Better Buy Your New Rig Before the Tariffs Kick In 🤑

[AbleGuy]

I am not trying to make this a political thread. But if any of you guys are thinking about buying a new rig in 2025, you might pay attention to the strategy of buying it sooner than later, before the tariffs kick in.

Here is an example of one online automobile content writer’s estimate about what could happen with new vehicle prices if the promised new tariffs kick in fully and if those extra costs are passed on to the consumer.

https://carbuzz.com/vehicles-that-stand-to-lose-trumps-tariffs-canada-mexico/

These estimates may be somewhat inflated, and the article might be an example of a little bit of fear mongering, but on the other hand, maybe with some of our favorite brands and models of vehicles, we are going see really steep price increases from the new tariffs.

So is it time to think about getting that order in for your new rig, and pre-paying for it before tariffs add another big increased costs?

It has already been clearly stated by members of the automotive industry that higher prices of vehicles today are the number one impediment to people buying new cars.

With regard to tariffs on products from Mexico, the biggest impact would be to car buyers, as automobiles accounted for $130 billion worth of imports last year.

The auto industry in the U.S. hasn’t spoken up too loudly and definitively yet about what the impact to that sector would be if the new 25% tariffs are imposed on cars and car parts from Mexico.

But if you wait to buy, you’re definitely rolling the dice here…

 

[Ozarker]

Pretty sure the rules allow political comments as they relate to Overlanding.

These tariffs, as proposed, will raise all vehicle prices on vehicles made in the U.S. as there are parts that are imported for all U.S. vehicles.

One reason I updated my stable before the circus begins.

Better make this your best Christmas for awhile, stuff like bull bars, driving/fog lights, gadgets you guys like to play with, the price of your toys will go up too.

It's what you wanted.......

 

[klahanie]

So is it time to think about getting that order in for your new rig, and pre-paying for it before tariffs add another big increased costs?

Are you suggesting that if one were to pre-pay a vehicle order that when was built and shipped it would be exempt from new tariffs when imported ?

Is the value of a good used for calculating an import tariff influenced by whether the end customer has already paid for said good ?

Pre pay something from Amazon and are exempt from Import Duties. Is that how it works in the USA ?

 

[klahanie]

I wonder if this pending increase in protectionism and segmentation was partly behind Ford deciding to start assembling Superduties in Oakville, Ontario starting 2026.

Ford won't want to risk their SD cash cow and Oakville might then serve the Canada market and the KTP can serve the USA.

Parts might/might not be exempt but country of final assembly might apply per duties.

Interesting times for sure. Border crossings won't get any easier or friendlier either.

 

[Victorian]

Where is the popcorn ?

 

[Ozarker]

Are you suggesting that if one were to pre-pay a vehicle order that when was built and shipped it would be exempt from new tariffs when imported ?

Is the value of a good used for calculating an import tariff influenced by whether the end customer has already paid for said good ?

Pre pay something from Amazon and are exempt from Import Duties. Is that how it works in the USA ?

No, "pre-paying" won't save you unless the dealer is an idiot, it's the delivery date that will influence price, besides, when will these tariffs become effective? Unless you're buying a fleet I doubt you can pay for a vehicle that is to be built very far into the future.

Importers pay the tariff, not the country of origin, some importer in the U.S. pays the fee and they pass that cost on to the buyer, the consumer ultimately eats the cost. All of this was clearly known before our last national election. No whining allowed!

 

[Gravelette]

As disappointing as it is that so many fell for the notion of tariffs as a quick fix, the real money guys understand. I doubt this will go beyond posturing dog whistles, smoke and mirrors. There will be some face saving, then business as usual. Our economy is the best in the world by far, the real power won't let that be destroyed. That said, we can probably count on stuff becoming more expensive each year, as always.

 

[AbleGuy]

Are you suggesting that if one were to pre-pay a vehicle order that when was built and shipped it would be exempt from new tariffs when imported ?

That’s a really good question.

I had read somewhere that the tariffs might not apply to things already “in the pipeline” and that many companies already were expanding their traditional orders for parts, materials and products hoping that to be the case (even though production and shipping time delays would mean they might not take delivery before the tariffs kick in).

