The newly-announced 25% tariff on foreign-made cars imported into the United States announced by United States president Donald Trump will have implications for the cost of parts for Tesla vehicles, Tesla CEO Elon Musk has said.
In response to a post on X by Tesla Owners Silicon Valley that suggested “Tesla could benefit the most” from the tariffs on cars made outside the United States, Musk responded to say that the tariffs will affect the price of Tesla car parts which come from other countries, and that “the cost impact is not trivial”.
The import taxes of 25% on foreign-made cars will take effect on April 3, 2025 at 12.01am ET, while that for car parts will take effect “no later than May 3”, Trump said. It is the latter than will affect parts that go into Tesla vehicles, which will bring the aforementioned impact to the cost of Tesla vehicles.
To be clear, this will affect the price of parts in Tesla cars that come from other countries. The cost impact is not trivial.
— Elon Musk (@elonmusk) March 27, 2025
The import tax on vehicles will apply to imported passenger vehicles, which include sedans, SUVs, crossovers, minivans and cargo vans, as well as light trucks, according to a fact sheet published by the White House.
Parts that will be taxed include engines, transmissions, powertrain parts and electrical components, and there are “processes to expand tariffs on additional parts if necessary,” the fact sheet read.
The White House fact sheet also mentioned the United States–Mexico–Canada Agreement (USMCA), for which the document said that importers of the cars under the free trade treaty will be given the opportunity to certify their US-sourced content. “Systems will be implemented such that the 25% tariff will only apply to the value of their non-US content,” it wrote.
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Hooray car price appreciated 25 percents
regarded people still want a Tesla. In the US they are boycotting Tesla and selling off their Teslas.
this is as if you live in a house in a big family, and your Father (head of family) one day say that anyone buying things from outside will be taxed 25% and you should only use things already available at home. So what can you do? you can eat at home everyday and cook at home, but then when you go out and buy grocery, you get taxed 25%.
Its surprising how many % of Americans think Tesla is using 100% American parts. Trump voters especially, thought they will be shielded from price increase because they (mistakenly) thought most of the stuffs they are using are made in USA.
Make American Crack Again..
haha…
stop buying US goods… Boikot tetap boikot
I don’t get the end game. UAW (labour) and general costs are too high to make cars competitively in the US. There will be no exports *even if* car manufacturing shifts somewhat back onshore because of the high cost base. This is a very inward looking policy
This is like a better way to telling the ppl that Trump help him to tax his competitors so that he can hike up his car price to make more profit….