President Trump's tariffs are coming. What does that mean for local car dealerships? Price increases probably won't come until the summer.
BROADCAST TRANSCRIPT:
Prices on cars are going up. I'm Steve Virgen, your neighborhood reporter. The question however is when and by how much.
President Trump is slapping a 25 percent tariff on imported vehicles and parts starting on Thursday. But how soon will it hit consumers in the pocketbook?
“Overall, it will be a gradual increase. It won’t be an immediate price increase.”
John Pitre at Motor City Buick, GMC tells me he doesn’t expect car prices to increase until the summer
“One of things that people don’t necessarily understand is every car on the lot is a pre-tariff vehicle … you can’t go back and reprice the cars on the lot…so we have about a 90-day supply of car inventory. I don’t expect to see a change in price for at least 90 days.”
John tells me he saw a surge in sales over the weekend. But it was difficult to gauge whether it was because President Trump’s expected tariff increases or a typical weekend, he told me.
He says price increases are expected.
Every manufacturer has an obligation to their shareholders and union contracts
I think you’ll see prices go up, but not radically.
Stay in Touch with Us Anytime, Anywhere: