agent Entrepreneur logo
MenuMENU
SearchSEARCH

OEM Group Protests Auto Tariffs

Alliance for Automotive Innovation says 25% duties would cut U.S. sales, raise vehicle prices.

April 2, 2025
OEM Group Protests Auto Tariffs

The trade group says auto manufacturing is “America’s largest manufacturing sector” already.

Credit:

Pexels/Tom Fisk

2 min to read


 

An automaker trade group says new U.S. trade tariffs on vehicles will but a damper on sales here and drive up prices for American consumers.

The Alliance for Automotive Innovation released a statement by President and CEO John Bozzella pointing out automakers’ current contributions to the U.S. economy and how the group believes new tariffs will actually weaken that impact.

Ad Loading...

“Additional tariffs will increase costs on American consumers, lower the total number of vehicles sold inside the U.S. and reduce U.S. auto exports – all before any new manufacturing or jobs are created in this country,” Bozzella said.

President Donald Trump has said the U.S. will impose 25% tariffs on imported autos starting April 3 and on auto parts starting May 3, with the stated goal of strengthening the U.S. manufacturing base and national security.

But Bozzella pointed out that the complex supply and manufacturing web that automakers rely on “can’t be relocated or redirected overnight.”

The trade group called auto manufacturing “America’s largest manufacturing sector” already.

“Automakers, battery makers and parts suppliers have invested billions in American manufacturing and directly support communities and American workers in Michigan, Tennessee, South Carolina, Alabama, Mississippi, Kentucky, Ohio, West Virginia, Texas, Indiana, Illinois, Missouri, Georgia, New York and more,” Bozzella said.

Ad Loading...

Auto industry analysts say the promised tariffs would increase the already inflated price of new vehicles by thousands of dollars at a time that many consumers are struggling to afford today’s prices.

“Automotive facilities and global supply chains create American jobs, provide Americans with vehicle choice and the big one – support auto affordability in America,” Bozzella said.

LEARN MORE: Tariff Tangle Could Be Bad News for Sales

 

 

 

Originally posted on Auto Dealer Today

More Industry

Blue and white RV parked on beach facing the ocean.
Industryby Lauren LawrenceSeptember 3, 2026

RV Group Expands Carolina Footprint

Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.

Read More →
Photo of two men and one woman on a discussion panel
Industryby Hannah MitchellSeptember 1, 2026

Agent Acumen

An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.

Read More →
Gloved hand holding two wrenches next to “Turn Overdue into Opportunity” Graphic
Industryby Lauren LawrenceAugust 27, 2026

Missed Maintenance Creates Opportunity

As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.

Read More →
Ad Loading...
Mitsubishi shadow line-up
Industryby Hannah MitchellAugust 25, 2026

Mitsubishi Unveils U.S. Plan

The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.

Read More →
Photo of a laptop, cellphone and eyeglasses on a desk next to an office window
IndustryAugust 24, 2026

Selling to Grow

The question of whether you should sell your agency and if so, when, is up to you. But it’s a question worth asking to ensure you keep the business on the right path for yourself, employees and clients.

Read More →
Mechanic holding a vehicle diagnostic device while standing above an open car hood
Industryby Hannah MitchellAugust 24, 2026

Recalled Vehicles Hit 5-Year High

Though the number of events has fallen so far this year, impacted units are up significantly. Meanwhile, regulators consider consumer notification changes.

Read More →
Ad Loading...
outside of car dealership with cars parked in front
Industryby Lauren LawrenceAugust 20, 2026

Auto Group Acquires Top-Performing Rooftop

Car Pros sold its Kia Huntington Beach location to Sutherlin Automotive Group, marking the buyer’s third location in Southern California.

Read More →
Cars from the rear on a Shanghai freeway
Industryby Hannah MitchellAugust 19, 2026

China as Pacesetter

Automotive leaders huddled on where North America stands in the global picture and how it can strengthen its position against the Asian juggernaut’s surging industry.

Read More →
Orange BMW car on empty road.
Industryby Hannah MitchellAugust 14, 2026

BMW Concept Car Makes Fuel to Burn

The prototype developed in concert with a South Carolina university engineering team generates more solar energy than it uses in a typical daily commute.

Read More →
Ad Loading...
Six men standing for photo outside of car dealership
Industryby Lauren LawrenceAugust 13, 2026

South Carolina Auto Group Downsizes

Florida-based group Holler-Classic has acquired four rooftops, its first in South Carolina, from Dick Smith Automotive Group.

Read More →
Ad Loading...