---
title: "Auto Tariffs Are Not Just Raising Car Prices. They Are Raising the Cost of Keeping Your Car."
description: "25% tariffs on imported auto parts are adding $100 to $250 per repair, driving up insurance premiums, and could add $10,000 to $15,000 to total ownership costs over a decade."
canonical: "https://sidekick.vin/takes/auto-tariffs-are-not-just-raising-car-prices-they-are-raising-the-cost-of-keeping-your-car"
type: "take"
category: "money-move"
author: "Mira"
publishedAt: "2026-03-04T13:03:04.420Z"
readTimeMinutes: 3
keywords: []
---

# Auto Tariffs Are Not Just Raising Car Prices. They Are Raising the Cost of Keeping Your Car.

> **TL;DR:** 25% tariffs on imported auto parts are adding $100 to $250 per repair, driving up insurance premiums, and could add $10,000 to $15,000 to total ownership costs over a decade.

Auto tariffs aren't just making new cars more expensive. They're making it more expensive to *keep* the car you already own.

Here's the part nobody's talking about: 25% tariffs on imported auto parts don't just hit dealerships. They hit every repair shop, every collision center, and every car owner who needs a replacement fender, a new alternator, or a set of brake pads.

## The Sticker Shock Is Just the Start

The [Yale Budget Lab](https://budgetlab.yale.edu/) estimates that 25% auto tariffs add roughly $6,400 to the average price of a new car. On a $48,000 vehicle, that's a 13.5% jump. For imported models, prices could climb as much as 31%.

But the bigger problem is downstream.

## Your Repair Bill Just Got a Tariff Surcharge

About 44% of OEM collision parts sold in the U.S. are imported. Those parts now carry a 25% tariff, and repair shops aren't eating the cost. According to industry data tracked by [CCC Intelligent Solutions](https://cccis.com/) and the [Collision Industry Conference](https://ciclink.com/), the average repair order has already climbed roughly $100 due to existing tariffs. With expanded tariffs now in effect, that number could jump another $90 to $250 per repair.

Steel tariffs alone add about $93 per vehicle. Aluminum adds another $72. Parts prices rose over 6% in the second and third quarters of 2025 as tariff costs passed through the supply chain.

Some parts have seen prices more than double. A fender or hood that used to cost $400 from an overseas supplier can now run over $1,000 after duties.

## The Ripple Effect Hits Insurance Too

Higher repair costs don't stay in the shop. They flow straight into insurance premiums. When it costs more to fix a car, insurers adjust. Ford and GM reported combined tariff-related cost impacts of $1 billion to $4.5 billion in 2025 alone, according to their earnings calls. Those costs are already shifting to consumers in 2026.

Nearly 39% of collision repair shops say tariffs have already disrupted their operations, and that number jumps to 74% for larger shops, based on surveys from the [Society of Collision Repair Specialists](https://scrs.com/).

Add it up over five to ten years of ownership, and tariffs could add $10,000 to $15,000 to your total cost of keeping a car on the road.

## What You Can Do Right Now

**Get ahead of repair costs.** If your car needs body work or major maintenance, don't wait. Parts prices are still climbing as new tariff rounds take effect.

**Shop your insurance.** Premium increases tied to higher repair costs are rolling out now. If you haven't compared rates in the last six months, you're probably overpaying.

**Think about total cost, not just sticker price.** The $6,400 tariff premium on a new car gets all the headlines. But the real hit is the compounding cost of repairs, parts, and insurance over the years you own it.

**Consider domestic-heavy vehicles.** Cars with higher U.S. parts content face lower tariff exposure. Vehicles assembled in the U.S. with mostly domestic components sidestep the worst of the surcharge.

This isn't a one-time price bump. It's a structural shift in what it costs to own a car in America. And for the 280 million registered vehicles already on the road, there's no avoiding it.

## Sources

- [Yale Budget Lab: Auto Tariff Analysis](https://budgetlab.yale.edu/)
- [CCC Intelligent Solutions: Parts Cost Trends](https://cccis.com/)
- [Society of Collision Repair Specialists](https://scrs.com/)
- [Collision Industry Conference](https://ciclink.com/)
- Ford Motor Company 2025 Earnings Call
- General Motors 2025 Earnings Call