Forum: HoseHeads Sprint Car General Forum (go)
Moderators: dirtonly  /  dmantx  /  hosehead

This has been weighing on my mind for awhile now and after, "Liberation Day" yesterday Im going to share my thoughts.

Sprint car chassis, shocks, tires, and engines, include imported materials (aluminum and steel). Tariffs on these materials will increase manufacturing costs, leading to higher prices for race teams.

Tariffs on crude oil drive up the costs of methanol affecting smaller-budget racers the most.

Companies that sponsor racing teams probabaly will cut back on spending, reducing sponsorship opportunities. Increased costs for tracks and promoters = higher ticket prices.

Larger, well-funded teams might absorb increased costs better than smaller, independent teams.  Widening the gap between top-tier teams and grassroots racers. Some teams might cut back on travel, less cars = less competition,

Tariffs will make it more expensive to participate in sprint car racing, affecting teams, manufacturers, and fans alike!!!

Some very good points.  However the opposite of liberation is oppression and that is exactly what Trump is attempting to force on other nations, even our friends.  As far as chassis.  If a 25% tariff is added to the cost of a XXX chassis and other China purchased componnets, it will then be cheaper to buy American made, keeping or adding more craftsmen to the workforce.  Perhaps, a good thing.  As for tarrifs n crude oil?  No affect on the cost of fuel as methanol is not a hydrocarbon.  And yes, very well, tariffs will have an affect on sponsorship money.  When profits decline because of Trumps lamebrain tariffs, they will cut back. 

A couple of things to consider here. One a lot of people don't think of (and some don't want you to think of) is that the tarrif is on the wholesale price of goods. This usually 25 to 30 percentof the retail price. A 20% tarriff does not mean a 20% increase in retail price, Another is most of these tarriffs will never happen, they are just a nogotiating tool as they are going to be on countries that charge a tarriff on our goods going into their country. It is hard to figure out if tarriffs are good for their economy why are they bad for ours? You hear a lot about Canada crying about us putting tarriffs on their goods. Just last week China put a 100% tarriff on some Canadian grains going to China and I have not heard a peep from them on that. The thing is many of thses things go a lot deeper than you hear from any news outlet.

Your assessment of retail vs. wholesale is correct.  I've heard the price of a car could increase by as much as $25,000.  You would have to be buying a 100% foreign made car that retails for $200,000-$300,000 (or even more, depending on the markup) for that number to be true.  So yes, TONS of media hype by inflating of numbers.  When you buy a $50,000 SUV, that SUV wholesales for a fraction of the sticker price---which is what the tariff is based on. 

That said, I don't think these tariffs were a good idea at all.  Our economy has been long overdue for a recession, and a nasty one at that.  I think this is the spark that is gonna get that fire going.  If some deals aren't made, and soon, this will be worse than the 2008-2009 downturn.   Hope I'm completely wrong.  All my money got moved to Money Markets on Monday.  

After seeing how lopsided these tarrifs were this should have happened years ago. Crappy trade agreements screwed this country long ago, it's time to flip the script. Yeah it sucks now but Doge, tarrifs all of this long term will be a good thing. If people don't like the price don't buy their junk, it's as easy as that.

Tariffs are gonna make everything worse

OK, the idea is that by making foreign goods more expensive, it encourages people to buy American. But we don't have the capacity to make half this stuff any more, and the BIG thing is that it takes years to start factories, & maybe days, weeks or months to wreck the global economy. Textile industry: one of the first big developments of the Industrial Revolution. Now damn near ALL our clothes are made overseas.... think USA is gonna build new textile mills & Americans are gonna want to work in sweatshops for low wages? I don't.... Steel industry: foreign plants are way more modernized & it takes lots of time & huge investments  to build them. Are Americans willing to pay more for years until these industries crank up?

So you think companies are gonna keep retail price the same & eat the difference between pre & post tariff wholesale prices? Cut their profits???

C'mon....

