For those who are dearly lacking in DD....China represents less than 2% of US steel imports and supplies less than 1% of US steel needs.
Exempting Canada and Mexico last week is a clear sign of how modest the Trump tariffs are with respect to steel and aluminum. He wants changes and improvements in NAFTA, which are overdue in any case. Cohn leaving and Kudlow coming in is a reasoned change. As trade wars go, this is a kitten. Kudlow wants meaningful trade action against China, but steel and aluminum are not on his agenda.
By widely available numbers, the amount of Chinese steel and aluminum in a Vicinity bus is less than 3% of its component part content. Tack a 25% tariff on that, and its minimal. The US needs to bring China to bare on many other more complicated trade matters, like capital flows and some absurd intellectual propterty matters.
Bus management is wise to be cautious at this point in time. Their model was valid through Obama steel tariffs, which ended up being taken down when other trade matters made it to a decent resolution.
Public transit funding in the US, part of the Trump economic plan, has barely begun to flow. Hence Altalnta Transit buying Vicicnity buses without Buy America funding. They bought the technology, as Parker knows.
Its an unusual time for the SP because it seems driven by anything other than good risk assessment and rationality. Gosh, who would not be buying here. Plenty of parties are.
GL DD