At this stage it’s all rather suppositional though, ya?

 

[ThundahBeagle]

I see @AbleGuy 's point. Could these proposed tariffs raise prices across the board by making steel in general or specific parts more expensive? That is possible...

Here's what I know for sure: the price of my brand new stainless steel, US made Leatherman Rebar was a heck of a lot less in 2016/2017 than it is today. It was about 50/60 dollars then and would be 70/80 to replace today. That's already a big jump. At least it's made in US. The amount of goods manufacturing that has walked (rowed?) to China or other places is unsustainable and I hope we can keep more or bring more back.

The price of gas was about $2.75 a gallon in 2020. Seemed to jump exponentially starting around Feb of 2022. And upward over the several months after. Came down a bit since then but really only enough to keep us from chomping at the bit.

IF - and that's a big if - if certain areas can be returned to a more stabilized state, perhaps that will help keep the price of everything down: steel, parts, fuel. Everything we like to play with

 

[ThundahBeagle]

As disappointing as it is that so many fell for the notion of tariffs as a quick fix, the real money guys understand. I doubt this will go beyond posturing dog whistles, smoke and mirrors. There will be some face saving, then business as usual. Our economy is the best in the world by far, the real power won't let that be destroyed. That said, we can probably count on stuff becoming more expensive each year, as always.

Gas was $1.11 a gallon when I was in high school. It was $0.98 then years later. Let's see a little of that, maybe. Otherwise, yes I think you are right about the posturing.


I once was doing donuts in a grocery store parking lot with my piece of crap '97 Camaro. Out in the darkness at the far reaches of the parking lot, a blue light pierced the night, but just for a moment. I stopped what I was doing. Looked over to see that all along, a police car had been sitting quietly with it's back against the building near the dumpter. He didn't approach me. His point had been made and I sauntered off delicately.

Sometimes it takes just the threat.

 

[ThundahBeagle]

I am not trying to make this a political thread. But if any of you guys are thinking about buying a new rig in 2025, you might pay attention to the strategy of buying it sooner than later, before the tariffs kick in.

Here is an example of one online automobile content writer’s estimate about what could happen with new vehicle prices if the promised new tariffs kick in fully and if those extra costs are passed on to the consumer.

https://carbuzz.com/vehicles-that-stand-to-lose-trumps-tariffs-canada-mexico/

View attachment 862975View attachment 862976View attachment 862977

These estimates may be somewhat inflated, and the article might be an example of a little bit of fear mongering, but on the other hand, maybe with some of our favorite brands and models of vehicles, we are going see really steep price increases from the new tariffs.

So is it time to think about getting that order in for your new rig, and pre-paying for it before tariffs add another big increased costs?

It has already been clearly stated by members of the automotive industry that higher prices of vehicles today are the number one impediment to people buying new cars.

With regard to tariffs on products from Mexico, the biggest impact would be to car buyers, as automobiles accounted for $130 billion worth of imports last year.

The auto industry in the U.S. hasn’t spoken up too loudly and definitively yet about what the impact to that sector would be if the new 25% tariffs are imposed on cars and car parts from Mexico.

But if you wait to buy, you’re definitely rolling the dice here…

Lucky for us GM owners, I think the crew cabs only that are built in Mexico. The "double-cab" (cab-and-a-half) with the smaller rear passenger doors and 6.5 foot bed, are made in the US. Used to be Fort Wayne. I think it still is so.

 

[kperras]

I see @AbleGuy 's point. Could these proposed tariffs raise prices across the board by making steel in general or specific parts more expensive? That is possible...

Here's what I know for sure: the price of my brand new stainless steel, US made Leatherman Rebar was a heck of a lot less in 2016/2017 than it is today. It was about 50/60 dollars then and would be 70/80 to replace today. That's already a big jump. At least it's made in US. The amount of goods manufacturing that has walked (rowed?) to China or other places is unsustainable and I hope we can keep more or bring more back.

The price of gas was about $2.75 a gallon in 2020. Seemed to jump exponentially starting around Feb of 2022. And upward over the several months after. Came down a bit since then but really only enough to keep us from chomping at the bit.

