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Aluminum Tariffs Threaten to Push Ford F-150 Prices Even Higher in 2025 – Up 55% Since 2019
The Ford F-150, America’s best-selling truck, could be facing significant price hikes in 2025 due to increased tariffs on aluminum and steel. The Trump administration has implemented a 25% tariff on all aluminum and steel imports, creating cost pressures for automakers that rely heavily on these materials. Here’s how Ford’s production lines will be impacted, and how consumers may end up paying more for the F-150 in 2025.
Tariffs to Have Outsized Impact on Ford Trucks
On March 13, a 25% tariff on all aluminum and steel imports went into effect. This follows the 2018 tariffs imposed by President Trump, which included a 25% tariff on steel and a 10% tariff on aluminum imports. This time, the impact on vehicle prices could be greater.
Automakers have grown more reliant on aluminum in recent years, particularly for trucks like the F-150 and Super Duty models, which use extensive aluminum in their bodies, hoods, and beds. According to Barclays research reported in the Wall Street Journal, these tariffs could add an average of $400 in material costs per vehicle—a cost that will likely be passed on to consumers.
Ford has been working with suppliers to stockpile aluminum as trade uncertainties linger. However, a Ford spokesperson acknowledged that shifting to U.S.-sourced aluminum would take years. While Ford sources 90% of its steel domestically, most high-quality automotive aluminum originates from Canada.
F-150 Prices Are Already Up 55%
Sales of Ford’s F-Series trucks have declined slightly over the past five years, dropping from 896,526 units sold in 2019 to 834,641 in 2024. At the same time, base prices have surged by 30%, while prices for the popular Lariat trim have jumped by 55%. Whether F-150 buyers will tolerate additional price increases remains uncertain.
Ford is one of the automakers with the highest car price inflation in recent years. Other truck-focused OEMS, like Stellantis and General Motors, have also raised prices more than competitors.
Adding to the complexity, inventory levels are unusually high, with 145 days of market supply nationwide for the F-150 in March 2025. This oversupply could act as a deterrent to further price hikes—at least for now. However, if production costs continue rising due to tariffs, automakers may still decide to pass some of these costs onto buyers.
Impact on Ford’s Bottom Line
Aluminum-intensive vehicles like the F-150 and Super Duty pickups are at particular risk of cost inflation. The auto industry has increased aluminum usage by 30% over the past decade, primarily to improve fuel efficiency and reduce weight. However, U.S. aluminum production has declined, making imports more essential than ever.
The last time similar tariffs were imposed in 2018, Ford and General Motors both reported billion-dollar losses due to rising material costs. Spot prices for steel hit a decade-high before demand collapsed, leading to steel industry cutbacks. Automakers are concerned about a repeat scenario, where higher prices could hurt sales and profitability.
What This Means for Consumers
- Higher Truck Prices – If the tariffs remain in place, expect higher MSRPs and fewer incentives for aluminum-heavy models like the F-150 and electric vehicles (EVs), which also rely on lightweight aluminum structures.
- Delayed Cost Impact – Automakers and suppliers will negotiate who absorbs the added costs, but eventually, the consumer will feel the pinch.
- Potential Panic Buying – In 2018, buyers rushed to purchase vehicles before price hikes took effect. A similar trend could emerge if tariffs persist, and if significant MSRP hikes arrive for the 2026 model year.
The best strategy for F-150 shoppers in 2025 is to identify aging inventory. These trucks will always be the most negotiable, as dealership floorplanning costs add up in today’s high-interest rate environment. Online tools make it easier than ever to find the most negotiable new and used vehicles for sale. With negotiation know-how, truck buyers can walk away with thousands of dollars in savings.
Drivers who are tired of haggling and dealership visits can even have a pro negotiate your deal. There’s no excuse for overpaying for a truck in 2025!
The Future of Tariffs and Ford’s Strategy
Auto industry leaders have voiced concerns over the lack of domestic aluminum supply, noting that Canada supplies 75% of the U.S.’s primary aluminum. Alcoa, the world’s 8th-largest aluminum exporter, has pushed for Canadian exemptions, arguing that domestic production cannot meet demand.
Jean-Marc Germain, CEO of aluminum roller Constellium, told the Wall Street Journal that he supports long-term tariffs. However, he warns that imposing a 50% levy on Canada would only drive more imports from other countries.
