Prices of automobiles in the US as compared to

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The discussion centers around the significant price difference of automobiles, particularly a used Mercedes priced at $3,500 in the US, compared to higher prices in markets like India. Participants note that this disparity is likely influenced by factors such as supply and demand dynamics, import duties, and local taxation policies. In the US, new Mercedes models start at over $30,000, raising skepticism about the condition of a $3,500 used model. The conversation also touches on how countries impose high import taxes to protect domestic industries, with India maintaining high duties despite having few local manufacturers. Additionally, the discussion mentions that in Singapore, a 100% tax on car sales is implemented to control the number of vehicles on the road, highlighting varying tax strategies across different nations. The need for resources like price comparison charts or lists of import duties is also expressed.
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Some days ago my friend who lived in the US was telling me that he was thinking of buying a used Mercedes car. That car was in a very good condition. The price was around $3,500. It's so cheap when compared to Indian market. I think that automobiles' rates in the US are quite less as compared to autos of the same manufacturers. I suppose it has something to do with import duty, the tax levied on the importation of automobiles. What do you say on this? Please let me know. Is there a list/chart which compared the prices of automobiles in different countries, or importation tax/duty.

Thanks for your help and time.
 
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jackson6612 said:
Some days ago my friend who lived in the US was telling me that he was thinking of buying a used Mercedes car. That car was in a very good condition. The price was around $3,500. It's so cheap when compared to Indian market. I think that automobiles' rates in the US are quite less as compared to autos of the same manufacturers. I suppose it has something to do with import duty, the tax levied on the importation of automobiles. What do you say on this? Please let me know. Is there a list/chart which compared the prices of automobiles in different countries, or importation tax/duty.

Thanks for your help and time.


I'm doubtful that a $3,500 mercedes would be in "very good" condition, but I could be wrong. Overall, it's probably a supply-demand dynamic paired with differences in import/export duties (Germany for example has zero tax on exported products, but imported products are taxed).
 
A new Mercedes (lowest-price class) costs over $30,000 in the US. It seems to me that a used Mercedes at $3,500 is very likely to be in bad condition.

(I know practically nothing about the Mercedes market in the US, but a quick Google search for "Mercedes prices" shows that there are several "classes" of Mercedes models with list prices ranging from somewhat over $30,000 to well over $100,000.)
 
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Why do some countries levy high tax on imported goods such as cars and others less?
 
It's often to protect domestic industries by raising the price of imported goods. For a definitive answer for your country, ask your politicians. :wink:
 
India doesn't have too many car manufacturers but it still imposes high import duty. I have heard one can buy cigarette packs and other stuff at lower prices because airports are regarded as international sections lying outside the import/export duty jurisdiction. Is this true?
 
Its not lower prices, but without any form of tax, that is to say Duty Free.

For automobile in Singapore, if i remember correctly, the tax is 100% of the selling price. The the car is twice as expensive compared to else where. And there is such a tax to reduce the number of cars on the road. Singapore is too small for everyone to own a car. I doubt other countries tax for this reason though.
 

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