IF - and that's a big if - if certain areas can be returned to a more stabilized state, perhaps that will help keep the price of everything down: steel, parts, fuel. Everything we like to play with

You're assuming that any administration including the one in power at the times you mentioned have any effect on the outcomes of activities outside their control.

Gas cheap in 2020? Because demand was drastically reduced due to a global lockdown.

Gas expensive in 2022? Because supply was drastically reduced due to a major oil supplier getting sanctioned, thus global energy supplies had to be redistributed to make up for the deficit.

Gas less expensive now? Demand is very low right now, both seasonally and due to consumer behavior.

Trump rightly touts the need to make America self reliant again, but he's demonstrated, via actions during his last presidency and at least via talk this time around, that he has no idea how to create and implement a successful strategy.

 

[yamaha225]

It would be smart for us all to remember that we’ve been down this road before with Trump. During his last presidency I was an engineer at a small manufacturing company in Maine. We made high end mechanical shaft seals. Fully designed and manufactured in the US. However we still needed raw materials to make them. Trump put tariffs on steel coming from overseas of around 25% if memory serves. Our steel vendors were US based as well, but still had to import much of their steel. Thus, prices increased drastically. We had no choice but to raise our prices to compensate and we lost sales as a result.

One other thing people often forget about tariffs is that if you put tariffs on imported goods, it raises the price of those goods. If there is another company who is making the same product domestically, they’re likely to raise their prices as well because why not? They can raise them to be just slightly cheaper than the import, make way more than they were before, and still be less than the import.

The last point I’ll make is that it takes a substantial amount of time to move manufacturing facilities around. There are hundreds of items that we import that aren’t made here in any fashion. Companies can’t just build new domestic plants overnight like many people seem to think. As a manufacturing engineer it can take me over a year just to get one new machine on the floor, let alone build a whole new plant.

Bringing manufacturing back to the US is not a bad goal, however there are much better ways to do it than putting an additional financial burden on the citizens of this country who are already burdened by corporate greed. To the OP’s point, I’d buy as many items as you can now whether that’s vehicles, parts, electronics, etc. Hopefully he doesn’t follow through but given his past track record, I’m taking him at his word and trying to prepare as best I can.

 

[Ozarker]

^ and you might recall the time when we were hearing "made in U.S.A." as Americans paid a premium over competitive prices.

Tariffs add to inflation, as your car price goes up you'll see complimentary product prices go up as well. Complimentary items for a truck would be things like floor mats, fog lights, seat covers, etc.

All this tariff talk might be nothing more than scare tactics to negotiate better trading terms. Trump opened the floor on Wall Street this morning and when asked Trump was giving a more measured response saying he would ensure our trading partners would be more fair dealing. Like-keep your eye on my right hand, watch it carefully, (while my left hand steels the candy from the baby).

I agree, if you can afford to, buy what you need or want now and buckle up.

 

[klahanie]

. If there is another company who is making the same product domestically, they’re likely to raise their prices as well because why not?

.

Why not indeed.

My jurisdiction, we used to have a single input, manufactures tax. It was a hidden tax applied unevenly depending on product. Under tax reform the Federal Gov eliminated that tax and brought in a very broad, Value Added Tax which is a visible line item on the final consumer invoice.

The public hated it and the implementing Gov was turfed, next election. (the opposition said they'd repeal but once in office ... nope.)

Anyway, many product went up in price at the time and there was a bump in inflation. Sellers blamed increased costs on the the new tax (which actually flows thru to the end buyer so is cheaper for some Industries). Dealers were actually calling us to ask how much our prices were going to go up... tempting ...

My own outfit instead took the opportunity to pocket the old Mfrs Tax, which was a Cost to us - rather than pass on our savings - and our prices stayed the same. (but the customers now paid the "New tax" on top, and blamed the Gov.

That was about a 12% boost to our revenue that year. Nice !

As for "buy now". Another component of importing/imports is currency exchange rate. Supplier Country currency devalues, material base cost should be cheaper (but not necessarily to the end consumer !)

Foreign Producers may also reduce prices to continue sales ("having the squeeze put on")

So if Tariffs are not universal and there are currency devaluations, there may be some things that become cheaper, esp if purchased direct.