The ongoing trade war waged by the U.S. administration on China has been much in the news over the last several weeks and months, and the threats have turned to concrete tariffs.
The Trump administration’s various comments and threats have certainly started to have negative consequences in a variety of sectors. Several of those arise from the 2% import tax that has been imposed on vehicles assembled in China and are destined for the North American market. Whether you support the measure or not, the reality is it is having a direct impact on automakers that build vehicles in Asia for sale here.
Buick, for one, recently made a request with the U.S. government regarding its envision SUV. The new model is built in China, and is thus subject to the 25% tariff. Buick has been paying that tax since July 2018, but what hoping to gain an exemption for the model. The Trump administration has just refused the request.
For now, Buick has not increased the price of its Envision in the U.S., but it could have no choice but to do so. The rejection of the request could also force the company to revisit its plans regarding the importation of other models it builds in China, for instance the Encore GX, already confirmed for North America.
Our review of the 2019 Buick Envision