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[-] chiliedogg@lemmy.world 12 points 1 day ago

That last bit is what people don't understand.

If you're an auto manufacturer, and you are given the choice to pay 50%+ tarrifs on your raw materials before selling your car that now has to be much, much more expensive due to the tarrifs. Or you could build the car in Europe, pay none of those tarrifs on parts, and export it to the US where the buyers will pay a 15% tarrif after the recent deal with the EU.

So it's more profitable for the manufacturers and cheaper for the consumers to shut down US auto plants and move everything to Europe.

Art of the Deal.

this post was submitted on 04 Aug 2025
854 points (98.9% liked)

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