The customs tariff for imported vehicles entered Thursday, a policy that President Trump said will stimulate investments and jobs in the United States, but analysts say he will do new cars prices in thousands of dollars.
The duty of 25 percent applies to all cars collected outside the United States. Starting May 3, the customs tariff will also be applied to imported car parts, which will add to the cost of locally assembled cars as well as car repairs.
There will be a partial exemption for cars made in Mexico or Canada that meet the conditions of free trade agreements with those countries. Car makers will not have to pay duties on parts such as engines, transmission or batteries made in the United States and later installed in cars in Mexican or Canadian factories.
This ruling will reduce the influence on vehicles such as the Expendox Electric vehicle, which is assembled in Mexico but includes a battery package and other components made in the United States. GM will pay a tariff only on part of the car that was made abroad.
At the same time, the duty of the parts will raise the cost of cars made in Michigan, Tennessee, Ohio or other states. This is because most of the cars rolling from the United States factories contain ingredients made abroad, and often reach more than half the cost of the car.
About 90 percent of the value of some Mercedes -Benz cars made in Alabama, for example, are located in engines and transportation that are imported from Europe, according to the data collected by the Traffic Safety Department on national highways.
The effect of definitions on individual compounds will vary widely. Cars like Tesla Model Y, made in Texas and California, or Honda Passport, made in Alabama, have high rates of American -made parts and will pay less tariff.
The definitions will be higher in cars that were manufactured abroad, such as Toyota Prius made in Japan or Porsche sports cars made in Germany.
Even people who do not buy new cars will get drivers because they will pay more for parts such as tires, brake platforms and oil filters.
Michael Holmes, CEO of Virginia Tires and Auto, a series of auto repair and maintenance stores, said he will initially try to absorb most of the increasing cost.
“This is not sustainable,” said Mr. Holmes. “It is a magic thinking to believe that companies will not go through.”
Analysts said that automatic definitions can increase the prices of used cars over time, by increasing the demand for these vehicles as they have become new that cannot be affected by many buyers. Insurance installments may also rise because the repairs will cost more.