How much did you paid for your 2009/2010 Accord Euro

[albii]

Considering that both Accord Euro and Acura TSX come out of the same factory in Japan Lets throw some numbers around... just to make things interesting.

1. The Accord Euro Lux Specs are pretty much the same as the base model Acura TSX (leatherseat sunroof, all the jazz)
2. The come out of same factory in Japan. product cost difference should be minimal.
3. Tariff: USA, 2.5% AUSTRALIA 5% (DECREASED FROM 10% LAST YEAR, kudos to Rudd)

On-road costs aside (which in USA is like $500 bucks... in total, compared to $3000 here...)
Distance between Aus to Japan and US to Japan is pretyt much the same, due to volume, it's probably cheaper to ship to USA than here...

Lets ignore the onroad costs and just focus on the listed car price (average on road cost for car in USA is $500 odd... compared to $2-3000 here)
Listed RRP base price of Acura TSX Auto: $29,610 USD ( which is $29102 AUD , Exchange rate: $1USD=$0.98287AUD)
Listed RRP base price of Euro Lux Auto: $41,290 AUD (which is $42,009 USD, using same exchange rate as above)

Now adjust the Acura TSX price to show how much it would cost if USA has the same Tariff rate as Australia (5% instead of 2.5%)
$29,610 USD * 1.025 = $30,350 USD (which is $29,830 AUD, using same exchange rate as above)

SO after adjusting the Tariff. A Euro Lux Auto is $41,290 AUD, a Acura TSX Auto is $29,830 AUD, thats a $11,460 difference!!

Even if you do count in the "specials" honda australia is givign out at the moment... which is $2,090 (source: discountnewcars.com.au)
It's still a $9000 difference before looking at onroad costs...

And dont give me that ADR compliance rubbish. it doesnt cost 10 grand car to comply with ADR, not a Honda, and not at this volume.
I'm telling you, Honda makes s*** load more money selling Euros here than USA or Europe for that matter.

Making this statement and implying Honda dealerships makes $9000 per Euro, shows an incredible amount of ignorance. If you knew anything about the car industry in Australia, Honda are one of many brands that are doing it very tough. High flyers of the imports at the moment are Toyota ,Mazda and Hyundai.

[praja6]

The exchange rate is only now 1us$=aus$.98.. if you have a look more than 6months ago it was .60aus$ something for 1 us$.... I am not a car dealer, but if both the currency are equal then honda may sell the car cheaper here.

1year ago our aus$ was same as now 1:1 and i was going to buy a BOSE stereo and the high end bose here is 7k, compare with same one in usa is 3400 us$. I asked this question to bose australia why the same system is nearly double and they told me bose australia can't reduce the price for the current exchange rate flow and if the exchage rate for aus$ always same then it may possible...

Think about Lexus IS250, its just 32k us$, compare with here 61k aus$(cheaper bargain can get around 56k aus$ driveaway)...

Now sure thats why toyota camry and aurion are very cheap can get around 25-27k may be they built here in australia and not import from overseas?

Now honda reduce prices cheaper to make sales and it who knows after June they may increase the price back...

[Fredoops]

Making this statement and implying Honda dealerships makes $9000 per Euro, shows an incredible amount of ignorance. If you knew anything about the car industry in Australia, Honda are one of many brands that are doing it very tough. High flyers of the imports at the moment are Toyota ,Mazda and Hyundai.

You are assuming I am talking about car dealers.
Did make any comments about the dealership in there?
Did I? - No I didn't.
You assuming I'm talking about Net profit to the dealership.
Did I mention whether it's Gross or Net profit per vehicle? - No I didn't
Honda Motor's gross margin is well documented: http://ycharts.com/companies/HMC/gross_profit_margin

Furthermore, ever heard about "International transfer pricing"?

Company has branch in country A and country B,
Tax rate in country A is 15% and Tax rate in country B is 30%
If you are the CEO, what would you do?
Let me tell you, I'll sell cars from country A to country B AT CLOSE TO MARKET COST OF COUNTRY B
As a result, I retain my profit at country A where Tax rate is less.

It's not illegal, and it's not exactly legal, transfer pricing is exactly why some companies base in certain countries.
Honda's are able to sell to USA cheap because:
A) they build cars there (even if it's not Acura TSX, they still have overhead and fix costs to average out)
B) low corporate tax rate (hell... NO corporate tax almost, thanks to Obama)

Transfer pricing means this:
Honda Australia makes bugger all money, all the profit stays in Japan or where ever the hell Honda have their headquarters, all I'm saying is Australians as a whole get s raw deal even the car company staff.

Also with transfer pricing, the CEO can actually allow certain branches in certain countries to run at a loss to rank up the Tax credits, Acer had done that before.

It may sound like straight tax evasion... but Australian Tax office.... In my time in the international trade business, ATO can't do crap. Fact is ATO cant fly to Tokyo to check how much it actually cost to build a Honda.

instead of complaining about price differences between USA and Aust, why not enjoy it while you can??

Im not complaining about anything, I'm just point out some known multinational-corporation tactics, just so the public know, before they buy into crap like "what good for X corporation is good for australia"