By Christopher Otts

The array of automotive parts that President Trump plans to tariff is more extensive than the industry expected, raising concerns about significant cost increases for U.S.-built vehicles.

As part of Trump's tariff announcement Wednesday, the administration published a list of auto parts that would be subject to 25% tariffs starting May 3.

The parts list is "more extensive than feared," Bernstein financial analyst Daniel Roeska wrote in a research note following Trump's announcement. "Today's comments increase the likelihood, in our view, that parts tariffs will go into effect on May 3rd, which presents a substantial downside risk for all U.S. automotive stocks."

Automakers have been pressing their case to the administration that parts tariffs shouldn't be widely applied, because virtually every U.S.-made vehicle contains imported components.

Matt Blunt, president of the American Automotive Policy Council, a trade group representing Ford Motor, General Motors, and Jeep-parent Stellantis, called the list "very comprehensive" and said the group is reviewing it.

Trump last week announced 25% tariffs on assembled vehicles and automotive parts, including those from U.S. allies Canada and Mexico. The import taxes on finished vehicles are set to start Thursday, while the parts tariffs are on hold until early next month to give the administration time to sort the details.

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April 02, 2025 20:36 ET (00:36 GMT)

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