
Analysts Predict Cars Will Become Heavier Due to Increased Tariffs and Deregulation.
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Electric vehicle incentives and emissions regulations might not be the sole automotive impacts of the current U.S. administration. With the reduction of EPA fines for emissions violations and the additional burden of tariffs, car manufacturers are under pressure to remove expensive lightweight materials from their vehicles to manage price increases. This means the curb weight of your next car may rise along with its starting price.
As reported by Automotive News, the Center for Automotive Research predicts that manufacturers will need to absorb an average of $4,600 in extra costs per vehicle by 2027. Facing criticism for post-COVID price hikes, automakers are searching for solutions to prevent sticker shock, likely resulting in the use of less expensive, heavier materials. This may lead to increased usage of budget steel and a decline in the use of aluminum alloys and advanced composites, especially for cars aimed primarily at the U.S. market.
While it would be nice to think that lightweight sports cars are leading automotive innovation, efficiency has been the main reason for the greater usage of high-tech materials. Both combustion engine and electric vehicles have significantly benefited from “lightweighting,” with electric vehicles promoting it to extend their range. Now that U.S.-bound vehicles are free from fines for fuel consumption and with government-backed EV tax incentives soon ending, the incentive to invest in lighter components has diminished.
So, what about that promised zero-feature, low-cost manual sports car with a V8 that was supposed to appear once government regulations were relaxed? Don’t expect to see it anytime soon. As demonstrated by Dodge and Ram, merely easing EPA restrictions is not sufficient, and the administration will need time to refocus on CARB and the 16 other states (along with D.C.) that adhere to its emissions guidelines.
Additionally, because automotive development cycles typically last three to five years, a governmental administration can change before a single model progresses from concept to production. The possibility of another significant political shift will restrict the already cautious industry from taking bold steps to cater to an audience that may constitute only 2% of car buyers. Even if an automaker had a design ready to launch, the risk of failure is a considerable concern.
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Analysts Predict Cars Will Become Heavier Due to Increased Tariffs and Deregulation.
Tariffs are compelling automakers to reduce expenses; the absence of efficiency penalties allows them to do so without restrictions.