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Reply to "Guess we won’t be buying a new car after all "
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[quote=Anonymous]As someone who has audited cars they hedge everything in a model year, cost of metals, rubbers, Platinum, even cost of filling up gas tanks. Car companies at parent level lock in MSRP for a year. And really big companies like GM lock in inventory and make a lot of parts themselves. They are also have ability to add shifts, or even add entire 2nd and 3rd shifts. I only did my audit at GM but it is locked. They have futures contracts and everything. I did the audit of the Chevy Impala they weigh around 4,000 pounds and they sold around 300,000 a year. That 1,200,000,000 pounds of material. Before first car is built on next model year they come up with MSRP and they have hedged or locked in prices on all 1,2000,000,000 pounds of material needed. Using Chevy as an example as I did an audit there. They most like have locked in 2026 MSRP already. At recent DC auto show they had 2026 models coming out concept cars with suggested MSRP. Since talking GM where are Cadillacs made. Five American plants and one location in China. So Cadillacs can be sold in China and the US mostly tarriff free. Lansing Grand River Assembly, Michigan, U.S. Arlington Assembly, Texas, U.S. Fairfax Assembly, Kansas, U.S. Spring Hill Manufacturing, Tennessee, U.S. Shanghai GM, China [/quote]
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