With these tariffs in place, Ford and other automakers will have to adjust their pricing strategies in 2025 and beyond. F-150 buyers should brace for higher costs in the near future if tariffs continue.
Also: Here’s every car and truck built in Canada, Mexico, and China for sale in the U.S.
These New Cars Are Impossible to Negotiate in 2025
Looking to score a great deal on a new car in 2025? Some models will be tougher to negotiate than others. High demand, limited production, and niche appeal make these vehicles nearly impossible to get below MSRP. Our CarEdge Concierges, who negotiate deals every day for our top-rated car buying service, have identified these as the hardest cars to negotiate this year. If you’re shopping for one of these, expect stiff competition and minimal discounts. Let’s take a look at the toughest cars to negotiate this year.
1. Toyota – 6 Models That Are Tough to Negotiate
Toyota GR Corolla
Tough to find trims: Core, Circuit Edition, MORIZO Edition
Why it’s tough to negotiate: The GR Corolla is a specialty entry-level sports car with few direct competitors. Demand is high, and Toyota isn’t flooding the market with them.
Toyota Supra
Tough to find trims: Manual transmission versions
Why it’s tough to negotiate: With only 211 units available on dealer lots in March 2025, this performance coupe remains in limited supply. Manual Supras are toughest to negotiate right now.
Toyota Land Cruiser
Tough to find trims: All trims
Why it’s tough to negotiate: Toyota’s revived off-roader has just 9,000 units available and a mere 64 days of market supply—making it one of the hardest vehicles to find at a discount.
Toyota Tundra TRD Pro
Tough to find trims: TRD Pro
Why it’s tough to negotiate: While the base Tundra is more available, the off-road-ready TRD Pro model remains a top choice, keeping prices high.
Toyota RAV4 Prime (Plug-in Hybrid)
Tough to find trims: SE, XSE
Why it’s tough to negotiate: The RAV4 Prime is one of the best-selling plug-in hybrids, making it hard to find at a discount. Some buyers even put down deposits before the cars arrive.
Toyota Highlander Hybrid
Tough to find trims: Platinum, Limited
Why it’s tough to negotiate: As a rare three-row hybrid SUV without minivan styling, the Highlander Hybrid has just 1.5 months of supply, far below industry averages.
2. Lexus – 3 Popular Luxury SUVs
Lexus RX 500h (Hybrid)
Tough to find trims: All trims
Why it’s tough to negotiate: The RX is already Lexus’ best-seller. With the hybrid powertrain, it gets even more attention thanks to impressive fuel economy.
Lexus NX 450h (Hybrid)
Tough to find trims: F Sport, Premium
Why it’s tough to negotiate: Entry-level luxury combined with hybrid efficiency makes this a sought-after model with little room for price negotiations.
Lexus GX 550
Tough to find trims: All trims
Why it’s tough to negotiate: The GX is essentially a luxury Land Cruiser, making it highly desirable. Expect to pay well over the $65,200 starting price.
3. Land Rover – Luxury Without a Discount
Land Rover Defender 130
Tough to find trims: All trims
Why it’s tough to negotiate: As the best value in the Defender lineup, this model has high demand and little incentive for dealers to discount it.
Land Rover Range Rover
Tough to find trims: Autobiography
Why it’s tough to negotiate: The Autobiography trim is the most sought-after Range Rover spec, ensuring demand stays high.
Land Rover Range Rover Sport
Tough to find trims: Autobiography, First Edition
Why it’s tough to negotiate: Popular trims mean buyers have little leverage in negotiations.
4. Cadillac – Specialty Models Get Premium Pricing
Cadillac Escalade V
Tough to find trims: V
Why it’s tough to negotiate: Starting at $162,000, this high-performance Escalade is a low-volume model, meaning dealers have no problem selling them at MSRP or higher.
5. Ford – The Least Negotiable Truck Today
Ford F-150 Raptor
Why it’s tough to negotiate: The Raptor is a specialty off-road truck with a loyal following. Out of 134,000 new F-150s available, only 3,390 are Raptors, making them a rare find at a discount.
How to Get the Best Deal
If you’re set on buying one of these high-demand models, here are a few strategies to improve your chances:
- Look for dealer incentives – Some trims may have hidden rebates or financing offers.
