CBT Automotive sat down with Cody Lusk, President, and CEO of the American International Automobile Dealer Association, who had just provided testimony on behalf of America’s 9,600 international nameplate automobile franchises last week in Washington, DC. Chaos still swirls around the automotive industry and the threat that tariffs have on dealers, the American Economy, and American workers.
Lusk advocated on behalf of America’s dealers speaking to their positive impact on and in the economy, and how not only are they creating jobs throughout our nation but also how they lend a hand in helping their communities from coast to coast.
As it stands, there is likely a chance that a 25 percent tariff will be implemented on EU imported vehicles which would prove worrisome for dealers. With the fear that it can affect their dealerships operations, workforce and overall ability to stay in business.
Cody explains during his testimony that this issue stretches far beyond the sticker price per vehicles rising in cost. A tariff of this nature can result in unemployment for a large number of American workers. “Across the United States and in communities large and small, Americans are employed in the international nameplate automobile industry, including the 577,000 who are employed at AIADA dealerships. With an annual payroll of $32 billion, these dealerships also account for an additional 527,000 indirect jobs. In 2016, they sold 8.4 million vehicles or 59 percent of total U.S. retail market share.” said Lusk before he concluded with, “the potential number of lost American jobs can total near or around 624K.”
To read Cody’s full testimony please visit: https://www.aiada.org/sites/default/files/AIADA_Cody%20LuskCommerceHearingTestimony.pdf
