There are so many angles to approach this on, it is mind boggling. For instance, right now there is a dealer in Michigan with a Z07 and offering a 10K US discount on that car, a car not even an hour from the border. Even with that discount, we are looking at a 130K Cdn car after you tally up US tax, exchange, Cdn tax and all the incidentals. Until the exchange rate changes, I don't think we are seeing a drop in the pricing of US configured Z06s anytime soon, and then you still have the 12K mile warranty exclusion. Let's not forget that that US dealer will NOT sell you that car for export in fear of losing his licence with GM.
As for more coming into Canada, I think (my opinion) that this is a hard fought war because GM Canada has little or no place whatsoever when seated at the boardroom table with GM USA and discussing 'America's' greatest muscle car. We are right there beside GM Mexico as a matter of fact. I even think GM Canada has become creative in an attempt to try for additional allocations, both by updating the website well after all allocations have been spoken for and then bringing the 'Build Your Own Engine' program to Canada and promoting it. GM Canada wants more cars, has the need for more cars but the US has held their grip tight on the Z06; nothing has changed and there are still only the original allotment of low double digit Z06s coming to Canada.
Two things have transpired during this initial allocation that GM is very aware of, the exchange rate and the practice of twisting international exportation laws to get US version Z06s into Canada for sale. The most important point here is the fact that a typical Z06 will see a 9-10K US loss if configured for Canada; that's a million dollar loss per 100 Cdn Z06 configuration builds.
Right beside this, we are seeing something that we have never seen in history before, large allotments of brand new US Z06 models coming from respected US dealers to respected Canadian dealers and being sold here in Canada. This is highly illegal and breaks every Exportation regulation set by GM with respect to the agreements between GM USA and GM Canada, but it is a thriving practice. This is a financial windfall for GM and they would stop it in a heartbeat if it weren't so successful. They have the power to do just that with a phone call to these dealers.
Unfortunately, selling to Canadians this way means they don't lose a penny on each car sold, and in fact, creates a significant gain in the fact that every one of these cars is advertised and sold as 'used' in Canada and comes with a 12000 mile warranty exclusion. That warranty exclusion alone has the potential to save GM millions on a brand new model such as this, one that no doubt will work its way through a few bumps and grinds as it already has.
Myself, I would love to see another allocation of Canadian version Z06s but, I don't think GM Canada has any voice at the table more than hope and I really don't think GM would trade off the practice we are seeing for more Canadian allocations at 1 mil loss per 100 cars. Hopefully I am wrong.
