Think those reinvestment announcements are irrelevant. You think they're just going to pop up and the supply chain shifts tomorrow. It's just hot air while they wait out an erratic guy much like the previous 4 year term.
I'm sure we just see announcements then tarrifs lift or circumvented much like last time.
Most of the car makers already have car manufacturing capacity in the US. Toyota, Ford, GM, Stellantis, whatever. They can't pass on the costs because demand will crater, nor can their margins absorb it, so the only solution is going to be increased production within the US to avoid the tariffs, while throttling output in Canada/Mexico. 3.5 years is a long time, most of these C-suite execs have a few quarters to avoid such risks and do something about it, they don't have 4 years to wait it out.
Maybe there's some deal and tariffs are dropped before next month, maybe not. If not though, you're going to see reshoring, 100%, who knows to what level but at least some will make the move, because this is a behemoth market and there is no other market able to absorb that type of supply level.
This post was edited by ofthevoid on Mar 27 2025 08:30pm