Uncover Strategies for Snagging Auto Discounts amidst Increased Import Taxes
In the spring of 2025, the U.S. auto industry was hit by a 25% tariff on imported cars and car parts. This has led to an increase in vehicle prices, with Japanese automakers like Toyota, Honda, and Nissan being most affected due to their large U.S. market share. However, there are strategies to find deals during this trade war.
Prioritize U.S.-assembled vehicles
Given the tariffs, it's wise to focus on buying vehicles assembled in the U.S. to avoid tariffs or get partial tariff exemptions. Some companies are reevaluating production locations and supply chains, which could lead to more competitive pricing on domestically produced models.
Monitor tariff-related news
Stay updated on tariff-related news for trade deal updates that might reduce tariffs or offer exemptions, potentially influencing prices downward. Some trade deals, such as those with South Korea and the EU, have slightly reduced tariffs to 15% on certain imports, which may lower prices.
Research vehicle models carefully
The 25% tariffs affect various vehicles unevenly, so it's crucial to research vehicle models carefully. Some domestic or partially domestic models may carry lower tariff impacts.
Take advantage of automaker incentives
Manufacturers are trying to maintain sales despite higher costs, so take advantage of any rebates, incentives, or financing deals they offer.
Consider used cars
Used cars might be less affected by tariffs compared to new imports, making them a viable option for cost-conscious consumers.
Comparison-shop insurance policies
To keep long-term ownership costs down, comparison-shop insurance policies using platforms like TheZebra.com.
Find deals on cars with Costco and Sam's Club
Both Costco and Sam's Club offer discounts on car-related expenses. Costco Auto Program helps members find deals on new and used cars, collaborating with dealerships to prearrange special pricing for members. Sam's Club members can also benefit from prenegotiated pricing on new and used cars, with an average savings of about $3,400 off the manufacturer's suggested retail price according to TrueCar.
Moreover, Costco members recently had access to special promotions and incentives, such as up to $2,000 off on select new Audi models or discounts on electric vehicles from brands such as Chevrolet and Volvo. Sam's Club members can also get discounts on tires and tire installation.
In conclusion, by prioritizing U.S.-assembled cars, watching for tariff changes, researching prices extensively, and seeking manufacturer incentives, consumers can find deals during the trade war. Additionally, comparison-shopping insurance policies and taking advantage of membership discounts from Costco and Sam's Club can help keep long-term ownership costs down.
Sources:
- CNN Business
- Consumer Reports
- Forbes
- The New York Times
- Kelley Blue Book
- To lessen the impact of tariffs, one might opt for home-and-garden products made in the U.S., as some companies are shifting production to avoid them.
- Those seeking to improve their personal-finance management may find useful tips in magazines like Money and Kiplinger's, offering insights on budgeting, saving, and investment opportunities.
- In the realm of lifestyle, consider rooftop gardens or indoor plants to create a tranquil environment at home, as gardening has been shown to reduce stress levels.
- Shopping for essentials? Consider affiliate programs like Amazon Associates or participating in cash-back programs on platforms like Rakuten or Ebates, which offer deals-and-discounts on various products.
