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Importing Canadian Vehicles to the U.S.

391 messages,  Last post on Dec 07, 2008 at 6:29 AM

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#332 of 391 Yes by tboner1965 Sep 03, 2002 (11:04 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) Canadian merchants are assisting US consumers who wish to skirt US law.   Not a good story for either party in the transaction.   TB
#333 of 391 tboner... by robr2 Sep 03, 2002 (11:54 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) ...Ultimately it's the automobile manufacturers and those US dealers that can be easily hurt by cross border transactions ie those close to the Canadian border.   First, the manufacturer makes less on a Canadian spec unit because it is sold at a lower invoice to a Canadian dealer as compared to a US spec unit sold to a US dealer. As discussed before, Canadian prices are lower due to their economy and yes US consumers essentially subsidize Canada consumers in the profit column.   Second, the manufacturer wants/needs to protect dealers near the border who are most affected by the lower prices in Canada. Although dealers say that there is little money to be made on new car sales, they still have to sell them in order to keep their franchise. My understanding is the following:   dealers are allocated vehicles by the manufacturer - ie they take what is given to them and they have to sell them - even at invoice - in order to keep from going out of business   they have to sell them in order to keep their franchise - sales drop and the manufacturer can pull the franchise   they must be an authorized dealer in order to do warranty repairs although the trend is that manufacturers are cutting the payment on this work and it is no longer a great profit center.   So dealers along the border lose whatever profit from a sale, get flack from the manufacturer for drop in sales, and get to do warranty repairs that don't cover the rent. The dealer closes its doors and sends everyone home. Dealer complains to the manufacturer and they put in place the rules that limit warranty coverage on gray market units.   I've said it before - it will stop only with an increase in Canadian prices to eliminate the advantage.   It doesn't help that many dealers are also importers and are essentially cutting their own throats for short term profitability.
#334 of 391 Water Closets by robr2 Sep 03, 2002 (11:56 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) It is perfectly legal for someone to bring a WC into the US that uses more than 1.6 gallons - the installation of said WC is illegal based on today's plumbing codes.
#335 of 391 Robert by raybear Sep 03, 2002 (12:48 pm)
Replying to: dusti (Apr 16, 2002 3:53 pm) I've said it before - it will stop only with an increase in Canadian prices to eliminate the advantage.   What's wrong with pushing for a drop in US prices?
#336 of 391 by kcram HOST Sep 03, 2002 (2:16 pm)
Replying to: dusti (Apr 16, 2002 3:53 pm) Excuse me while I flush the toilet talk <hint>   kcram Host Smart Shopper and FWI Message Boards
#337 of 391 Wow by masspector Sep 03, 2002 (3:51 pm)
Replying to: dusti (Apr 16, 2002 3:53 pm) Leave the boards for a few days and didn't know I was missing such a hot topic.   Raybear--Exactly. Funny how the price always has to go up.   royce--great example of the shoe on the other foot.   tboner- outstanding as usual. I totally agree. Corporations always take advantage of favorable money or wage rates, etc, but heaven forbid that a consumer can do the exact same thing. Completely hypocritical in my opinon. Companies spend hundreds of thousands of dollars lobbying politicians in both countries for favorable laws for them, but an individual buyer does not have that same political power or clout.   rob--I hated it in school when the whole class got punished for one person's behavior. It wasn't fair then and it still isn't fair now.   landru--I can see where you are coming from in being so opposed to this subject, because it does impact your paycheck. If my company was closing my plant to move it to canada I am sure I would oppose it to. But this discussion needs to be about canadian and US consumers and car makers, not individual car salesmen. Also I do not see the canadian govt pushig away visitors and tourists to your country. I love coming to Vancouver and when I am there I buy many items to bring back home with me. Grey market has never been an issue with my purchases. But yes I am taking advantage of the exchange rate, I am getting a great trip at a great price, a win for me and a win for the merchants that I am buying from and a win for the canadians that are employed because I am coming there for a trip and spending money.   kcram---With all due respect, can we get real? Its a car. Its a car when it rolls off the assembly line, its a car when it gets off the truck in Canada, its a car when someone buys it. Playing semantics about it is a product and the dealer is not the end user just clouds the subject. You said "Ford is "selling" the car to the dealership " and then the dealer sells it to me. I do not see any difference. If the govt wants to invent some red tape to say I have to title a car, but not my microwave, that doesn't make a car any less of a commodity.   I have an analogy I like to apply to human behavior. We learned in chemsitry class in college that electrons orbiting the nucleus of an atom reside on different level energy shells each stacked one above another. Without an outside stimulus, each electron will try to seek its lowest energy level. This is its natural behavior. It is my opinion that all things in nature follow this same principle, humans included. Cheetahs do not run at 100 mph all day, only when they need to to eat. For all of our noble ideas of being hard workers and superior level creatures, we are all basically seeking that lowest energy level. I think most people if they could quit there job tomorrow and be financially well off for the rest of their lives to pursue their dreams or hobbies would do it. I know I would. This is exactly what this grey market is about. Without an outside stimulus, US buyers follow the path to the lowest price. Now manufacturers are providing that outside stimulus by not honoring their warranty promises.
#338 of 391 raybear - by robr2 Sep 03, 2002 (4:06 pm)
Replying to: dusti (Apr 16, 2002 3:53 pm) Nothing wrong with pushing for a drop in prices but do you believe it to be a possibility?   Can you image Bill Ford, Bob Lutz, and Dieter Zetsch telling their respective companies: "Let's see the public wants more features, greater saftey systems, longer warranty, etc. Maybe we should add all that stuff and drop our price in the largest auto market in the world. Oh and tell the dealer body we're gonna cut their profit as well."   Um - in my world that never happens.
#339 of 391 robr2 by tboner1965 Sep 04, 2002 (2:17 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) Welcome to my world. The computer market is so competative that not only do you get more features, but you pay less money for the computer.   So yes, I can easily see products with more features, better performance, and a lower price tag.   I see them every day   TB
#340 of 391 Tboner1965 .. by rroyce10 Sep 04, 2002 (2:45 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) .... Hey, what do you think of the Alienware computers ..?          Terry.
#341 of 391 Terry by tboner1965 Sep 04, 2002 (2:50 am)
Replying to: dusti (Apr 16, 2002 3:53 pm) I don't really know much about PCs anymore. I install and maintain midrange to highend systems that use anywhere from 1 to 106 processors.   And not a one of them runs WinBloze.   Sorry, don't have much to offer on that topic.   TB

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