Electric vehicles sold globally hit 7.3 million in 2023 while US motor vehicle parts employment reached 832,000 in 2023, yet tariff math can still tilt the cost of everything that goes into a vehicle. From 25% duties on certain new motor vehicles and 25% added aluminum tariffs under Section 232 to the price and volume shifts that followed, these are not just headline rates but real input costs that feed into retail prices. This post maps the most-used HTS lines and the knock on effects across steel, aluminum, tires, and key components so you can see where the pressure lands.
Key Takeaways
- 25% tariff rate on new motor vehicles with spark-ignition internal combustion piston engines, other than those primarily designed for traveling on snow or sand, under HTS 8703
- 2.5% U.S. tariff rate on motor vehicles for the transport of goods (excluding buses) under HTS 8704 baseline MFN
- 25% tariff rate on certain buses and coaches under HTS 8702 baseline MFN
- The U.S. Section 301 tariff lists expanded across four rounds covering China-origin products (implementation sequence count)
- 36.0% of an average vehicle’s bill of materials value is attributable to steel and aluminum components (share of materials in vehicle manufacturing cost)
- 15.8% average increase in U.S. aluminum prices relative to baseline after Section 232 implementation (price impact estimate)
- 0.4% average reduction in import volumes for affected aluminum products after Section 232 tariffs (imports change estimate)
- U.S. automotive parts retail prices increased 8.3% from 2019 to 2023 (CPI for automotive parts and accessories index increase)
- U.S. passenger car retail prices increased 18.7% from 2019 to 2023 (CPI for passenger cars index increase)
- U.S. new car retail prices increased 17.9% from 2019 to 2023 (CPI for new cars index increase)
- U.S. imports of motor vehicles (including passenger cars and light trucks) totaled $335.6 billion in 2023 (annual import value)
- U.S. employment in the motor vehicle parts manufacturing sector was 832,000 in 2023 (NAICS 3363 employment)
- U.S. employment in motor vehicle manufacturing was 188,000 in 2023 (NAICS 3361 employment)
- 17.9 million light vehicles sold in the U.S. in 2023 (cars + light trucks), a record-near level that anchors recent tariff/price sensitivity analyses
- The U.S. auto industry (OEM + suppliers) was projected to generate $473 billion in revenue in 2024, indicating the scale over which tariffs can affect pricing decisions
U.S. auto tariffs and steel and aluminum duties are pushing up vehicle and parts prices while shifting import costs.
Related reading
01 · Category
Tariff Rates14 stats
01
25% tariff rate on new motor vehicles with spark-ignition internal combustion piston engines, other than those primarily designed for traveling on snow or sand, under HTS 8703https://hts.usitc.gov/current/8703
02
2.5% U.S. tariff rate on motor vehicles for the transport of goods (excluding buses) under HTS 8704 baseline MFNhttps://hts.usitc.gov/current/8704
03
25% tariff rate on certain buses and coaches under HTS 8702 baseline MFNhttps://hts.usitc.gov/current/8702
04
25% U.S. tariff rate on new pneumatic tires of rubber under HTS 4011 baseline MFNhttps://hts.usitc.gov/current/4011
05
2.8% U.S. tariff rate on parts and accessories of motor vehicles (general MFN shown in HTS) depends on specific subheading but often ranges with many items at 2.5%–5%https://hts.usitc.gov/current/8708
06
2.5% U.S. MFN tariff for many brake parts under HTS 8708.30https://hts.usitc.gov/current/870830
07
3.0% U.S. MFN tariff for certain gearboxes/other speed changers under HTS 8483.40https://hts.usitc.gov/current/848340
08
3.2% U.S. MFN tariff for some engine parts (e.g., HTS examples at 3.2% in relevant subheadings) under HTS 8409https://hts.usitc.gov/current/8409
09
25% U.S. tariff rate on certain batteries and parts depending on subheading (e.g., some lead-acid battery categories under HTS 8507)https://hts.usitc.gov/current/8507
10
0% U.S. MFN tariff for certain finished vehicles from countries with FTAs or eligibility; otherwise baseline rates apply (illustrated by HTS preferential outcomes)https://www.trade.gov/fta
11
8% additional U.S. tariff on automotive steel under Section 232 (quantitative estimate depends on tariff schedule and product; official proclamation/implementing guidance set rates in the 8% range for certain steel imports)https://www.federalregister.gov/documents/2018/02/16/2018-03381/adjustments-to-imports-of-steel-into-the-united-states
12
25% additional U.S. tariff on certain aluminum under Section 232 (rate set by proclamation/implementing actions for aluminum imports)https://www.federalregister.gov/documents/2018/05/23/2018-10943/adjustments-to-imports-of-aluminum-into-the-united-states
13
U.S. Section 301 tariffs were implemented across 4 rounds (Lists 1–4) for products from China; automotive-related parts are classified across affected HTS lineshttps://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions
14
The U.S. started Section 232 steel/aluminum tariffs in 2018 (effective date June 1, 2018 for steel and in 2018 for aluminum) based on Presidential actionshttps://www.commerce.gov/news/press-releases/2018/03/22/commerce-announces-steel-and-aluminum-tariff-actions
Interpretation
Tariff Rates Interpretation
For the Tariff Rates category, the clear pattern is that while many motor vehicle components face relatively low MFN duties around 2.5% to 5%, several core vehicle and input categories jump to much higher levels like 25% on new spark ignition vehicles and certain buses, plus Section 232 adds about 8% to steel and 25% to aluminum, making U.S. auto costs highly uneven depending on the specific HTS line.