It could help US chassis builders cause we already have shops to  build them here & its not a huge high volume industry. Expand the shop & hire more welders... cool :)

A steel mill is another thing entirely

Why don't you point out where I said any such thing.

As  a Canadian I have wondered how much of this was thrown around in your media. I think the over all intention seems good if Americans can gear up and produce. I see small chassis shops benefitting from this. They can hire and work 24 hrs a day without needing to build a shop and then down size in 4 years when your next leader invites communist products back into America.

More inportantly, I also believe most of these tarriffs are smoke screen pry bars being used to open other areas of concern. Our  govt has sold us out and I apppreciate your govt exposing this reality our our citizens. We've been lullabied by our media and silenced as whistle blowers. Our citizens have finally stood up to say we want our sovereignty, but only because your Pres teased us about taking it away. We've given it away over the last 9 years and your Pres opened our eyes. But in the mean time as  people on both sides of the border realize its good to buy locally lets spend that money on this continent.

Even though I may not know you, I 
care what most of you think!

I have wondered how many Canadians actually think the way that ones flooding facebook with the crying about this. I have gotten so tired of seeing it that I unfollow anyone posting anything Canada because it just turns into a political aguement.

You didn't exactly say it, but you implied it: "A 20% tarriff does not mean a 20% increase in retail price"

It bugs you that Canada doesn't want to be taken over by a foreign power????

I guess the part about the tariff being on the wholesale price and not the retail price went over your head. I have tried to keep this about the topic and on economics. You are however trying tom make it political so you can yell "NOPOLITICS!" I did notice you left one comment go because you agree with it.

What most people do not understand or even know is, what tarrifs were in place to begin with. 

Keep It Real

Ok, I am going to say it. NO POLITICS! You are good at starting it then crying or saying that is not what I meant. I think Rod is Canadian and he seems to have a different opinion than the one I see on facebook. That is what I commented on. 

This country thrived on tariffs before the Federal Reserve and the IRS. Since 1913 the USA has been basically a slave state to fund all the BS that doesn't help it's people but funds it's interests. Not trying to be political here because we've been getting screwed by them all no matter who's in charge.

It didn't go over my head at all. I understood it & its implications

My comments were economic too. I didn't mention any parties or candidates. Obviously this subject has political overtones & I'm not the one who started it

I don't think I've ever started a political discussion here. But if someone else does, I have the right to reply, no?

234,000 jobs added in March...

Ascot was the greatest of all time..

West Capital wasn't half bad either..

Life is good...

My only reference point is fourty years in transportation with a couple shipper traffic departments cuminating with thirty years with a class one railroad.  In the 80's I cleared imported containers through customs for the now defunct Northrup King Seed company at the Soo Line container yard in Minneapolis.  It was still all paperwork so I would literally hand the customs agent the check for duty (tariff charges) on imports.  I saw the import export invoices adding those charges into the cost of goods to our customers who in turn passed them onto theirs.

Without getting political my first thought on his tariff thing was " he's going to do what?"  My wife and I are retired and we got hammered on our investments this week.  Most Hosers would understand that losing money pisses me off.  That's my main concern, I changed to a more conservative portfolio in 2018 and still took a hit.

I won't make any guesses as to the outcome but it's hitting me at a time I don't have years left to recover.  If they mess with SS and Medicare the number of gray hairs in the stands could take a hit as well.  The national debt has been out of whack for decades and politicians on both sides continued to spend like drunken sailors (something else I have experience with as a former drunken sailor on liberty).  My complaint is with the way it was done.  I have been the victim of corporate cuts.  They sent us to a job seminar in Chicago, gave us a severance package and treated us with respect.  When DOGE made cuts they treated everyone like they were the enemy and Elon ridiculed the process at an event by breaking out a chain saw and ridiculing them.  That told me everything I wanted to know about the whole process.  I was in the service 1969-1973 and we all heard stories about government contracts for $800 hammers and things like that.  I have been aware of government waste since I was in my twenties so there is a need to come down on that but slandering people who are just making a living isn't one of them.  

Stan Meissner