Mexican Media Brands
BMW Hikes Prices for U.S.-Built Cars Sold in China
BMW AG has become the first high-volume carmaker to raise prices on vehicles it ships from the U.S. to China to partly offset the latter country’s retaliatory import tariffs.
#economics
Share
BMW AG has become the first high-volume carmaker to raise prices on vehicles it ships from the U.S. to China to partly offset the latter country’s retaliatory import tariffs.
The same issue prompted Tesla Inc. three weeks ago to boost prices by about 20% on the American-made electric vehicles it sells in China.
BMW says it is hiking prices for its U.S-built X5 and X6 crossover vehicles by 4% and 7%, respectively. The new prices take effect today.
The increases are intended to offset higher import taxes China implemented in response to U.S. tariffs on aluminum and steel. China had lowered its import levies on cars from 25% to 15% on July 1. But it raised them to 40% a few days later when the U.S. imposed additional taxes on $50 billion worth of Chinese goods.
BMW, which is America’s largest vehicle exporter, ships about 260,000 SUV/crossovers annually from the U.S. to markets overseas.
RELATED CONTENT
-
Is The V8 Dead?
Tougher fuel economy standards may be the end of most V8s.
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.
-
MTU Research to Boost Fuel Economy ~20%
Researchers are using V2X communications and other methods to provide vehicles with a significant increase in fuel economy.