Consumers considering buying a new car in 2025 may face higher prices due to new tariffs implemented by the Trump administration. The tariffs, set at 25% on imported cars, could potentially increase prices by $5,000 to $15,000 depending on the vehicle's value. This move, announced by President Trump, is expected to impact both finished cars and trucks and could affect about half of the 50 best-selling models in the US.

Despite Trump's claim that these tariffs will fuel unprecedented growth, investors and Wall Street seem skeptical given the negative market response. Automakers, especially those that manufacture vehicles overseas, may see a rise in production costs and reduced consumer demand as prices go up. This could lead to price hikes not only for imported vehicles but also for locally made cars due to the increased cost of parts. Luxury carmakers like Ferrari have indicated potential price increases of up to 10% to cover the additional tariffs.

Overall, the new tariffs could significantly impact the automotive industry, with analysts warning of potential price increases for cars across the board, impacting both foreign and domestically manufactured vehicles.