- Be flexible on options – You might find better pricing on a less popular configuration.
- Consider ordering from the factory – Some dealers may be more willing to negotiate on custom orders.
- Expand your search radius – A dealership in a different market may have more inventory and better pricing.
Compare Cost of Ownership and Local Deals
Before committing, use CarEdge’s free tools to compare total ownership costs, including maintenance, insurance, and depreciation.
Tired of the car buying hassle? No problem – we’re happy to do the negotiating for you. Learn more about CarEdge’s Car Buying Service.
The 10 Best Cash Discounts For New Cars in March 2025 – Up to $10,000 Off MSRP
Some of the best SUVs, electric vehicles, and full-size trucks are available with steep discounts in March. Automakers are ramping up discounts to combat sluggish sales, with cash incentives reaching as high as $10,000 off MSRP. We’ve rounded up the 10 best cash discounts available this month, with savings that could make a serious dent in your out-the-door price. Keep in mind that most of these offers expire at the end of March, so if you see something you like, act fast.
Don’t shop without your personal buyer’s guide (100% Free)
2024 Jeep Gladiator Rubicon 4×4 – 20% Off MSRP
March Savings: Up to 20% off MSRP
Offer valid through: 3/31/2025
Jeep Gladiator Base MSRP: $53,590
Estimated Price with Savings: $43,000
If you’ve been eyeing a Jeep Gladiator, now is the time to buy. Jeep is slashing 20% off MSRP for the 2024 Gladiator Rubicon 4×4. The reason is simple: 2024 inventory is lasting deep into 2025, and it’s time to clear out last year’s Jeeps before summer arrives.
Compare Jeep Gladiator depreciation, cost of ownership, and more
2024 Kia EV6 – $10,000 Customer Cash
March Savings: $10,000 Customer Cash
Offer valid through: 4/30/2025
Kia EV6 Base MSRP: $42,600
Estimated Price with Savings: $32,600
Kia is offering a massive $10,000 cash discount on its much-loved EV6 crossover. The 2025 EV6 is almost here, and will arrive with a minor facelift. However, this model refresh presents a big opportunity for savings. If you’re looking for an electric vehicle with 300 miles of range, fast-charging (10-80% in as little as 20 minutes), and a futuristic interior, the 2024 Kia EV6 is one of the best deals available.
See Kia EV6 listings in your city
2025 Kia EV9 – $10,000 Customer Cash
March Savings: $10,000 off MSRP
Offer valid through: 4/30/2025
Kia EV9 Base MSRP: $54,900
Estimated Price with Savings: $44,900
Kia isn’t stopping at the EV6—its three-row EV9 is also getting a $10,000 customer cash discount. This all-electric SUV offers spacious seating, cutting-edge tech, and up to 304 miles of range. The only 3-row SUVs on the market today are the Tesla Model X, Rivian R1S, Volkswagen ID.Buzz, and the Kia EV9. Among these, the EV9 charges the fastest AND has the lowest price tag.
See discounted Kia EV9 listings in your city
2024 Dodge Hornet – $10,000 Cash Allowance
March Savings: Up to $10,000 on the 2024 Hornet R/T eAWD
Offer valid through: 3/31/2025
Dodge Hornet Base MSRP: $41,400
Estimated Price with Savings: $31,400
The Dodge Hornet has been struggling to sell, and Stellantis is now offering a variety of stacked incentives to move inventory. With up to $10,000 in potential savings, including lease loyalty bonuses, it’s a great time to grab this performance-focused compact SUV. A plug-in hybrid powertrain comes standard with the Hornet R/T.
Compare Dodge Hornet listings in your city
2025 Jeep Wrangler 4xe – $7,000 Cash Allowance & Lease Discounts
March Savings: Up to $7,000 off MSRP, or $10,500 in lease incentives
Offer valid through: 3/31/2025
Jeep Wrangler 4xe Base MSRP: $50,695
Estimated Price with Savings: $43,695
Wrangler fans take note: Jeep is offering $7,000 in cash savings on the 2025 Wrangler Sahara 4xe. If leasing is your preference, you can qualify for up to $10,500 in lease bonus cash. The Wrangler 4xe is a rare blend of off-road ability and electrification, and these incentives make it more affordable than ever.
