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		<title>Should you buy a new car before auto tariffs take effect on April 3?</title>
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					<description><![CDATA[Auto tariffs set to take effect within days pose car buyers with a choice: Do they dash out to dealerships ahead of possible price increases totaling thousands of dollars? Experts who spoke to ABC News urged customers to seriously consider accelerating their purchase plans, though they cautioned buyers against skipping due diligence such as comparison [&#8230;]]]></description>
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<p class="EkqkG IGXmU nlgHS yuUao MvWXB TjIXL aGjvy ebVHC ">Auto <a class="zZygg UbGlr iFzkS qdXbA WCDhQ DbOXS tqUtK GpWVU iJYzE " data-testid="prism-linkbase" href="https://abcnews.go.com/Business/trump-announces-new-auto-tariffs-ratcheting-global-trade/story?id=120183740" target="_blank">tariffs</a> set to take effect within days pose car buyers with a choice: Do they dash out to dealerships ahead of possible <a class="zZygg UbGlr iFzkS qdXbA WCDhQ DbOXS tqUtK GpWVU iJYzE " data-testid="prism-linkbase" href="https://abcnews.go.com/Business/expensive-trumps-auto-tariffs-car-prices/story?id=120210735" target="_blank">price increases</a> totaling thousands of dollars?</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Experts who spoke to ABC News urged customers to seriously consider accelerating their purchase plans, though they cautioned buyers against skipping due diligence such as comparison shopping and researching borrower-friendly loans.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">It remains uncertain whether price increases will hit as soon as next week or within months when sellers run out of tariff-free inventory, some experts said, but they pointed to such uncertainty as reason to speed up a purchase.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">“You’ll see a lot of people going to dealership lots sooner rather than later because they have no idea when or how much the tariffs will hit them in the wallet,” Joseph McCabe, president and CEO of advisory firm AutoForecast Solutions, told ABC News.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">The 25% auto tariffs, set to take effect on April 3, will apply to imported passenger vehicles, including cars, SUVs, minivans, cargo vans and light trucks, according to a White House <a class="zZygg UbGlr iFzkS qdXbA WCDhQ DbOXS tqUtK GpWVU iJYzE " data-testid="prism-linkbase" href="https://www.whitehouse.gov/fact-sheets/2025/03/fact-sheet-president-donald-j-trump-adjusts-imports-of-automobiles-and-automobile-parts-into-the-united-states/" target="_blank">statement</a> released after Trump&#8217;s Oval Office remarks on Wednesday.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Analysts widely expect the tariffs to raise prices for foreign-made cars, since importers will likely pass along a share of the tax burden to consumers.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Cars produced in the U.S. are also expected to undergo significant price hikes since manufacturers will bear higher costs for imported parts and face an uptick in demand as buyers seek out domestic alternatives, experts previously told ABC News.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">“It’s a really complex situation but the bottom line for consumers is that the price of cars will be going up,” Kimberly Palmer, a personal finance expert at NerdWallet, told ABC News.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">“If you know you need to buy a car – it’s something you’ve already decided and worked into your budget – then it could make sense to speed up your timeline,” Palmer added.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Aaron Bragman, Detroit bureau chief at Cars.com, put it more succinctly: “Try to get a vehicle now if you can.”</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Dan Ives, managing director of equity research at the investment firm Wedbush, predicted general tariff-related price increases for U.S. buyers between $5,000 and $10,000 per vehicle.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">The added costs could reach as high as $20,000 per vehicle, Art Wheaton, director of labor studies at Cornell&#8217;s School of Industrial and Labor Relations, who studies the auto industry, told ABC News in a statement.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">The scale and timing of price increases will likely vary depending on whether a model or its parts originates in the U.S., as well as a manufacturer’s assessment of its customers’ capacity to absorb higher costs, some experts said.</p>
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<p><span class="gtOSm FbbUW tUtYa vOCwz EQwFq yCufu eEak Qmvg nyTIa SRXVc vzLa jgBfc WXDas CiUCW kqbG zrdEG txGfn ygKVe BbezD UOtxr CVfpq xijV soGRS XgdC sEIlf daWqJ YNujN JGtjI aZFDu rkKLh ">Evelyn Hockstein/Reuters</span></p>
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<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">A potential surge in demand over the coming days or weeks could also push up prices, adding to the urgency of customers on the sidelines and in turn pushing prices even higher, they added.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">“If everybody goes out to buy a car, the prices will certainly go up,” Prasad Venkatesh, senior vice president of research and chief innovation officer at the Center for Automotive Research, told ABC News.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">The tariffs are also expected to raise prices for used cars, since higher prices for new cars will send many customers seeking pre-owned options, experts said.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">After the tariffs take effect, manufacturers may stop producing some low-priced models altogether, McCabe said, since some carmakers lack sufficient profit margins to absorb the tax cost.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">“The vehicles that are in the more affordable range – let’s say below $30,000 – they will potentially be squeezed out of the market,” McCabe said.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">The decision to hurry up a car purchase carries risk, however.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">High <a class="zZygg UbGlr iFzkS qdXbA WCDhQ DbOXS tqUtK GpWVU iJYzE " data-testid="prism-linkbase" href="https://abcnews.go.com/Business/fed-set-make-interest-rate-decision-outbreak-trade/story?id=119905993" target="_blank">interest rates</a> have pushed up borrowing rates for car loans, meaning customers entering the market may take on stiff monthly payments even if the sticker price is relatively low, some experts said.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Typically, car buyers should run credit reports and address any potential errors as a means of pushing down loan rates, Palmer said, but that process usually lasts a matter of weeks. Comparison shopping can also deliver significant savings but a thorough search for offerings takes additional time.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC TjIXL aGjvy ">Auto tariffs will raise the price of car repairs and insurance, making it a costly time to own a car, Palmer said.</p>
<p class="EkqkG IGXmU nlgHS yuUao lqtkC eTIW sUzSN ">“Buying a car is such a big financial decision. It’s expensive and it has a huge impact on your finances, so you don’t want to rush if you’re not ready,” Palmer added.</p>
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