Quote:
Originally Posted by SW19
He wasn’t questioning the quality control.I think the best point he made is why pay the same price for a BMW that is made in Mexico when they are paying the Mexican workers so much less in wages.A simple google search shows the average Mexican auto worker makes $3.14 an hour in wages.The average German working in an Automotive plant makes $67.14 an hour.Apparently the new USMCA deal is supposed to increase the Mexican wages to $16 an hour but Auto manufacturers can just pay a 2.5 percent US export tariff instead.
Some might argue that BMW is exploiting cheap labour in Mexico to earn more profits.I’m sure the quality of the product will be very good.It’s a brand new plant.
https://www.npr.org/2018/10/17/65780...-mexican-wages
https://www.forbes.com/sites/frederi...h=4df84d016b78
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A modern car is assembled in ~25hours. So the delta in labour cost is only having this much impact. For a manufacturer, subsidies, taxation and exemptions for social charges is at least as important.
When I see the retail price of the M240i, I really have the impression that some of the lower cost is indeed translated into a moderated price. I cannot find any comparable car at this price point. I admit that I exclude the US pony cars then.