Re: 3.6% MSRP increase or Surcharge?
Posted: Wed Jul 23, 2025 1:18 pm
So the difference in my case is that I never signed any agreement. It was a wide open, anything-can-happen situation going in that we all understood. If I had demanded a set price as a condition of accepting the allocation, there was no way the dealership would have complied - it would have been business suicide for them to do so. They stated flat out that no one at the dealership or at PCNA or at Porsche AG had a clue as to what might come down the road regarding tariffs, trade negotiations or reciprocal agreements. Pricing down the road was an unknown. (By the way, reciprocals have become the biggest area of importance in the trade talks going on around the world. Yesterday's settlement with Japan was largely about that. The agreement with Japan represents another step in the direction of hopefully getting these negotiations completed everywhere. The Nikkei 225 agreed, soaring over 3.5% by yesterday's market close.)
One thing I wrote in my post above that came directly to me from the person above the dealership's sales mgrs was that this increase, while steep, now represents a locked price that will be honored by Porsche regardless of where tariffs end up. (I believe that Porsche has a good idea of what the trade numbers are going to be, barring an EU/US negotiating implosion.)
As I said in that post, I'd rather face the known as opposed to a possible 10% or more tariff surprise that would have been a deal-breaker for me. Porsche knows this - namely that customers would run the opposite direction if things were to get seriously out of hand. The company is trying to stem the financial hemorrhaging without losing all their customers.
Could that promise be taken away by some sudden pivot to an all out trade war shutdown with, for instance, enactments of 50% or 100% tariffs? Absolutely. Nothing is in writing and anything can happen. If something like that were to occur, I'd just walk away from the car. However, any scenario like that would likely kill Porsche, the company. Sadly, in a situation like that they'd have no control of their fate.
One thing I wrote in my post above that came directly to me from the person above the dealership's sales mgrs was that this increase, while steep, now represents a locked price that will be honored by Porsche regardless of where tariffs end up. (I believe that Porsche has a good idea of what the trade numbers are going to be, barring an EU/US negotiating implosion.)
As I said in that post, I'd rather face the known as opposed to a possible 10% or more tariff surprise that would have been a deal-breaker for me. Porsche knows this - namely that customers would run the opposite direction if things were to get seriously out of hand. The company is trying to stem the financial hemorrhaging without losing all their customers.
Could that promise be taken away by some sudden pivot to an all out trade war shutdown with, for instance, enactments of 50% or 100% tariffs? Absolutely. Nothing is in writing and anything can happen. If something like that were to occur, I'd just walk away from the car. However, any scenario like that would likely kill Porsche, the company. Sadly, in a situation like that they'd have no control of their fate.