How Will Jeep Be Affected By Trump Tariffs

• A new 25 percent tariff will be applied to all vehicles and auto parts imported into the United States from any country
• Jeep makes the Compass and Wagoneer S in Mexico
• Every 2025 model sold in the U.S. gets some of its parts from outside the country

25% Trump Tariffs

Since going back and forth on subjecting all goods (including cars and car parts) from Canada and Mexico to 25 percent tariffs, the White House has just recently announced a new 25 percent tariff will be applied to all vehicles and auto parts imported into the United States from any country. Although this potential change from these tariffs will increase domestic auto production, the truth is that new factories take years of planning to build and cost billions of dollars.

tariffs

Almost half of all cars sold in the United States each year are imported and close to 60% of car parts are imported before being assembled in the U.S. These new tariffs will give much larger price tags to consumers for the same product. Most imports come from Mexico and Canada, with some covered under the United States-Mexico-Canada Agreement (USMCA) that was signed in 2019. According to the Department of Transportation’s American Automobile Labeling Act data, every 2025 model sold in the U.S. gets at least 15 percent of its parts from outside the country.

It is important to note that Jeep builds the Compass and Wagoneer S in Mexico. The manufacturer also has plans to build the upcoming Recon EV in Mexico. To combat tariffs Keep if offering employee pricing on select vehicles throughout April 30th, 2025.