Pontiac G8 Pricing

[JNP304]

Just wondering how can Holden make any money from selling the Pontiac G8 for 27500 $USD? That works out to $AUD 31500 ish at todays exchange rate. And also why do we pay a premium of $44000 for the same thing? Any explinations?

[Marco]

The AUD/USD exchange rate is pretty favourable at the moment, so everything sold in the US looks cheaper when converted to AUD than it would have a couple of years ago. Having said that, cars in the US are just cheaper generally for various reasons that have been covered elsewhere.

[planetdavo]

Yep.
Find one of the threads on Pontiac GTO pricing from 2 or 3 years ago, and it's all been well explained...

[Jac001]

That works out to $AUD 31500 ish at todays exchange rate. And also why do we pay a premium of $44000 for the same thing? Any explinations?

Base G8 is a v6 remember, not a v8.

Have a look at the price difference for a BMW M3 in AUS v's USA and let us know what you think of that.... ;)

[resisted]

Yes we can get cheap cars over here the trade-off is having to put up with Yanks all day.

[Jected]

Lower price could also have something to do with the free trade agreement between the US and Australia.

[*VYSuper6*]

i was watching something about the booming AUD and they said they most things will appear cheaper to us with the exceptions of cars, because everything to do with cars is about 18months in advance, so back last year when the USD was probably alot stronger they must have agreed on pricing etc, then now when they are actually being sold appear alot cheaper, that and i guess they must fit all the driveline components over there. cheaper labour in america, etc etc.

cheers

[Marco]

that and i guess they must fit all the driveline components over there. cheaper labour in america, etc etc.

Not sure what you're getting at here - but the G8 is fully built up in Australia, the driveline components aren't fitted in the US.

[kingwalker]

Just wondering how can Holden make any money from selling the Pontiac G8 for 27500 $USD? That works out to $AUD 31500 ish at todays exchange rate. And also why do we pay a premium of $44000 for the same thing? Any explinations?
maybe us austraians are used to taking up the bum by car companies:jester:

[TriShield]

It's possible GM is subsidizing the cost of this car to make the pricing competitive. They are already doing that with the new-to-us Astra and the new hybrid fullsize SUVs.

[planetdavo]

maybe us austraians are used to taking up the bum by car companies
I wonder how many of the same forum members who think this way would then happily pay a fortune to a tuner for a custom "edit", and think nothing of it???
Oh yeah, there would be PLENTY.

[BLACKWAGON]

When I was in LA a few years ago I was nearly dry reaching, Escalades, F150s, and all the suv tanks from like 26-30k us.
Its just america.

[V-Car]

It's possible GM is subsidizing the cost of this car to make the pricing competitive. They are already doing that with the new-to-us Astra and the new hybrid fullsize SUVs.

Could go someway to explaining GM's 3Q loss of close to $40bn, yes billion.

Certainly the Saturn Astra is priced way below what it costs in Europe.
In the US the base price of the top model 3dr hatch is about US$19000.
In GB, the retail price of the similar model Vauxhall Astra 1.8 SRi hatch is close to US$35000.

[*VYSuper6*]

Not sure what you're getting at here - but the G8 is fully built up in Australia, the driveline components aren't fitted in the US.

yer i wasn't sure if they did, i just assumed cause i thought it would be easier and i thought it might be why there cheaper, but i stand corrected.

cheers

[MrCV5700]

Just came back from the States. Couldn'e believe the prices off cars there. So cheap. Obviously to do with the Tax Rate there.

[Satansfist]

Economies of scale, there's a potentially huge market in the US compared to Australia. Ducati has done the same thing in the US, selling their new models at reduced prices compared to other countries to try and get Americans to buy.

A new Hypermotard sells here for say $19000, sells in the US for $11995. On another forum I was interested to read that Canadians have been banned by US Ducati dealerships from buying from them in the US then transporting the bikes back over the border. The canadian dollar is in a similarly strong position as the ozzie dollar, so they were getting the bikes significantly cheaper by spending $500 on a daytrip to the US, buying a bike, paying $285 for paperwork and getting home several thousand dollars ahead of the game!

[VESS06]

You have to remember that GM own Pontiac and Holden hence GM are saving money by not upgrading existing plants and employing staff to produce these cars.

Anyway, they look nice rolling off the holden assembly line and Australians should feel proud
that the world wants what we've got for once.
http://www.automotoportal.com/media/images/vijesti/070704001.jpg

[CharlieDontSurf]

I understand the cost of vehicles in US but it also sheds light on how much profit per unit Holden are making on SV6, SS, and SSV. The difference to make an omega and a Calais V is nowhere like the difference in cost.

Part of Holdens greater profit per unit policy rather than chase volume sales with fleets