Outstanding reporting on the potential impacts of the upcoming Trump administration on the auto industry. I've seen nothing that even comes close to this level of detail. Thanks.
My son, who is conservative, but not a yahoo Trump fan, has been driving exclusively Toyota Prius's for well over a decade. When he first bought one, his guy friends teased him about having a sissy car, and his response was "I go to the gas station every month and a half. I'm good with that." Maybe there are more like him? I hope so.
Well done Phoebe! Such a good read, you got my wheels spinning.
From the used car market perspective, we are also bracing for a market shift. With no uncertainty base MSRP on gas vehicles have seen significant increase year over year since Covid and are still continuing. Effectively used gas vehicle prices aren’t seeing the depreciation as, let’s say, pre-Covid. Example: a base 911 in 2024 saw approx $44k increase in MSRP for 2025 and really no noticeable change to design or drivetrain. So what’s that do for the 2024 used models? They retain value, right?
We also see a role reversal in the used EV market. Depreciation is astronomical because Base MSRP has remained the same or heavy discounts and rebates have been given, topped with an abundance of EV inventory. Example: Tesla Model X has had the same base MSRP since 2022.
Car buyers, considering gas or EV in the new or used space?
Example New car buyer decision- $100k gas pick up truck? Or a Hummer EV for $800/mo lease….
Example Used car buyer- $83k for a used 2021 Porsche Panamera (4s model $107k msrp) with 20k miles or $65k for a used 2021 Porsche Taycan (4s model $103k Msrp) with 20k miles
I think the buyers are going to end up considering an EV simply based on the pricing, despite any of the negative political rhetoric previously absorbed from one side or forced EV pushed from the other side. Once consumers give EV I try, I think a good portion will stay EV buyers after. Shifting the demand and eventually balancing out this tipped scale.
While the election result may have unknown effects on the manufacturers. I think a combination of price driven EV buyers and Elon at the table, the balance of EV and gas will sort itself out.
I hope you'll read the story. It's a textured deep dive on reaction to the presidential election from Wall Street, auto industry analysts. It examines everything from the strength of the economy currently to potential (as yet undefined) impacts.
Outstanding reporting on the potential impacts of the upcoming Trump administration on the auto industry. I've seen nothing that even comes close to this level of detail. Thanks.
Thank you so very much for reading and commenting, Bob.
You share the highest compliment -- seeing something fresh and informative.
And you keep delivering. Time after time...
Terrific reporting. Thanks.
Thanks for reading, Jules. Feedback has been so thoughtful. I love substack readers.
My son, who is conservative, but not a yahoo Trump fan, has been driving exclusively Toyota Prius's for well over a decade. When he first bought one, his guy friends teased him about having a sissy car, and his response was "I go to the gas station every month and a half. I'm good with that." Maybe there are more like him? I hope so.
Well done Phoebe! Such a good read, you got my wheels spinning.
From the used car market perspective, we are also bracing for a market shift. With no uncertainty base MSRP on gas vehicles have seen significant increase year over year since Covid and are still continuing. Effectively used gas vehicle prices aren’t seeing the depreciation as, let’s say, pre-Covid. Example: a base 911 in 2024 saw approx $44k increase in MSRP for 2025 and really no noticeable change to design or drivetrain. So what’s that do for the 2024 used models? They retain value, right?
We also see a role reversal in the used EV market. Depreciation is astronomical because Base MSRP has remained the same or heavy discounts and rebates have been given, topped with an abundance of EV inventory. Example: Tesla Model X has had the same base MSRP since 2022.
Car buyers, considering gas or EV in the new or used space?
Example New car buyer decision- $100k gas pick up truck? Or a Hummer EV for $800/mo lease….
Example Used car buyer- $83k for a used 2021 Porsche Panamera (4s model $107k msrp) with 20k miles or $65k for a used 2021 Porsche Taycan (4s model $103k Msrp) with 20k miles
I think the buyers are going to end up considering an EV simply based on the pricing, despite any of the negative political rhetoric previously absorbed from one side or forced EV pushed from the other side. Once consumers give EV I try, I think a good portion will stay EV buyers after. Shifting the demand and eventually balancing out this tipped scale.
While the election result may have unknown effects on the manufacturers. I think a combination of price driven EV buyers and Elon at the table, the balance of EV and gas will sort itself out.
Dear Addison, I LOVE HEARING YOUR PERSPECTIVE. So grateful.
Must show fealty to the fascist
I don't know what your comment means, Isaac.
I hope you'll read the story. It's a textured deep dive on reaction to the presidential election from Wall Street, auto industry analysts. It examines everything from the strength of the economy currently to potential (as yet undefined) impacts.
The banning of comment on Trump's policies. That's not how free societies work.
I was actually stunned. This individual, and the company for which he works, is widely respected for their thoughtful analysis.