Compare Jeep Wrangler depreciation, cost of ownership, and more
2024 Jeep Grand Cherokee – $9,000 Bonus Cash
March Savings: $9,000 off MSRP
Offer valid through: 3/31/2025
Jeep Grand Cherokee Base MSRP: $36,495
Estimated Price with Savings: $27,495
Jeep is pushing hard to sell its remaining 2024 Grand Cherokees with a $9,000 cash bonus for current FCA lessees. This is a great opportunity to drive home a legendary midsize SUV with a refined interior and modern tech, now with a huge discount.
Compare Jeep Grand Cherokee depreciation, cost of ownership, and more
2025 GMC Sierra 1500 – $7,850 Cash Value
March Savings: Up to $7,850
Offer valid through: 3/31/2025
GMC Sierra 1500 w/ TurboMax Base MSRP: $44,895
Estimated Price with Savings: $37,045
GMC is offering up to $7,850 in total savings on the 2025 Sierra 1500, including a $6,500 purchase allowance and an engine credit. With truck prices remaining high, this March discount helps offset the cost of a well-equipped full-size pickup.
Compare GMC Sierra 1500 depreciation, cost of ownership, and more
2024-2025 Nissan Ariya – $7,500 Customer Cash
March Savings: $7,500 off MSRP
Offer valid through: 3/31/2025
Nissan Ariya Base MSRP: $39,590
Estimated Price with Savings: $32,090
Nissan is compensating for the Ariya’s lack of a federal EV tax credit with a $7,500 customer cash incentive. It may not be the fastest-charging electric crossover in 2025, but with this cash discount, it’s an attractive bargain, especially for city driving.
See Nissan Ariya listings in your city
2025 Chrysler Pacifica Plug-In Hybrid – $7,500 Customer Cash
March Savings: $7,500 off MSRP
Offer valid through: 3/31/2025
Chrysler Pacifica PHEV Base Price: $51,055
Estimated Price with Savings: $43,555
Minivan buyers can take advantage of a $7,500 customer cash offer on the plug-in hybrid Pacifica, with additional tax incentives available. This is a great chance to drive home a fuel-efficient, family-friendly hybrid minivan at a major discount.
Compare Chrysler Pacifica depreciation, cost of ownership, and more
2025 Ram 1500 – $6,500 Total Cash Allowance
March Savings: $6,500 off MSRP
Offer valid through: 3/31/2025
Ram 1500 Lone Star Crew Cab Base Price: $45,230
Estimated Price with Savings: $38,730
Ram’s $6,500 cash allowance on the 2025 1500 Lone Star Crew Cab 4×2 includes multiple stackable incentives. In March 2025, Ram buyers can take advantage of National Retail Consumer Cash ($4,000), National Bonus Cash ($1,500), National Truck Month Bonus Cash ($1,000). This is the best deal on a 2025 model year truck right now.
Compare Ram 1500 depreciation, cost of ownership, and more
What’s Behind March Deals?
March is turning out to be a great time to save big on a new car or truck. The hefty cash discounts this month aren’t just random generosity from automakers. A few key factors are driving these deep price cuts:
- Leftover Inventory: Many 2024 models are still sitting on dealer lots, and automakers need to clear them out before the 2025s arrive in full force.
- Sluggish New Car Sales: With high interest rates and consumer demand cooling, dealers are under pressure to move metal and hit sales targets.
- A Challenging EV Market: Automakers like Kia and Nissan are making up for stagnant electric vehicle sales and lost federal tax credits by offering big discounts on EVs.
- Truck and SUV Competition: Brands like Jeep, GMC, and Ram are offering aggressive incentives to stay competitive in the hotly contested truck and SUV segments.
At CarEdge, we help you make the most of these discounts. Before you buy, check out our real-time market insights, depreciation forecasts, and cost-of-ownership analysis to ensure you’re getting the best deal possible. Plus, we can connect you with local inventory and expert guidance to help you negotiate even more savings.
These March deals won’t last forever, so if you see a car you like, act fast and let CarEdge help you buy smart!
Used Car Loan Rates Reach 40-Year Highs
Spring car buying season is here, and many shoppers are heading to dealerships with their tax refunds in hand, ready to make a down payment on a used car. According to a recent survey by Talker Research, Americans expect to receive an average refund of $1,700 this year. With the average price of a used car sitting at $25,128 in March 2025, a solid down payment can help offset high borrowing costs.
