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Originally Posted by Brucelee
If the differential is due to a VAT or the like, I would think that this is pretty clearly marked on the invoice of the car.
If the diff is due to tariffs, that may not be so clear, as it could be bundled into the MSRP.
Either way, I would assume that this is somehow government related, as I can't see how any manufacturer could have the market power to do this. Moreover, the question I have is, if you come down to the US and buy a new Boxster, how much does the government charge you to import it to Canada?
That answer may be THE answer.
Let us know.
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Now that's a good intelligent answer!
I was thinking it was either some sort of tarrif/tax or the car makers haven't adjusted their prices for strength of the canadian dollar (or the weakness of the US dollar).
Looking at another manufacturer, a BMW M3 MSRP is $74,400 in CDN (65K USD), while the US MSRP is $48,900. So again a big difference.
But I don't think we have that much higher tarrif on european cars than US, so I'm thinking that the difference maybe that car makers haven't adjusted prices based on recent improvements in exchange rates.
In the past 2 years, the Canadian dollar has improved from 0.75$ US to 0.90$ US. But car prices here haven't fallen. So either they're taking a bit of a bath on US sales or they're milking Canadians.
Does anyone have any knowledge or experience how manufacturers set MSRPs when currency's change in value?
Hmm.