Posted on 01/17/2017 12:44:31 AM PST by TigerClaws
Hyundai Motor Group said Tuesday it will significantly increase its investment in the U.S. while Donald Trump is president and is considering building a new U.S. factory.
Chung Jin Haeng, a president of the world's fifth-largest automotive group, said Hyundai Motor, Kia Motors and their affiliated companies will spend $3.1 billion by 2021 on research and development and maintaining their factories in Alabama and Georgia.
That represents a 50 percent increase from the $2.1 billion the companies invested in the U.S. in 2012-2016. The increased spending comes mostly from research and development, as the South Korean maker of the Genesis and Tucson invests in artificial intelligence, autonomous driving, environmentally friendly cars and other future technologies.
Chung said Hyundai will study building a new U.S. factory if demand for cars rises during Trump's administration. The new administration's promise to create 1 million jobs and attract new companies could stimulate demand for cars and other products, he said.
"If there is such a sign, we will immediately review (the new plant)," he told reporters. "We won't miss when the time is right."
(Excerpt) Read more at abcnews.go.com ...
MAGA!
Do we make anything that is going to have a 35 percent tariff thrown at it? I dont know what we make anymore and if putting a tariff on it is a good or bad strategy by another country.
Will this affect US motor companies overseas or are American company’s overseas sales small in number?
I would assume that we are by far the largest buyer of cars in the world. What percentage of the worlds sales are in the US, I dont know.
Most of the GM cars in China are made there.
Boring might take a hit but maybe not. Not many places make airliners
how is it making America great again to have foreign companies grow big in USA? Yes it may employ workers but it’s still enriching foreigners all the more.
I’d rather Americans open companies or expand companies in USA and hire USA citizens, that to me is MAGA !
The 2015 - 2017 Genesis AWD ultimate edition sedan (Now the G80) is an outstanding, gorgeous sedan.
That’s good news. I can’t imagine Ford or Chevrolet does major sales in Europe. I could be wrong.
Ford is HUGE in Europe. GM is also.
You would be surprised by the number of US labeled on cars cruising down the autobahn.
(I always rent a car when in Europe - none of that Euro-rail nonsense for me)
Won’t they slap a huge tariff on Ford? The Europeans, that is.
Oh, I should add the Ford and GM cars sold in Europe are
WAY ahead in design, etc from the cars they sell in the US.
The first thing you say/think is why in the heck don’t they
sell/make these cars stateside. Yes, there’s that much difference!!
What?!?! Why?!?!
Fords and GMs are built and designed in Europe.
Like I mentioned in my previous post.
The GMs and Fords in Europe are way ahead of what they produce in the US.
They are amazing cars.
That’s a dang good question.
WHY WOULD different cars be made for different countries?
And why are we getting the not as good ones?
i know they’re different plants. WTF has that got to do with getting ####ier cars?
Could be most of the design and engineering is done in Germany.
I don’t know why some of the Euro engineering isn’t cross-pollinated with the US cars.
Let me say this.
We Americans LOVE our cars.
You have never witnessed a passion for cars like you will with Germans.
Krauts are car CRAZY!!!
I could drive hours in Tokyo or around other Japanese cities and never see a US automobile . German , yes , because they are as well made as Japanese cars . GM ? Blah ...
Cars in the United States are, by and large, commuting appliances. Buyers want a comfortable, relatively bulletproof conveyance to get them back and forth to work, primarily, for as little money as possible. Cutting edge doesn’t interest most US buyers, they want tried and true.
Cars in Europe are, by and large, status symbols, even the small economy cars. Commuting when it is done is usually via public transport. All cars are very expensive by comparison to what we pay here. They’re therefore interested in the latest and greatest tech, and are demanding about materials and design. Time spent and miles driven in these cars isn’t nearly to the extent of the US, so their perception of reliability is different from ours. Maintenance is more demanding and more frequent.
Most US models find little success in Europe, because they’re just too large in their perception, they’re on the dull side as far as materials and design, the quality particularly of the interiors seems subpar to them, they’re not adapted to their markets and they’re still very expensive. There are some exceptions, for instance the latest Ford Mustang, which has been designed for export as well as for domestic sales.
Most European models find little success in the US, believe it or not. What we think are European cars are about as European as Fords built for Europe are American. Actual European models are usually too high maintenance, they don’t have that sort of cushy living room commuting environment. Their reliability isn’t what Americans demand, so they fail. See practically any French manufacturer, most Italian and really anything but German. The Germans made the effort to succeed in the US, and adapted. The others didn’t.
I can’t disagree with most of what you say.
However, my take is that GM (Opel/Vauxhall) and Ford in Europe do a bang-up job with the cars for the European market. A much better design, IMHO.
All of my travels in Europe are to out of the way places.
Smaller towns where many people do own cars.
Btt
There’s been a fair amount of cross-pollination between US and European divisions of Ford and GM where possible, meaning small to midsize cars by our standards. The visual difference is diminishing over time as the crash testing and safety requirements, etc. become standardized between markets. US buyers are less adventurous as a group, so distinctiveness gets sort of homogenized down. Materials are downgraded for cost purposes and to prevent cannibalization of sales for models designated as more upmarket status cars. Length of model run is often greater for these vehicles in the US than in Europe. European market is driven by small cars, so it’s more competitive. The US is not, so it lags by comparison.
We are already experiencing tariffs in either singular items taxed or limiting the numbers that may even be considered for import which is also a tariff. Insomuch as we are the most productive nation when we can work at it, we have what they need. Where else are they going to get it on any kind of schedule they can rely on? That is the magic of the American economy when it is unbridled.
US companies overseas already pay under the table tariffs in pay to play schemes. I knew it happened but was not aware of the scale until I was in other countries supervising the construction and start-up for plants I designed. Everything has an initial negotiation not for the contract, but for the payola that must be paid to even get to the table.
This unseen tariff is what will bring back multitudes of factories and R&D when the repatriation fees are greatly dropped and especially the 15% corporate tax rate promised by Trump. We are gong to experience an absolute explosion of work and commerce.
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