Can't Get No Tariff Relief: Tesla, GM, Nissan, FCA, Uber Appeals Denied

Steph Willems
by Steph Willems

Large U.S. companies hoping to side-step the 25 percent tariff on Chinese goods by appealing to the government aren’t having much luck. Since July, the U.S. has imposed the tariff on billions of dollars worth of goods from the People’s Republic, leading to financial fallout for automakers heavily invested in the region.

And it seems no one complained more than General Motors. Tesla, Nissan, Fiat Chrysler, and Uber also sent in official gripes in the hopes of receiving an exemption, only to have the door hit them on the way out.

According to Reuters, GM sent more than 50 requests to the U.S. Trade Representative. The automaker’s appeals fell on deaf ears, however, with the USTR rejecting efforts to remove import levies on such things as electronic controllers for high-voltage battery controls, ignition switches, and electric motor components.

Recently, the USTR turned down requests from Tesla for an exemption on its Model 3 computer, touchscreen, and Autopilot “brain.” The trade rep’s office said the components were “a product strategically important or related to ‘Made in China 2025,’ or other Chinese industrial programs.”

If you’re no fan of Uber or its rentable electric bikes, you’ll be pleased to learn those two-wheeled mobility devices couldn’t wrestle themselves away from the tariff, either. Nor could Nissan, which reportedly sent in dozens of requests.

For FCA, the tariffs imposed on things like wire harnesses and the Ram 1500 and Jeep Wrangler’s electrical power steering pump could end up costing customers more at buying time. The company said, in one request, that it will be forced to “reduce its margins, pass the additional cost onto consumers, or some combination of the two.”

Tesla, which finds itself in a far more perilous financial situation that its rivals, offered up a similar refrain. Choosing a non-Chinese supplier would have pushed the Model 3 timeline ahead by a year and a half, the automaker said.

[Image: Fiat Chrysler Automobiles]

Steph Willems
Steph Willems

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  • Schmitt trigger Schmitt trigger on Jun 14, 2019

    I don't believe that they are stupid. They are actually carefully planning the financial well-being for them and the elites they serve. Corrupt? In spades, my friend, in spades. And wholly unpatriotic.

    • See 1 previous
    • Highdesertcat Highdesertcat on Jun 15, 2019

      @Lorenzo " Self-interest at the expense of others is unethical.." Does this mean you'd take a bullet for someone? Or would you willingly lose money in the stock market and other investment because of your concern for your fellow human being? IMO, self-interest is what has ensured the survival of mankind.

  • Spartan Spartan on Jun 16, 2019

    All to please a bunch of idiots who won't even buy American made products and have foreign iron sitting in their driveway. But eh, MAGA! Fools.

    • Art Vandelay Art Vandelay on Jun 17, 2019

      I like it, and 3/4 of my fleet is US built with the only non US one being a Mexican built Ford.

  • JTiberius1701 Middle of April here in NE Ohio. And that can still be shaky. Also on my Fiesta ST, I use Michelin Pilot Sport A/S tires for the winter and Bridgestone Potenza for my summer tires. No issues at all.
  • TCowner We've had a 64.5 Mustang in the family for the past 40 years. It is all original, Rangoon Red coupe with 289 (one of the first instead of the 260), Rally Pac, 4-speed, factory air, every option. Always gets smiles and thumbs ups.
  • ToolGuy This might be a good option for my spouse when it becomes available -- thought about reserving one but the $500 deposit is a little too serious. Oh sorry, that was the Volvo EX30, not the Mustang. Is Volvo part of Ford? Is the Mustang an EV? I'm so confused.
  • Mikey My late wife loved Mustangs ..We alway rented one while travelling . GM blood vetoed me purchasing one . 3 years after retirement bought an 08 rag top, followed by a 15 EB Hard top, In 18 i bought a low low mileage 05 GT rag with a stick.. The car had not been properly stored. That led to rodent issues !! Electrical nightmare. Lots of bucks !! The stick wasn't kind to my aging knees.. The 05 went to a long term dedicated Mustang guy. He loves it .. Today my garage tenant is a sweet 19 Camaro RS rag 6yl Auto. I just might take it out of hibernation this weekend. The Mustang will always hold a place in my heart.. Kudos to Ford for keeping it alive . I refuse to refer to the fake one by that storied name .
  • Ajla On the Mach-E, I still don't like it but my understanding is that it helps allow Ford to continue offering a V8 in the Mustang and F-150. Considering Dodge and Ram jumped off a cliff into 6-cylinder land there's probably some credibility to that story.
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