Hyundai is reassessing its pricing strategy in response to the imminent 25% tariffs on imported vehicles and parts, as announced by U.S. President Donald Trump.
Randy Parker, CEO of Hyundai and Genesis Motor North America, alerted dealers that future vehicle pricing could change for units wholesale after April 2, emphasizing that current prices are not assured.
Industry analysts predict that if these tariffs persist, automakers may need to substantially increase vehicle prices, pushing costs higher for consumers already facing average car prices near $50,000.
According to estimates by Cox Automotive, the proposed tariffs could elevate costs by $3,000 for U.S.-manufactured vehicles and $6,000 for those produced in Canada or Mexico.
Tariffs are not straightforward, Parker remarked, acknowledging the complexities they add for dealerships. However, he noted Hyundai’s strategic advantage in not heavily relying on imports from Mexico and Canada and highlighted its significant U.S. investments.
In a notable financial commitment, Hyundai announced a $21 billion investment in the United States, revealed during an event at the White House just two days before the 25% tariff declaration.
In a conversation with NBC News, Trump downplayed concerns about potential price hikes, suggesting that increased costs on foreign cars might bolster domestic car sales.
