Last post on Nov 27, 2013 at 4:01 PM
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With parts coming from everywhere, does "Buying American" have much meaning anymore? Is quality and price the bottom line?
Jun 19, 2013 (5:23 pm)
"Following the money isn't easy. All carmakers are global companies and they employ people in multiple nations. They build cars in North and South America, Europe, Asia and Australia. And they pay taxes (when they pay taxes) wherever they do business.
With a foreign carmaker such as Hyundai, Porsche or Toyota, the profits primarily go back to shareholders in their home countries.
If a carmaker assembles its vehicles in the U.S., however, the index grants it full marks in the "labor" category, as well as in the category of "inventory, capital and other expenses." Those scores reflect the wages the carmaker paid to American workers, the money it reinvested in U.S. manufacturing facilities and taxes it paid here, DuBois says."
Foreign Cars Made in America: Where Does the Money Go?
#18086 of 18912 Re: top ten list [Stever@Edmunds]
Jun 20, 2013 (3:52 am)
Does the Kogod Made in America index mean made in one or more of the 50 States of the United States of America?
#18088 of 18912 Re: top ten list [xrunner2]
by Stever@Edmunds HOST
Jun 20, 2013 (5:42 am)
"For the consumer who simply wants to know, “Was this car made in America or not?” a clear answer is almost impossible." (kogodnow.com)
"On its Web site, the National Highway Traffic Safety Administration publishes the American Automobile Labeling Act (AALA) lists for model years dating back to 2007. They're organized by percentage of domestic content and alphabetically by manufacturer.
But the AALA list is puzzling right off the bat. Under its provisions, for example, the term "American" covers both U.S. and Canadian content.
The subhead? - Your Choice Starts With Your Definition"
How To Buy an American Car
Interesting side note from my first link - Professor DuBois was a VW mechanic at one time. "He anticipates the index will draw criticism from manufacturers. His response? “Show me something better.”
#18089 of 18912 Re: top ten list [Stever@Edmunds]
Jun 20, 2013 (6:03 am)
That might be the best way to look at it - your choice is your definition. Maybe not put total stock in the opinions of either manufacturers or academia as well, but do your own research and use your own values. That's why labeling of all consumer products is important - and sadly for some products, those who buy the rules in this market oligarchy have exempted themselves.
IMO, place of final assembly is likely the most important facet, with powertrain source also up there.
#18090 of 18912 Re: top ten list [fintail]
by Stever@Edmunds HOST
Jun 20, 2013 (6:23 am)
So, all the stamped steel, machined parts, plastic bits and nuts and bolts get shipped from China and assembled in Detroit by Brazilian robots in an American company based in Turin, Italy. Works for me.
#18091 of 18912 Re: top ten list [Stever@Edmunds]
Jun 20, 2013 (6:25 am)
I can't think of a car here with those origins. Sounds like hyperbole. Chinese steel? I'll drive my old beast forever rather than go that route.
The corporate overlords who have the bleeding heart one worlders on a short leash need to be required to label the origin of all parts and assembly. There's no reason not to do so, other than deception that enables their own pay to grow. Everything in the world is not equal.
#18092 of 18912 Re: top ten list [Stever@Edmunds]
Jun 20, 2013 (6:37 am)
Kogod's list starts off less than accurate. "Profit margin" none of the auto makers profits all end up in the USA. Saying it is related to the name plate is not honest. All of the manufacturers are multinational corps. If he had researched and graded that number from 0-6 based on the percentage of taxed income in the USA, it would be legit. I can buy TM (Toyota) stock on the NYSE. I would bet a lot of big pension funds in the USA have TM stock. All pay some taxes from profit in the USA. I would think labor would be higher. But it was their study, and sort of like the CNW study you can take it or leave it.
#18093 of 18912 Re: top ten list [gagrice]
by Stever@Edmunds HOST
Jun 20, 2013 (6:41 am)
If he had researched and graded that number from 0-6 based on the percentage of taxed income in the USA, it would be legit.
They'd all be tied at zero.
I think there was a WSJ article this week about how many bridges are being repaired with Chinese steel, Fin. Better be careful where you drive that German steel car.
Reminds me of all the hoo-hah over building the TransAlaska Pipeline - US jobs and energy independence kept getting bandied about. Yet all the pipe came from Japan.