Facts are technically correct but framed in a way that likely leads to a wrong impression. Learn more in Methodology.
Available price analyses and retail transaction price data show no measurable price increase attributable to tariffs over the relevant period.
Evidence is mixed. Reuters cites J.D. Power saying tariffs “did not substantially affect vehicle prices” and reported the average new-vehicle retail transaction price in December 2025 was about $47,104 (up modestly year‑over‑year), which supports the idea that broad, immediate price effects were limited. However, published economic modeling (e.g., Yale’s Budget Lab) projects large price increases from a 25% automobile tariff (roughly a 13.5% rise in vehicle prices in their model), and BLS/Kelley Blue Book data show new-vehicle prices rose to near-record levels in 2025 and automakers warned of tariff-related cost pass-throughs. Verdict: Misleading — short-term data from some sources show little broad price pass-through so far, but credible models and industry warnings indicate tariffs are likely to raise vehicle prices for many models and over time, so the categorical claim that tariffs have had “no negative effect” overstates the evidence.