Cox previously estimated new vehicles directly affected by a 25% tariff could cost 10% to 15% more, while the prices on vehicles not affected by the full tariff could rise 5%. Keating does not expect double-digit percentages soon, but maybe over the long term. Automakers may use model-year changeover time in the summer to adjust prices, she added.

U.S. wholesale prices dropped unexpectedly in April for the first time in more than a year despite President Donald Trump’s sweeping taxes on imports

Companies that buy products made abroad pay the tariffs imposed on them — and, as a result, face higher costs that are typically passed on to consumers