Car Prices Are Poised for $12,000 Surge on Trump’s New Tariffs

[NoleATL]

Impending tariffs on Canada and Mexico risk driving up US car prices by as much as $12,000, further squeezing consumers and wreaking havoc across the intricate web of automotive supply lines spanning the continent.
The cost to build a crossover utility vehicle will rise by at least $4,000, while the increase would be three times that for an electric vehicle examined in a new study from Anderson Economic Group, an automotive consultant in East Lansing, Michigan. And those costs would likely be passed on to consumers, the study found.

https://www.bloomberg.com/news/articles/2025-03-03/car-prices-are-poised-for-12-000-surge-on-trump-s-new-tariffs

 

[lucas80]

#Winning

 

[Bonerfarts]

You're telling me these parts for cars are imported from other countries, and if we raise the price of these imports, it will effect the price the consumer will pay for the finished product? This is news to me. Why didn't someone predict this earlier?

 

[NorthEndzoneCrew]

We were not looking for a car, nor did we want to make a big purchase given the economy….but our car was getting to a point where it was making me nervous….we bought one this weekend partially due to the fear of us needing one later and tariffs significantly impacting our buying power.

 

[RagnarLothbrok]

In before the usual suspects from the MIB talk about Biden inflation or how Trump is playing 10D chess.

 

[millah_22]

We think Trump gonna fix car prices when he can't even fix egg prices?

 

[QChawks]

 

[BrunoMars420]

Can’t wait to sell my truck when used lrices go up to buy a vehicle then become instantly under water on it!

 

[95Hawk]

With artificially propping up Crypto bros, preparing to gut Medicaid and Snap, lowering tax rates for billionaires, and implementing tariffs that raise the price of everyday goods, it’s almost like the Trump administration isn’t working for the average American.

 

[torbee]

 

[Obviously Oblivious]

Our primary car was totaled recently by insurance and I faced a decision of taking the larger payout and losing the car or the smaller payout and keep the car and get it repaired. I didn’t want to pull $20K or more in cash from my reserves to purchase new (plus higher insurance and registration costs) so off to the repair shop it went and we should be back on the road by the end of the week.

 

[BioHawk]

And this is why we sped up our timeline for a new vehicle and got one December. Wish we didn't have to do that though. 12k increase puts what we got out of our budget.