Last updated: April 14, 2025.
The Trump administration's 25% tariffs on vehicles imported to the United States have taken effect, reshaping the automotive landscape. While tariffs on car parts like engines and transmissions won’t begin until May 5, the auto industry is already feeling the pressure. Here’s how domestic and foreign automakers are reacting. For more details, check out Car and Driver's comprehensive coverage.
What Are the Key Updates So Far?
- Audi has halted U.S. imports and paused shipments at ports.
- BMW is covering tariff costs for cars built in Mexico through May 1.
- Ferrari raised prices by 10% on select models.
- Chrysler and Dodge paused production of certain minivans and EVs.
How Are Automakers Responding to the Tariffs?
1. Audi
Last Updated: April 7, 2025
Audi is halting all U.S. imports, as reported by a German news outlet. Models imported before April 3 will still reach dealerships, marked with "No Added Import Fee." Audi’s parent company, VW Group, issued a statement emphasizing its commitment to avoiding trade conflicts.
"We share the assessment of most experts that U.S. tariffs will negatively impact growth and prosperity."
2. BMW: Covering Costs (Until May 1)
Last updated April 3, 2025
BMW will absorb tariff costs for Mexican-built models (3-series, 2-series, M2) only until May 1. After that, prices may rise.
Affected BMW Models:
- BMW 3-series sedan
- BMW 2-series coupe
- BMW M2 (performance variant)
3. Chrysler & Dodge: Production Pauses
Last updated April 4, 2025
Stellantis brands Chrysler and Dodge are pausing production for Canadian-built models:
| Brand | Affected Models | Production Halt Duration |
|---|---|---|
| Chrysler | Pacifica, Voyager minivans | 2 weeks |
| Dodge | Charger Daytona EV | 2 weeks |
4. Ferrari: Selective Price Hikes
Last updated April 3, 2025
Ferrari raised prices by 10% on imported models like the Purosangue SUV and F80 hypercar. The 296 GTB and Roma remain unaffected.
5. Ford & Lincoln: Employee Pricing for All
Last updated April 3, 2025
Ford’s "From America, for America" program offers employee discounts on most 2024–2025 models (excluding U.S.-built Expeditions and Raptors) until June 2.
6. Hyundai & Genesis: Price Freeze
Last Updated: April 4–7, 2025
Hyundai and Genesis launched programs to avoid raising prices for two months. Meanwhile, Kia remains focused on localized production and innovation.
7. Ineos: Limited Price Increases
Last updated April 4, 2025
The French-built Grenadier SUV and Quartermaster pickup face a 5–10% price hike, but pre-April 3 orders are exempt.
8. Infiniti: Indefinite Production Pause
Infiniti halted production of Mexican-built QX50/QX55 SUVs for the U.S. market. Global production continues.
9. Jeep: Discounts & Production Cuts
Jeep’s employee pricing runs until April 30, while Mexican-built Compass and Wagoneer S EVs face April production pauses.
10. Mercedes-Benz: Shifting Production
Mercedes-Benz
Last Updated: April 8, 2025
Mercedes-Benz will absorb tariff costs on 2025 models temporarily. The automaker is considering shifting production of the GLC-Class to its Alabama factory.
11. Nissan: Price Cuts on U.S.-Built Models
Nissan reduced prices on the Rogue ($640–$1,930 cheaper) and Pathfinder ($670–$1,170 cheaper), both built in Tennessee.
12. Volkswagen: Fee Adjustments
VW added tariffs to destination charges and paused rail shipments from Mexico. The Jetta, Taos, and Tiguan are most affected.
FAQs: Trump’s Auto Tariffs
Which automakers are raising prices?
Ferrari (10% on select models), Ineos (5–10%), and Volkswagen (fee adjustments). Hyundai and Genesis are holding prices until June.
Are any cars exempt from tariffs?
Yes. Vehicles imported before April 3 (Audi) or built in the U.S. (Ford Expedition, Nissan Rogue) avoid the 25% tax.
How long will tariffs last?
Unclear. Automakers like Infiniti may resume production only if tariffs are lifted.
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