New car prices conspiracy ?

Yes I know all about supply and demand and shortage crap and excuses. But think on this, the Big 3 auto giants are getting BILLIONS in EV subsidies from The feds to make EV more affordable. SOOO why not just make a condition to receive said monies that they slowly raised their Gas vehicles up until the cost are very close??? Buddy of mine works for Toyota in fact plant supervisor . He say the chip shortage isn't a problem now. Some other items may be slowing production but not chips. PLUS the companies might be thinking. Same profit less unit s ?? Hmmmm yep keep the prices up. It's Putins fault

Just last week I read that Ford was shipping new vehicles withOUT the chips. We're getting some bad info somewhere.

We took the wife’s Rav 4 in for her planned oil change not a new truck in the showroom just a couple highly detailed used ones, did not even ask about a new one.

Landowner of mine bought a fancy new Ford truck it was a disaster he traded it in for a basic model because they said they could not fix what was wrong with it.

The big lifted diesel Fords seem to do just fine on the asphalt streets in Florida!

My friend just bought a new Chevy truck minus 2 chips.The dealer will call him when they come in and he has to bring the truck back to get them installed.

Same here at a Honda dealer. Spoke to a salesman and he said they had over a 100 ordered but couldn't get them deluvered, whatever that meant.

I am sure if they had all the pieces they would be filling the lots as with all the money floating in the system they would want to sell as many as they could. $4 gas also curtails driving quite a bit so maybe sales will go down as less miles are driven. Seeing a lot of staycation type ads again.

Bryce

I believe you are correct on the less units same profit . This goes for wide range of products being produced , they have figured out how to produce less with less employees and charge full price ......no deals . Why maximize production and sell for less ?

Price is always the main factor in profit and loss. Production costs money even if you are low cost. Those of us that trap to catch commercial fur should be very understanding of that concept. Selling 100 $8 rats is a whole lot easier and more profitable then selling 200 $4.50 rats. That may be one reason we will see farmers put the optimum inputs on their best land and maybe even idle some of the poor producing sections of fields or fields. Some may even pay rent on ground they won't plant. In our dairy area that won't happen as land if the most limiting resource for the number of cows and cattle we have here. $6 corn on 1,000 acres at 200 bu. per acre will be more profitable than 170 bu. per acre on 1200 acres with similar costs and inputs.

Bryce

Not everything is a conspiracy I have been waiting for a repair on a Truck that needs chips for 4 months now. I think it will get even worse with what is going on in Russia and China now.