Auto News The Big Short coming for the auto industry?

Stink Star

Don’t Drive Angry!
TCG Blue
Jan 20, 2008
15,657
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Big wood cock
I think we can all agree cars cost too much now, but people want all the latest features and safety regulations mean expensive stuff has to be fitted to every car.

What will break this cycle? Possibly Chinese cars. There’s a real chance that China can come in at cheap prices and do what Japan did in the 80s.
 

Blood on Blood

rumble baby rumble
Apr 6, 2005
51,853
15,500
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I think we can all agree cars cost too much now, but people want all the latest features and safety regulations mean expensive stuff has to be fitted to every car.

What will break this cycle? Possibly Chinese cars. There’s a real chance that China can come in at cheap prices and do what Japan did in the 80s.

Fuck that junk
 
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Sprayin

Public Enemy #1
TCG Blue
Oct 8, 2008
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Grand Rapids, MI
I think we can all agree cars cost too much now, but people want all the latest features and safety regulations mean expensive stuff has to be fitted to every car.

What will break this cycle? Possibly Chinese cars. There’s a real chance that China can come in at cheap prices and do what Japan did in the 80s.
You mean they aren't just ripping off (poorly) American and European cars?
 

radioguy6

TCG Elite Member
TCG Blue
May 23, 2008
10,989
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Schaumburg
I think we can all agree cars cost too much now, but people want all the latest features and safety regulations mean expensive stuff has to be fitted to every car.

What will break this cycle? Possibly Chinese cars. There’s a real chance that China can come in at cheap prices and do what Japan did in the 80s.

I think the 27.5% import tariff and piss poor safety standards keep them away. Although the EV brand Zeekr is going public sometime this year.
 
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frank

TCG Elite Member
TCG Blue
Few things I am noticing by me at the moment, dealers have more new car inventory then I have seen in the last 2-3 years, which is good but with no incentives / lease deals / apr specials those cars are going to sit.

Used cars every where are going to take a loss, especially if you bought at the auction as they were way over priced and trying to buy at the auction right now you are still paying too much. Used car inventory I have seen at big and small dealers as well a few classic car dealers, the lots are getting empty, 75+ cars on a lot are in the 30-40’s top.

My mom who runs a gm dealer in the south burbs, said they have used car inventory but the prices are dropping and taking a small loss on each car in some ways just to get them off the lot.

repo’s are going to happen no matter what, banks take the risks, and in the long run the dealers are the winners, dealers made profit on the car, financing profits ( dealers only need the customer to make 3 payments to collect financing money ) then the car gets repo’d and dealers buy them cheap from the bank auctions and resell and make profits again … viscous circle .

It’s going to be a crazy market and I’m starting to see prices on both dealer and private party sales dropping for the better.
 

frank

TCG Elite Member
TCG Blue
Seen this the other day

Boss Says Automakers Will Soon Offer Discounts On New Cars Again

 
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Intel

TCG Elite Member
Oct 28, 2009
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Palatine
The interesting issue is with how few new cars were sold/leased during the pandemic compared and how that will affect the used market for cars that are 4 years and newer. I am still waiting to see if I need to be able to fit 3 car seats and that will determine what I need to get next. Been stuck in limbo with mazda3 for a while now.
 

Turk

Lt. Ron "Slider" Kerner
TCG Blue
Jan 21, 2008
27,482
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The average Americans net worth is heavily weighted on home equity, that’s why 08 hurt so much. Not only did people lose their homes, they lost their net worth at the same time.

With cars, anybody with a brain knows they will lose value over time. In other words, who cares if this “market” crashes?!
 

N20GT

TCG Elite Member
Staff member
TCG Blue
Sep 6, 2006
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Crown point, IN
The average Americans net worth is heavily weighted on home equity, that’s why 08 hurt so much. Not only did people lose their homes, they lost their net worth at the same time.

With cars, anybody with a brain knows they will lose value over time. In other words, who cares if this “market” crashes?!
I hope it does lol