WORCESTER, Mass. - Looming tariffs on automobiles has used car dealers busy with customers looking to avoid sticker shock.
North End Motor Sales in Worcester has been in business for more than 43 years. President John Hadley says at auction, some automobiles have already seen price hike of $2,000 to $3,000. His biggest concern right now is the lack of answers he's getting about these tariffs.
"What vehicles are going to go up," Hadley said. "They won't tell us. I've asked several people, does it affect used vehicles too, imported? No one can answer that question. No one will give a clear answer. I've googled it, I've talked to people, I've called the MIADA, which is the dealer association. No one has an answer."
What You Need To Know
- Local car dealers are sharing concern over PResident Trump's proposed tariffs on imported cars.
- The President said the 25% tariff on imports of automobiles and certain automobile parts would be addressing a critical threat to U.S. national security.
- North End Motor Sales President John Hadley says at auction, some automobiles have already seen price hike of $2,000 to $3,000.
President Trump's proposal will impose a 25% tariff on imports of automobiles and certain parts which he says addresses a threat to national security.
Hadley says it will also make it more expensive to acquire parts to fix cars as well as create longer wait times. Something Hadley says North End is dealing with already. Even as a smaller dealer, Hadley says the impact of tariffs is immeasurable.
"The prices of vehicles, when the new cars go up, the used cars go up, then all the new car dealers buy all the used vehicles there are," Hadley said. "So it's harder for us little guys. You know, we're just little peons in the world, and it's hard for us to buy any vehicles. We can't compete against these big cars, they have unlimited funds."
Hadley says in the last two weeks, he's seen a significant boost in the number of people on his lot. Many saying they want to get a better deal on a car before any tariffs take effect.
Hadley has had to keep his inventory stocked more so than usual. A quick walk-through Tuesday and it was packed to the brim.
"I've been buying probably twice as many vehicles I usually have," said Hadley. "Just so I can get the inventory. Because you're not going to be able to get inventory in a couple weeks."
Hadley says with these potential tariffs hanging over the auto industry, he's already having discussions with customers about potential price hikes. But, his hopes is that these tariffs don't last long.