Auto Industry Faces Challenges as New U.S. Tariffs Impact Car Sales, Says ATN CEO Mark Gilbert

SCOTTSDALE, AZ, UNITED STATES, March 20, 2025 /EINPresswire.com/ -- The U.S. automotive industry is feeling the impact of recent tariffs on imported cars and parts, driving up costs for manufacturers and consumers. Industry experts warn that these tariffs will lead to higher sticker prices, affecting sales and dealership operations. Mark Gilbert, CEO of Automotive Training Network (ATN), shares insights on how the industry can navigate these challenges.

Tariffs Push Prices Higher

The latest tariffs on steel, aluminum, and imported vehicle components are driving up production costs for automakers, with significant ripple effects across the industry. Experts estimate that a 25% tariff on imported parts could add thousands of dollars to vehicle prices.

Toyota, for example, warned that tariffs could increase the cost of its Kentucky-built Camry by $1,800. Industry projections suggest that broad auto tariffs could push the price of a $30,000 car up by as much as $6,400, making new vehicles less affordable for many consumers. As a result, auto sales could decline by millions of units in the coming years, reshaping the market.

Trade Tensions and Market Uncertainty

Automakers depend on global supply chains, and new tariffs are driving up costs faster than domestic production can adapt. The American International Automobile Dealers Association warns that these tariffs could lead to job losses and higher prices, impacting both dealerships and consumers.

Major automakers, including Ford and Stellantis, have voiced strong opposition. Ford CEO Jim Farley called the 25% tariffs a move that would create "cost and chaos" in the U.S. auto market. General Motors and Toyota have also cautioned that these policies could put them at a disadvantage against foreign competitors, further shaking up the industry.

Dealerships Face New Challenges

Car dealerships are at the forefront of this economic shift, facing challenges as rising vehicle prices make sales more difficult. “Dealerships are feeling the impact as consumers hesitate on big purchases due to rising costs,” says Mark Gilbert, CEO of ATN. “In this climate, well-trained sales teams are essential for communicating value and guiding buyers through financial options.”

Gilbert stresses that investing in training helps dealerships navigate uncertain times. “The best dealerships don’t cut training when the market gets tough—they double down on it. Sales teams need to be equipped to handle objections, explain financing options, and highlight the long-term value of a purchase,” he adds.

A Path Forward

Despite the challenges, Gilbert remains optimistic about the industry’s ability to adapt. “We’re in a transformative period, and while tariffs create short-term difficulties, businesses that invest in their people and strategies will emerge stronger,” he says. To maintain momentum, he suggests that dealers focus on customer service, certified pre-owned vehicle sales, and flexible financing solutions.

About Automotive Training Network (ATN)

ATN provides industry-leading sales training and consulting for dealerships nationwide. Led by automotive expert Mark Gilbert, ATN equips dealers with the tools to succeed in a changing market.

Mark Gilbert
ATN
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