However, used car shoppers are facing an unpleasant reality: the highest used car loan rates in over 40 years. Rising interest rates are making monthly payments significantly more expensive in 2025, tightening budgets for many buyers. Before financing a used car this spring, it’s crucial to understand how today’s high APRs will impact your loan – and what steps you can take to minimize costs. Here’s what to expect and how to protect your wallet.
Used Car Loan Rates Haven’t Been This High Since the 1980s
Over the past year, used car prices have fluctuated but have generally trended lower. While this is good news for buyers, the cost of financing remains a major hurdle. Used car loan rates have surged to levels not seen since the early 1980s.
After a brief dip in December, interest rates jumped sharply in January and February. According to Cox Automotive, the average used car loan rate in March 2025 is now 14.73% APR. For comparison, new car rates sit at 9.69% APR on average.
For buyers with lower credit scores, the situation is even worse. Many subprime borrowers are being offered rates close to 20% APR – adding thousands of dollars in interest over the life of a loan.
It’s hard to fathom just how much high interest rates can quickly add up, adding thousands of dollars to the total cost of owning a car. Consider the following real-world example: A $25,000 used car loan financed for 72 months at a 15% APR interest rate will accumulate $13,000 in total loan interest over 72 months. For buyers with bad credit, a 20% APR loan rate would push the interest paid above $18,000 for the same loan amount. Buying a car at all starts to lose its appeal with rates at these levels.
What’s Driving Used Car Loan Rates Higher?
Several factors are keeping borrowing costs elevated in 2025:
- Federal Reserve Policy: Although the Fed paused rate hikes, persistent inflation has delayed any meaningful rate cuts. This means auto loan rates remain high.
- Lender Risk: Banks and credit unions are tightening lending standards, particularly for borrowers with lower credit scores. As a result, lenders charge higher interest rates to offset perceived risk.
- Vehicle Depreciation Concerns: With used car values still above pre-pandemic levels, lenders are wary of financing older cars that could lose value faster than expected.
How to Qualify for the Best Used Car Loan Rates
While the overall rate environment isn’t favorable, car buyers can take steps to secure the best financing possible. Here’s how:
Check Your Credit Score Before Shopping: Your credit score plays a major role in determining your interest rate. Scores above 700 typically secure the best rates, while subprime borrowers (below 600) face the steepest costs. Your debt-to-income ratio is also a key consideration.
Get Pre-Approved by a Credit Union or Local Bank: Credit unions often offer lower rates than dealership financing. Getting pre-approved also gives you negotiating power when discussing financing options with dealers.
Make a Larger Down Payment: The more cash you put down, the less you have to borrow – reducing your interest charges over time. With tax refunds arriving, consider using that money to increase your down payment.
Choose a Shorter Loan Term: A 36- or 48-month loan will come with a lower interest rate than a 72- or 84-month loan. While monthly payments will be higher, you’ll save money on interest in the long run.
Avoid Add-Ons That Increase Loan Costs: Extended warranties, service contracts, and dealer add-ons can be financed into your loan, but this increases the total amount borrowed – and the interest you’ll pay.
👉 Before you commit to a used car with a high APR, drivers with good credit should check out the Best New Car Financing Incentives This Month. For well-qualified buyers, there are plenty of low-APR and even zero percent APR deals out there!
Take our free car buyer’s guide with you to save more and buy with confidence.
For Some Drivers, Repairs Make More Sense Than Financing
With used car loan rates at historic highs, some drivers may be better off repairing their current vehicle rather than financing a new one.
If your car is paid off or close to being paid off, investing in repairs can be far cheaper than taking on a high-interest loan. Consider getting a repair estimate before deciding whether to trade in or keep your car.
Always consider the total cost of ownership before buying any car. Use these free cost of ownership tools to see the numbers – you might be shocked at what you find!
👉 The Best Used Cars Under $10,000
Final Thoughts
Used car prices are coming down slowly, but financing costs remain a major challenge in 2025. With average used car loan rates nearing 15% APR for the first time in 40 years, shoppers need to be strategic about where they finance and how much they borrow.
