Toyota announces $ 10 billion hit from Tariffs ...

[Gasherbrum]

That's 1.5 trillion yen. By far the biggest of any automaker (not a surprise since they also sell the most vehicles). GM is projecting a hit of over $ 4 billion, Ford expects a hit of $ 3 billion. Interesting that Toyota announced at the same time that they are going to build a new factory in Japan. I think a signal that they are going to continue to concentrate on the global market rather than change their business strategy simply to accommodate US tariffs. Personally I don't see how Toyota vehicles manufactured in Japan and exported to the US (such as the LC) aren't going to see a price increase.

Toyota announces $ 10 billion hit from Tariffs.

 

[Lineman]

Build it in the USA and see ZERO tariffs.
So easy, even a caveman can do it.

 

[bgeorger]

Build it in the USA and see ZERO tariffs.
So easy, even a caveman can do it.

It actually isn't that easy as parts are sourced from all over the world and would be subject to the same tariffs. So, while it would save some of the tariff it wouldn't save it all. It would require years of preparation and planning to move the assembly into the US and even then it wouldn't eliminate the tariff burden. I agree with the America first sentiment, but it needs to be announced and give the companies time to move production. It is crushing the American public.

 

[chris_in_phx]

It actually isn't that easy as parts are sourced from all over the world and would be subject to the same tariffs. So, while it would save some of the tariff it wouldn't save it all. It would require years of preparation and planning to move the assembly into the US and even then it wouldn't eliminate the tariff burden. I agree with the America first sentiment, but it needs to be announced and give the companies time to move production. It is crushing the American public.

Yup this.

 

[Lineman]

This Administration was successful in Nov of 2024… They knew it was going to be a USA first administration. We are coming up on a year since the win… Sorry, but these people have had almost a year to plan. Nippon Steel has purchased US Steel and so materials seems to not be the problem. It just seems that they believe in “waiting” out the current administration will ultimately be successful. It won’t…

 

[Lainford Express]

We are coming up on a year since the win… Sorry, but these people have had almost a year to plan.

Tell me you have no idea what you're talking about without telling me you have no idea what you're talking about.

 

[Altitude]

Toyota sells about 23% of its vehicles in the USA and actually has moved production here for its highest volume US models, like the Highlander.

Even if Toyota could somehow instantly move all of its vehicle production here, why would they? They are a global manufacturer. They sell more cars in Japan than they sell here and almost as many in China as here. It would make no sense.

If you want to buy an American made car, buy one. I’m fine with that choice being left to each buyer, let the market drive innovation and quality, and let’s not disguise a tax increase as something good for our workers.

 

[supernova]

If I was a car manufacturer, I would sit out the storm.


American consumer now prefer to buy cheap Walmart items that last them a year and then replace it with the next newer cheap item.
It used to be the other way around 20/30 years ago, when the consumer wanted some that lasted for5/10 years and cost more

 

[Altitude]

If I was a car manufacturer, I would sit out the storm.

I would too, until there’s evidence that the tariff program is helping the US economy and will be sustained by whomever is in office next.

 

[RideWithYanu]

Build it in the USA and see ZERO tariffs.
So easy, even a caveman can do it.

One of the greatest appeals of the Land Cruiser is that they are fully made in Japan. If you want to buy shitty American-made cars, there are plenty available without ruining Land Cruisers.

Miss me with “America first” BS.

 

[supernova]

I would too, until there’s evidence that the tariff program is helping the US economy and will be sustained by whomever is in office next.

you are right, 1 administration comes in and say go electric, EPA in full swing. Car manufactures retool . Then the 2nd administration comes in and says no EPA rules, ICE engines preferred. Now its up to the manufacturers to again retool or just wait it out so that the next administration changes rules back again

 

[HILC250]

Build it in the USA and see ZERO tariffs.
So easy, even a caveman can do it.

Steel and aluminum tariffs are at 50% currently. Why would toyota build here instead of in Japan and only take a 15% tariff hit?

 

[BlueCruiser]

Haven't we seen this movie before in the 1980s?

 

[Lainford Express]

They sell more cars in Japan than they sell here and almost as many in China as here. It would make no sense.

They sell more vehicles in the US than Japan. The US is like 4x the auto market that Japan is, but they have a much much much higher sales share of the Japanese market (nearly 50% some years, compared to 15% of the US).

 

[Lainford Express]

Haven't we seen this movie before in the 1980s?

This is a really good movie, and the true story of NUMMI is actually pretty amazing.

 

[Altitude]

They sell more vehicles in the US than Japan. The US is like 4x the auto market that Japan is, but they have a much much much higher sales share of the Japanese market (nearly 50% some years, compared to 15% of the US).

When I researched that post yesterday I didn’t include Lexus. Including Lexus, they do indeed sell more cars in the US than in Japan. Without Lexus, Toyota sells more in Japan than here.

Data source:

Financial Results | Shareholders & Investors News | Toyota Motor Corporation Official Global Website

Toyota Motor Corporation’s latest financial results can be viewed here. Toyota strives to continuously grow alongside our stakeholders by sustainably raising our corporate value.

global.toyota

 

[NoMe cruiser]

One of the greatest appeals of the Land Cruiser is that they are fully made in Japan.

My OEM rims have stamped on them “made in china”. I am certain the vehicle is assembled in Japan, but chances are that many parts are sourced from several countries.

 

[Tim]

Assign build slots to the UK where we're short of new builds, problem solved

 

[supernova]

My OEM rims have stamped on them “made in china”. I am certain the vehicle is assembled in Japan, but chances are that many parts are sourced from several countries.

also upto 30 percent of all chip components come from China.