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Detroit Axle says it could close within weeks due to 'crippling' tariff policy.
Posted on 6/10/25 at 7:20 am
Posted on 6/10/25 at 7:20 am
Trump's America. 
LINK
quote:
Detroit Axle, a large aftermarket auto parts dealer based in Ferndale, says it may go out of business within weeks unless it gets certain tariff relief on the goods it imports from China.
The company sued President Donald Trump's administration last month over a tariff policy that ended the "de minimis" exemption, which previously allowed small-value packages from China to enter the country duty-free. In a filing Friday in the U.S. Court of International Trade, Detroit Axle urged swift action in the case, suggesting its business is near crumbling in the current tariff environment.
"Detroit Axle’s situation is dire; it will likely be forced to shutter most or all of its business and lay off hundreds of employees if it does not receive relief by the end of June," attorneys for the company wrote. "And every day that passes without relief brings new irreparable harm to the company in the form of lost business opportunities, customer goodwill, and reputation."
The court filing was discovered by the website Court Watch.
The family-run company, which says it employs more than 500 people total and more than 230 in Michigan, is a nationwide retailer and distributor of car parts for mechanics and do-it-yourselfers with a pair of locations in Metro Detroit.
LINK
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Posted on 6/10/25 at 7:21 am to Bunk Moreland
So wouldn't every one of their competitors be in the same situation, thus raising prices to offset any tariffs would be industry wide, not just them
Posted on 6/10/25 at 7:22 am to Bunk Moreland
quote:
The company sued President Donald Trump's administration
Posted on 6/10/25 at 7:22 am to Bunk Moreland
Looks like they are in a high-demand market where another company can fill the void.Yay capitalism!
Posted on 6/10/25 at 7:22 am to Bunk Moreland
Have they, perhaps, looked for domestic suppliers?
I'd imagine their un-tariffed prices are probably lower than the Chinese items with tariffs.
I'd imagine their un-tariffed prices are probably lower than the Chinese items with tariffs.
Posted on 6/10/25 at 7:23 am to Bunk Moreland
Sounds like they should be called “China Axle.”
Posted on 6/10/25 at 7:23 am to Barbados
quote:
Next time source from the USA
Bye
Indeed. We do need to make better cars though. It's getting there but a nod to the Japanese for helping us get our asses in gear.
Posted on 6/10/25 at 7:23 am to Stidham8
quote:
Sounds like they should be called “China Axle.”
Posted on 6/10/25 at 7:24 am to Lsut81
quote:
So wouldn't every one of their competitors be in the same situation, thus raising prices to offset any tariffs would be industry wide, not just them ?
Good question..
Posted on 6/10/25 at 7:24 am to Bunk Moreland
Detroit Axel.....made in chiner .....f em
Posted on 6/10/25 at 7:27 am to Bunk Moreland
Detroit Axle is a producer of very low cost after market parts, so I’ve opted for them on occasion. They do a lot of reman parts, which is perfectly legit, but they rely on rubber gaskets and plastic pieces from China.
There are many other options out there. My guess is that competition is stiff and if they raise their prices just a bit to the level of other low cost reman parts brands, their business model will fail.
Long story short, they need to change their business model or fold.
Bye bye.
There are many other options out there. My guess is that competition is stiff and if they raise their prices just a bit to the level of other low cost reman parts brands, their business model will fail.
Long story short, they need to change their business model or fold.
Bye bye.
This post was edited on 6/10/25 at 7:28 am
Posted on 6/10/25 at 7:28 am to Bunk Moreland
I figured places like Harbor Freight would be hurting from tarrifs, but not so.
Posted on 6/10/25 at 7:30 am to Bunk Moreland
quote:
And every day that passes without relief brings new irreparable harm to the company
Just imagine being beholden to a communist country to keep your business alive. What's the difference between China and Russia?
Posted on 6/10/25 at 7:30 am to Bunk Moreland
So they cant continue to fleece Americans with cheap supply chains? Take a hit to margin, find better supply chains, or….bye!
Posted on 6/10/25 at 7:30 am to Bunk Moreland
The “de minimus” exceptions were abused from the outset. They should’ve been eliminated years ago, along with the US Postal subsidies that further that abuse.
This post was edited on 6/10/25 at 8:05 am
Posted on 6/10/25 at 7:32 am to Bunk Moreland
None of the auto shops near me in Louisiana have closed.
And we are poor down here.
Shouldn’t you be waving your Mexican flag while wearing your Hamas scarf? Or do the protests start later?
Of course. China and Mexico, two enemies.
And we are poor down here.
Shouldn’t you be waving your Mexican flag while wearing your Hamas scarf? Or do the protests start later?
quote:
But it says that the problem with the small-value package exception centers on its distribution operation in Juarez, Mexico, which receives parts from China before shipping them out to U.S. customers.
Of course. China and Mexico, two enemies.
This post was edited on 6/10/25 at 7:36 am
Posted on 6/10/25 at 7:32 am to Bunk Moreland
quote:The only way they go out of business is if someone else provides similar quality at a better price. If they can, so be it. Detroit Axle put all its eggs in the basket of a Communist adversarial nation. Risk is risky for a reason. C'est la vie.
Detroit Axle, a large aftermarket auto parts dealer based in Ferndale, says it may go out of business within weeks unless it gets certain tariff relief on the goods it imports from China.
Posted on 6/10/25 at 7:32 am to Bunk Moreland
First you defend Hamas now this? Good lord seek help!
This post was edited on 6/10/25 at 7:34 am
Posted on 6/10/25 at 7:34 am to Bunk Moreland
quote:As opposed to idiot America?
Trump's America.
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