Trump’s Tariffs Are Already Straining This Oklahoma Used Car Business
Antonio Austin, owner of a used car dealership in Oklahoma, is struggling to keep his business afloat as tariffs increase the cost of vehicles and repairs, impacting both his inventory and his customers. The dealership primarily serves people with poor credit who cannot afford newer cars, and many of them are falling behind on payments, making it difficult for Antonio to cover his own expenses. Tariffs on imported cars and parts have made it more expensive to buy and repair vehicles, putting additional pressure on Antonio's business. Despite the challenges, Antonio tries to accommodate his customers, like Tailor Phillips, who is facing job loss due to car troubles. Antonio's personal rapport with his customers is strong, but the economic strain is pushing both him and his clientele to the edge of financial stability.
Antonio Austin's used car dealership, Buy Here Pay Here, is feeling the impact of increased tariffs, making cars and parts more expensive, and causing financial strain for both the business and its customers.
The dealership caters to customers with bad credit who cannot afford new cars and often struggle with payments, leading to a high rate of repossessions and delayed payments, further complicating Antonio's financial situation.
Antonio is known for his personal approach, knowing his customers by name and often fixing their cars for little to no profit to keep them on the road, but rising costs are making this increasingly difficult.
Tariffs on imported cars and parts, particularly those from China, have increased costs by up to 25%, squeezing Antonio’s margins and forcing him to make difficult financial decisions to keep the business operational.
Tailor Phillips, a customer, faces job loss due to her car's recurring issues and the inability to afford repairs, highlighting the precarious situation many of Antonio's customers are in as they rely heavily on their vehicles for employment.
Antonio’s dealership is caught in a cycle where increased costs and delayed payments from customers put his business at risk, even as he tries to provide leniency and support to those who are struggling.
Despite the challenges, Antonio remains empathetic and tries to work with customers like Tailor by offering credit options and delaying payments, although this approach is not sustainable in the long term.