TARIFFS: Harder Demands Emergency Auto Exemptions after New Report Shows Skyrocketing Car Costs
New vehicle and part costs up, used car prices biggest driver of August inflation
Car insurance in California could jump to $2,700+ by end of year
WASHINGTON – Today, in response to a cascade of new tariff car price hikes, Rep. Josh Harder (CA-09) called for immediate price relief for consumers in the auto industry. Harder sent a letter to U.S. Department of Commerce Secretary Howard Lutnick calling for emergency exemptions for imported auto products that are currently facing 15-25% tariffs.
Tariffs are making everything about owning a car more expensive:
- Prices on new vehicles, auto parts, and used cars and trucks are rising, with used vehicles contributing more than any other factor to record August inflation.
- The average used car now costs more than $25,000 and the average new car now costs nearly $50,000.
- Car insurance rates are set to rise as much as 7% by the end of the year, which means an average annual cost of over $2,700 for a California driver.
“Tariffs are turning our cars into a runaway rollercoaster of costs – more expensive to buy, more expensive to insure, and more expensive to repair,” said Rep. Harder. “That’s why I’m calling on Washington to immediately cut car costs by exempting cars and parts from sky-high tariffs. Our families can’t afford these high prices and they need relief now.”
In his letter, Harder urged Washington to:
- Provide immediate relief to consumers facing skyrocketing auto costs.
- Enact emergency exemptions for new vehicles, used cars and trucks, and imported car parts.
- PrioritizeValley supercommuters who drive 3+ hours per day to get to work.
Read the full letter here.
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