If you’re planning to buy a used car this spring, use tools like CarEdge’s Free Car Buying Guide to compare financing options and find the most negotiable deals. Knowledge is your best tool to fight back against high borrowing costs. Don’t head to the dealership without a plan!
Every Vehicle Made in Canada, Mexico, and China For U.S. Buyers
If you’re in the market for a new car or truck, possible price hikes should be on your radar. In 2025, 25% automotive tariffs are officially here. In a shift from previous tariffs, the new auto tariffs apply to all vehicles imported into the United States. However, cars imported from Mexico, Canada, and China are likely to be most impacted due to the complexity of North American supply chains. Here’s what car buyers should know as spring car buying season gets underway.
Which Vehicles Are Affected By Tariffs in 2025?
Several of the most popular new cars and trucks sold in the U.S. are manufactured or partly assembled in Canada, Mexico, and China. However, the impacts of tariffs on the U.S. auto industry are much more wide reaching than it may seem on the surface. This is due to closely intertwined automotive supply chains spanning the three North American manufacturing hubs.
A new report from S&P Global Mobility forecasts that lost production due to tariffs could reach 20,000 units per day that are not built. This would equate to one third of North American vehicle production being lost due to tariffs.
It remains unclear how quickly consumers will begin to see higher sticker prices and lower incentives. What we do know is which new cars and trucks are most severely impacted. Here’s a look at some of the models now facing higher costs due to the tariffs, including average selling prices and market supply data as of spring 2025.Â
Cars and Trucks Imported From Mexico
The following new cars, SUVs, and trucks are manufactured in Mexico, and sold in the United States. Note that many other models contain parts that are manufactured in Mexico and imported into the U.S. for final assembly.
| Make | Model | Country of Origin | Average Selling Price | Days of Supply | Total For Sale | 45-Day Sales Total |
|---|---|---|---|---|---|---|
| Audi | Q5 | Mexico | $58,462 | 74 | 7,765 | 4,697 |
| BMW | 3 Series | Mexico | $55,598 | 121 | 5,067 | 1,890 |
| BMW | 2 Series Coupe | Mexico | $49,663 | 186 | 4,106 | 996 |
| Chevrolet | Silverado 1500 | U.S. and Mexico | $54,508 | 129 | 84,463 | 29,359 |
| Chevrolet | Equinox EV | Mexico | $42,944 | 101 | 8,327 | 3,699 |
| Chevrolet | Blazer EV | Mexico | $49,635 | 195 | 11,215 | 2,584 |
| Ford | Bronco Sport | Mexico | $33,689 | 175 | 43,625 | 11,198 |
| Ford | Maverick | Mexico | $34,541 | 142 | 34,977 | 11,097 |
| Ford | Mustang Mach-E | Mexico | $48,137 | 89 | 10,161 | 5,109 |
| GMC | Sierra 1500 | U.S. and Mexico | $62,381 | 108 | 48,095 | 20,013 |
| Honda | Prologue | Mexico | $54,310 | 179 | 11,775 | 2,953 |
| Kia | K4 | U.S. and Mexico | $25,267 | 75 | 19,274 | 11,507 |
| Nissan | Sentra | Mexico | $23,813 | 155 | 31,396 | 9,099 |
| Nissan | Kicks | Mexico | $25,756 | 120 | 25,519 | 9,535 |
| Ram | Ram 1500 | U.S. and Mexico | $58,431 | 133 | 51,508 | 17,400 |
| Ram | Ram 2500 | Mexico | $65,058 | 106 | 20,085 | 8,526 |
| Ram | Ram 3500 | Mexico | $71,664 | 124 | 11,388 | 4,145 |
| Toyota | Tacoma | Mexico | $46,796 | 54 | 55,021 | 45,724 |
| Volkswagen | Jetta | Mexico | $26,157 | 90 | 9,216 | 4,616 |
| Volkswagen | Tiguan | Mexico | $32,995 | 68 | 11,491 | 7,615 |
| Volkswagen | Taos | Mexico | $29,145 | 152 | 14,497 | 4,305 |
All prices and market data are as of March 3, 2025, reflecting the state of the car market before tariffs officially began.
