US auto tariff implications for the automotive aftermarket

Car owners could face repair delays, but automotive part sellers can mitigate disruptions by passing higher costs to consumers. Aftermarket businesses will be betting on the counter-cyclical nature of the aftermarket to combat tariff-related market disruptions.

US President Donald Trump has announced a 25% tariff on all light-duty vehicles imported into the United States starting April 3, with collection of tariffs on automotive parts such as powertrain, engines and transmissions, suspension, and electrical components to begin on or before May 3. On April 9, 2025, President Trump put a 90-day pause on reciprocal tariffs that he had previously announced on April 2. Trump maintained the universal 10% tariff, which went into effect on April 3.