USA Today Is Insane

by Bertel Schmitt

March 20th, 2012 1:48 PM

In the market for an upscale Mercedes? Are you a reader of USA Today? In that case, stop talking to your travel agent. If you have already booked a ticket to Beijing, cancel it. USA Today fooled you. Most likely without malice. USA Today doesn’t know better.

Today, USA Today writes:

“If you’re looking for a deal on a luxury car, head to China. That’s where Mercedes-Benz is cutting as much as 25% off the price of some of its swankiest models.

Bloomberg News reports that China, an automaker’s paradise of anxious buyers only a couple years ago, is getting a lot tougher for those who want to sell to those who drive the very best.

Besides Mercedes, BMW and Audi are having to offer discounts of 20% on their flagships.”

Before you head to China, you may want to know what one has to pay there for one of those swank Mercedes cars. Due to murderous duties and taxes on those imported swank cars, prices in China are a tad higher than back home.

According to the Mercedes-Benz website, a Mercedes-Benz S 600 L (they only have longs,) costs 2,598,000 yuan in China. That is $410,821. Before all kinds of other taxes. A Mercedes S 600 (normal) is listed at $162,975 MSRP in the U.S. TrueCar says I should get one for $153,518. Even if I get that 25 percent discount in China, the price I pay here would buy me two S 600 in the U.S.

#BertelSchmitt #Mercedes #USAToday

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10 of 26 comments

Davekaybsc on Mar 20, 2012

What's the Euro delivery price for the S600? That at least used to be the smart way to buy German, not buying in China. Nice discount, little vacation to Germany at least somewhat paid for by the factory.

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Kimnkk on Mar 20, 2012

lol you think that's bad... spare a thought for Australians. $437,463.90 is what we pay for an S600L after taxes. Even the cheapest BMW (320i lolll) is $60,000 after taxes! We pay double to triple what you guys pay, especially true for anything european!

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- 28-Cars-Later on Mar 20, 2012
  
  Ridiculous, 60K AUD for a 3 series. Pretty soon they'll punch you with carbon taxes too. As an American who does follow Australian politics... time to revolt mate, toss that she-devil Gillard and her Green commie pals into jail where they belong. Maybe we'd get enough inspiration to do the same in our neck of the woods. :)
  
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- Pch101 on Mar 20, 2012
  
  @28-Cars-Later "As an American who does follow Australian politics… time to revolt mate, toss that she-devil Gillard and her Green commie pals into jail where they belong." Gillard has nothing to do with high car prices in Australia.
  
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- Grinchsmate on Mar 22, 2012
  
  @28-Cars-Later Gillard does have a bit to do with the car prices. New cars sold in Australia are subjets to several federal taxes including; a 5% tarrif on imported cars, a 10% goods and services tax, and a 33% luxury car tax on tthe cost of a car over AUD 57466. As the prime minister Gillard is responsible for the federal taxation regime Cars are also subject to stamp duty levied by the states, this ranges from 2.5% to 6.5%. There are other reasons for the high cost of cars in Australia including the small size of the market, the distance from manufactures, the higher costs of doing business in Australia, and the willingness of Australians to pay higher prices.
  
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Norma on Mar 20, 2012

BTW, Bertel, how much is the "entry level" c-class that starts from RMB 308k (MSRP??) in USD?

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- Acuraandy on Mar 21, 2012
  
  @Norma: According to 'The Google' currency conversion, An entry level C-Class Merc in the People's Republic runs approximately US$48703.42. What's one in the US? $34,800 (according to mbusa.com). Makes that $27k ILX look like a bargain, eh? (Sorry guys, had to throw that one in there) Of course, since Acura sells in Hong Kong as well as NA, the ILX may be MUCH more expensive there, since a $35k USDM C-Class costs (pre-OPPRESSIVE, COMMUNISTIC taxes) $49k. So, I guess that would make the ILX, what, $40k-ish? I'm a big Acura/Honda guy, but, to all ya'll Hong Kong guys (if your internet hasn't been shut off by the gov't by now), a valid question: would you pay $40k (or $209619.90 in HK$) for a modern day Cimmaron? Ouch, my head hurts...
  
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- Norma on Mar 21, 2012
  
  @acuraandy Ah, since you have access to internet without being watched by Big Bro., would you care to investigate the auto pricing in China (other than North America, what other places do not adopt on-the-road prices)?
  
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- Acuraandy on Mar 21, 2012
  
  @acuraandy Isn't Hong Kong a Chinese territory?
  
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Yes_but_maybe on Mar 21, 2012

BUT...would you have to pay the tax if the vehicle was not going to be used in the country? Alternatively, would you get the tax refunded if you immediately exported it?

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