The $25k car is going extinct?
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The $25k car is going extinct?
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Re: The $25k car is going extinct?
#2[deleted]
Re: The $25k car is going extinct?
#3Daydream: For types of cars/trucks which are generally unavailable on the American market, tariffs and import restrictions are keep rather modest.
Re: The $25k car is going extinct?
#4Daydream: For types of cars/trucks which are generally unavailable on the American market, tariffs and import restrictions are keep rather modest.
Would make sense - why protect a market that no US manufacturer seems to want to support!
Of course the US manufacturers are hoping that you'll just take out a loan, preferably with them (this is how they make their profit - financing and servicing) and buy something far more expensive than you want/need.
Re: The $25k car is going extinct?
#5Dealership near me has got some 2024-25 model Mitsubishis for like 19k new. They look pretty sweet.
Re: The $25k car is going extinct?
#6[deleted]
Re: The $25k car is going extinct?
#7It's pretty simple (in the US, can't speak for elsewhere).
There are 2 big factors at play:
1. Margins. Manufacturers make huge margins on expensive vehicles and very slim margins on cheap vehicles. The numbers differ, but I think even in the lead up to the 2008 crisis automakers had to sell 5-10 "econobox" cars to make the profit they made on one luxury car, SUV, or truck.
2. Normalization of debt. For many Americans, having a monthly car payment in perpetuity is considered acceptable. Car loans have their place and can be used responsibly, but due to marketing, sales tactics, and cultural sensibilities what often ends up happening is that people start from a monthly dollar amount and then work forwards to buy the most expensive vehicle they can, even if it means taking the loan term out to 72 or 84 months. It's also very normal for people to never pay off their car, instead trading in the vehicle after 3-5 years and rolling equity in the loan over to their next car. Obviously, this consumer habit is great for dealers, manufacturers, creditors and buyers of consumer debt, as well as the US Government and investors -- it's just not ideal for the consumers themselves if they're trying to preserve wealth and build savings.
These two factors create an environment increasingly hostile to the cheap entry level car. Consumer demand is low since most don't spend responsibly, and automakers don't really want to make or sell them because the margins are so slim.
Re: The $25k car is going extinct?
#8We don't want affordable Chinese EVs.
That's the answer here. They can build cars better, cheaper, faster than we can.
Instead Ford wants to sell a 80k SUPER F-250 BIG MANN TRUCK. All for what, you to drive 10 minutes to Walmart, buy groceries and drive back.
The best car is the one you don't own. No payments, insurance, parking tickets.
Unfortunately most American cities are centered around driving. So much money , and space wasted on these multi ton metal boxes. In many places most(much) of the city is literally just parking spaces.
Re: The $25k car is going extinct?
#9https://www.slate.auto/
With rebates a 20,000 truck. Who knows what it will cost when it actually comes out. But I love the concept.
Re: The $25k car is going extinct?
#10We don't want affordable Chinese EVs. That's the answer here. They can build cars better, cheaper, faster than we can. Instead Ford wants to sell a 80k SUPER F-250 BIG MANN TRUCK. All for what, you to drive 10 minutes to Walmart, buy groceries and drive back. The best car is the one you don't own. No payments, insurance, parking tickets. Unfortunately most American cities are centered around driving. So much money ,…
F-450 King Ranch Super Deluxe.. all made from plastic and guaranteed not to last longer than 8 years. Most engines of new vehicles are sleeved and cannot be rebuilt in the spirit of designed for manufacturing and profits > designed for durability.