In 2025, 20 models of new cars, SUVs and trucks are manufactured in Mexico for export to the United States. The automakers likely to be hardest hit by President Trump’s tariffs are Nissan, Volkswagen, Ford, and General Motors. Due to Volkswagen’s smaller model lineup, the German automaker will feel an outsized impact with three popular models being produced in Mexico.
Buyer’s looking for one of the more affordable new cars on sale today will be impacted by tariffs. Three popular models among budget buyers are all produced in Mexico: the Nissan Kicks, Nissan Sentra, and the new Kia K4. Finding a new car under $25,000 will become even more difficult in 2025 due to tariffs.
Cars and Trucks Imported From Canada
In 2023, the United States imported 141,847 motor vehicles and parts from Canada, a record high. These new cars are manufactured at facilities located in Ontario, with a large portion exported to the United States. As of the most recent data, the U.S. was the largest market for Canadian automotive exports, making up 62% of total auto exports. Here are all of the cars and trucks manufactured in Canada for export to the U.S. in 2025:
| Make | Model | Country of Origin | Average Selling Price | Days of Supply | Total For Sale | 45-Day Sales Total |
|---|---|---|---|---|---|---|
| Chrysler | Pacifica | Canada | $47,483 | 125 | 7,717 | 2,783 |
| Chrysler | Voyager | Canada | $41,815 | 178 | 1,218 | 308 |
| Dodge | Charger | Canada | $54,189 | 239 | 7,298 | 1,372 |
| Honda | CR-V | U.S. and Canada | $37,967 | 66 | 56,300 | 38,135 |
| Honda | Civic | U.S. and Canada | $28,783 | 59 | 21,550 | 16,553 |
| Lincoln | Nautilus | China and Canada | $61,047 | 219 | 16,457 | 3,375 |
Stellantis and Honda will be hardest hit by tariffs on Canada in 2025. The Civic and CR-V are top-sellers for Honda. As models known for their affordability and overall value, it will be interesting to see if Honda Motor American Honda Motor, the North American branch of Honda Motor Company, decides to pass import tariffs on to car buyers in the form of MSRP hikes or severe reductions in incentives.
Continue to check back each week as we monitor the real-time impact of tariffs on car prices for these affected models.
Ford and General Motors Most Impacted By Tariff On China
Just a handful of new cars are produced in China for export to the United States. The following models will be subject to the 10% tariff on imports from China:
- 2025 Buick Envision
- 2025 Lincoln Nautilus
- 2025 Polestar 2
- 2025 Polestar 3
Polestar, no longer under Volvo’s umbrella, is going to be hit the hardest from the tariffs on Chinese imports. Sales of Polestar’s electric vehicles have already been falling in North America due to competitors with faster charging, more driving range, and lower price tags. If tariffs continue for months on end, it’s not clear if Polestar will see 2025’s challenges as reason enough to exist the North American market entirely to focus on more favorable tides in Europe and Asia.
What Should Car Buyers Do?
If you’re shopping for a new car, here’s what you need to know:
- Expect price increases – If you’re considering a vehicle made in Canada, Mexico, or China, it may be wise to buy sooner rather than later before dealers fully adjust their pricing.
- Consider domestic alternatives – U.S.- built models won’t be directly impacted by these tariffs, which could make them a better deal. However, in this day and age, automotive supply chains are global, so no car is completely immune. We’ve crunched the numbers, and these are the best American-made cars today.
- Look at the used car market – If new car prices rise too much, well-maintained used models may offer more value. Many drivers find the most value in three-year old models with low mileage and a clean history. Buying used means that you’re avoiding the steep depreciation that every new car buyer faces today.
- We recommend that all car buyers see if their next vehicle could be impacted using our free auto tariff calculator.
CarEdge’s Take
These tariffs are already reshaping the auto market, and will cost both consumers and automakers money. Whether automakers shift production to the U.S. in response remains to be seen, but for now, buyers should be prepared for rising costs in the form of rising MSRPs and a reduction in incentives, like zero percent financing.
If you have been considering shopping around for a better insurance rate, now is the time. Tariffs are likely to drive premiums even higher in 2025 as car parts are subjected to the levy. Compare quotes today to lock in your rate before the coming hikes.
CarEdge will continue tracking these developments and providing insights on how they affect car prices, financing, and buying strategies. Stay informed, and check out our free car buying tools to help you navigate the challenges ahead for car buyers in 2025.
