 tariff. If the Envision does get hit with a 25 percent tariff, GM has already taken some steps to relieve some of the pain. Before the higher import tariffs went into affect, GM shipped in a six-month supply of Envisions that would be hit with the much smaller 2.5 percent tariff. This should keep dealers happy in terms of stock and not having to deal with a higher price. Source: Reuters, Regulations.gov
  3. Aston Martin could lose a big market in the U.S. if federal regulators don’t exempt the brand from an upcoming safety rule. The rule in question deals with new side-impact crash regulations that require vehicles to better withstand the impact from running into a pole or tree. This rule has been phased in over the past few years, but low-volume manufacturers like Aston Martin have been given an exemption runs out this month. Convertibles built by low-volume manufacturers don't lose their exemption till next September. According to Reuters, Aston Martin reached out to the National Highway Traffic Safety Administration in March asking for exemptions up until 2017 for the DB9 and Vantage. These happen to be the oldest models in Aston Martin's lineup. Aston Martin explained that with money tight during the recent recession, they weren't able to redesign the DB9 and Vantage to meet the upcoming standards. The lack of the exemption would cause "substantial economic hardship" to Aston Martin, including the possible closure of dealers in the U.S. A spokesperson for NHTSA told Reuters that a decision hasn't been made at this time. "The agency has been in contact with Aston Martin regarding their exemption request and is awaiting additional information from their dealers," the spokesperson said. Source: Reuters William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster. View full article
  4. Aston Martin could lose a big market in the U.S. if federal regulators don’t exempt the brand from an upcoming safety rule. The rule in question deals with new side-impact crash regulations that require vehicles to better withstand the impact from running into a pole or tree. This rule has been phased in over the past few years, but low-volume manufacturers like Aston Martin have been given an exemption runs out this month. Convertibles built by low-volume manufacturers don't lose their exemption till next September. According to Reuters, Aston Martin reached out to the National Highway Traffic Safety Administration in March asking for exemptions up until 2017 for the DB9 and Vantage. These happen to be the oldest models in Aston Martin's lineup. Aston Martin explained that with money tight during the recent recession, they weren't able to redesign the DB9 and Vantage to meet the upcoming standards. The lack of the exemption would cause "substantial economic hardship" to Aston Martin, including the possible closure of dealers in the U.S. A spokesperson for NHTSA told Reuters that a decision hasn't been made at this time. "The agency has been in contact with Aston Martin regarding their exemption request and is awaiting additional information from their dealers," the spokesperson said. Source: Reuters William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.
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