ATN350

Hey guys,

I wondered why there's such a difference in pricing when it comes to Canada and the US...

I'm in Montreal and got a C350 4matic '10 and with a few options, I paid a bit over 60k....

But on this forum I saw most Americans got a C350 sport fully equipped for 50k, even less....

Then I checked the S550, and our MRSP is around 125k whereas the US is 90k... it's the same thing with bmws, etc.

Why is there such a difference in the same continent? I understand the american dollar used to be really strong compared to ours, but now that it's almost even, most mother-dealerships don't bother to balance it out?

I know we get a few options more that are standard, but still...

Anyways, I was just curious!

Thanks,

snarlingchicken

I'm guessing it's simple economics. Supply and demand. The US has a larger market so supply is high. And they've sold to the point where they can't sell enough, which forces dealers to lower their prices. Me for example...Not sure if you want to hear this, but I got my C350 for $35,000 (excluding tax and licensing), which is $10,300 off MSRP. Quite honestly, 3 series BMWs, W204s, IS250s; they're a dime a dozen....Or at least in socal they are.

ATN350

Hah... 35k. That's a real kick in the nads loll.

Even in this economy, demands haven't dropped?

The market of bmws in the US is good, but I always thought Mercedes was more in Canada..

Anyways, at least I can say I have cool power-folding exterior side mirrors!

Unless, of course, you have that too.....

JoeVal

Everywhere you get what you pay for, however... this is politically corrected by the local tax/business structure. The inherited Brit mentality of Canadian government, greatly influenced by the physical and demographics of the country, contrasts the consumerist moxie promoted in the U.S. through policies toward this massive market equal to the whole of Europe.

So a schism of deep roots developed and built a high wall between the two economies and, in the case of MB, Canada gets the German made cars and the U.S. produces from local assembly plants units almost as good as the European counterparts.

aowhaus

U.S. cars are differently equipped than cars sold elsewhere.
Also the states have one of the lowest taxes and tariffs on cars in the world.

HakkinenL

How i envy you guys staying in the USA.
My C200K Elegance cost me USD70K.
A 2.5 V6 will cost about USD85K.
There is no C300 or C350 here. If there is, my guess is it will be at least USD100K.

C300Sport

Where are you?

Shadow5501

One word - VAT. (OK, three words...)

HakkinenL

Malaysia.
If given a chance to stay in the US, with that kind of money, i will buy nothing less than a 3.5 litre. May be top up a little more to get the C63

C300Kid

What are you talking about? Canada and the US both get German-built C-Classes. We dont have local plants building C-Classes. If/when MB starts building the C-Class in the US, I can assure you Canada will be getting the US built models as well.

FastE550

I heard that mbusa is building a factory in Mexico so the w204 are going to be the first ones to be built there in 2012.

C300Kid

Interesting. While I think factories in mexico are just as capable of building good product, I feel like that'd be a blow to MB's image.

08w204

Not all are built in Germany. Many, including mine which I bought in NC, are built in South Africa... Lower cost of labor may factor into the equation for the US sales price.

sebydeleon

One c200k, with the classic package( no Hid, 16 inch rim, no navigation, no ipod interface, no memory seats, no folding side mirrors), for a 2010 model, costs here, in dominican republic, us$54,509
you are lucky in Us and Canada. Lots of taxes here!!!

QC55

Just check how many cars are being sold in Canada vs. how many cars are being sold in the US in a year and you will know why. MBUSA and MBCanada both buy their cars from Germany. If MBUSA sells 4/5 times as many cars as MBCanada, they will have a much higher bargaining power. Thus the MSRP can be set lower. That is also the reason why some colors/options are available in the US only or vice versa.

JoeVal

The logistics and policies of the US market is handled by MB USA, resulting in models slightly different than the ones from European administration. It happens from what I read in the different threads vs. what I find with my unit and what it's being sold elsewhere. This has to do with the approval requirements in force at the US, plus the consumer laws and competitors' prices that are more severe than in other markets. Only the market size permits and makes it attractive this approach.

C300Kid

Yeah I know...I was just saying we still get the German built cars as well. I'd assume Canada gets a mix of German and South African built cars just like the US, so there's no difference.

C300Kid

This may be true, but they're still built at the same factories that produce the C-Class for other markets. That's all I was saying.

duck718nyc

My man, if you were in the US you can afford a S-class (70k for a 2.2 liter engine). I don't know how someone from overseas in Asia & Europe can afford to drive. I was in london last year & after what I seen they pay for a LITER of petrol (triple the price of USA petrol), I will never complain about gas prices in NYC ever again. I go straight to the station & fill up on premium 93 regardless of the price...lol

I feel for you brother move to the STATES.

duck718nyc

haha VAT, what is it like 18%...dude take a trip to NYC, guarantee with the conversion of the EURO or the GBP, come with an empty suitcase & you will go back with it filled haha my cousins do it all the time...plane to JFK & straight to Macy's & Bloomindales...lol

RLE

How much is Canadian duty on foreign made goods?

tiag335i

It is mostly related to the current weakness of the American dollar. The U.S. dollar went down the toilet but German carmakers cannot simply raise prices to compensate. If they do, they will lose a lot of sales to their domestic and Japanese competitors who are not affected by the decline of the dollar (the japs are not affected because most of the cars they sell in the U.S. are built there as well). Basically, BMW, Mercedes and Audi are making a lot less money on each vehicle sold in the U.S. than they used to, but there's not a lot they can do about it.

In the early 2000s, when the Canadian dollar was weak, it was the exact opposite situation (I remember my dad's X5 costing about $7K less than it would have in the States).

RLE

Too late. MB has had a Mexican plant for decades.

JimPap

I'm just guessing but I'd say that MB pricing in the US is entirely based on getting as much as they can and still be competitive against BMW, etc.

Its MB's best guess. They assume that if their pricing was higher or lower their net profit would decrease. I'd hate to be the one trying to put together that guess.

HakkinenL

Ha Ha, thanks bro.
Occasionally i can hear rap songs from the States that has lyrics " i drive a 100,000 dollars car" (eg. Will Smith's Miami)
Man, it must be great to drive that kind of car in the States. But here in my country, a brand new S350 cost about USD294,000 !
Anyways, the petrol price here is rather cheap. USD0.64/litre.
If i have the chance, i will move, get myself a C63.