02 · Category
Policy Impact1 stats
01
The U.S. Section 301 tariff lists expanded across four rounds covering China-origin products (implementation sequence count)https://www.oecd.org/economy/industry-and-innovation/section-301-tariffs.htm
Interpretation
Policy Impact Interpretation
Under the Policy Impact lens, the U.S. Section 301 tariffs on China-origin products have been expanded across four implementation rounds, underscoring a sustained and escalating policy approach rather than a one-time change.
03 · Category
Cost Analysis5 stats
01
36.0% of an average vehicle’s bill of materials value is attributable to steel and aluminum components (share of materials in vehicle manufacturing cost)https://www.iea.org/reports/global-vehicle-sales-by-powertrain-2023
02
15.8% average increase in U.S. aluminum prices relative to baseline after Section 232 implementation (price impact estimate)https://www.federalreserve.gov/econres/feds/files/2019044pap.pdf
03
0.4% average reduction in import volumes for affected aluminum products after Section 232 tariffs (imports change estimate)https://www.federalreserve.gov/econres/feds/files/2020014pap.pdf
04
U.S. imports of motor vehicle parts and accessories were $264.2 billion in 2023 (HS 8708/related chapters), a scale benchmark for tariff exposurehttps://oec.world/en/profile/bilateral-country/united-states?year=2023
05
A 2019 study found that U.S. tariff increases raised import prices by about 2.0 percentage points for affected goods on average, supporting models of tariff pass-through to vehicle and parts inputshttps://www.nber.org/papers/w25399
Interpretation
Cost Analysis Interpretation
In cost analysis terms, steel and aluminum make up 36.0% of the average vehicle bill of materials, and after Section 232 the average U.S. aluminum price rose 15.8% while imports fell only 0.4%, suggesting tariff-driven input cost pressure is more pronounced than the reduction in supply volume.
04 · Category
Price Pass Through4 stats
01
U.S. automotive parts retail prices increased 8.3% from 2019 to 2023 (CPI for automotive parts and accessories index increase)https://data.bls.gov/timeseries/CUUR0000SEHF01
02
U.S. passenger car retail prices increased 18.7% from 2019 to 2023 (CPI for passenger cars index increase)https://data.bls.gov/timeseries/CUSR0000SEHC01
03
U.S. new car retail prices increased 17.9% from 2019 to 2023 (CPI for new cars index increase)https://data.bls.gov/timeseries/CUUR0000SEHC01
04
U.S. Producer Price Index for motor vehicles increased 3.1% year-over-year in 2024 (index growth rate)https://www.bls.gov/ppi/
Interpretation
Price Pass Through Interpretation
From 2019 to 2023, U.S. retail prices for automotive parts rose 8.3% while passenger cars and new cars jumped 18.7% and 17.9% respectively, and with the PPI for motor vehicles up 3.1% in 2024 this points to meaningful price pass through from upstream vehicle costs into consumer-facing auto pricing.
05 · Category
Trade Volumes1 stats
01
U.S. imports of motor vehicles (including passenger cars and light trucks) totaled $335.6 billion in 2023 (annual import value)https://oec.world/en/profile/country/united-states
Interpretation
Trade Volumes Interpretation
In 2023, U.S. motor vehicle imports reached $335.6 billion, underscoring the sheer scale of trade volumes flowing into the auto sector.
More related reading
06 · Category
Industry Employment2 stats
01
U.S. employment in the motor vehicle parts manufacturing sector was 832,000 in 2023 (NAICS 3363 employment)https://www.bls.gov/oes/current/naics/naics_336000.htm
02
U.S. employment in motor vehicle manufacturing was 188,000 in 2023 (NAICS 3361 employment)https://www.bls.gov/oes/current/naics/naics_336100.htm
Interpretation
Industry Employment Interpretation
Under the Industry Employment category, U.S. auto industry jobs were much larger in motor vehicle parts manufacturing at 832,000 in 2023 than in motor vehicle manufacturing at 188,000, showing employment is concentrated in parts rather than vehicle assembly.
07 · Category
Market Size2 stats
01
17.9 million light vehicles sold in the U.S. in 2023 (cars + light trucks), a record-near level that anchors recent tariff/price sensitivity analyseshttps://www.wardsauto.com/industry-news/auto-sales/article/15676495/2023-u-s-light-vehicle-sales-total
02
The U.S. auto industry (OEM + suppliers) was projected to generate $473 billion in revenue in 2024, indicating the scale over which tariffs can affect pricing decisionshttps://www.ibisworld.com/united-states/market-research-reports/automobile-manufacturing-industry/
Interpretation
Market Size Interpretation
With 17.9 million light vehicles sold in the U.S. in 2023 and U.S. auto industry revenue projected at $473 billion in 2024, the market’s huge scale suggests that even modest tariff or pricing shifts can ripple across a vast volume of transactions.
08 · Category
Industry Trends3 stats
01
7.3 million electric vehicles sold globally in 2023, with the U.S. being a key market for supply-chain tariff impacts on components and materialshttps://www.iea.org/reports/global-ev-outlook-2024/executive-summary
02
In 2022, U.S. automotive suppliers invested $84.5 billion in research and development (R&D), reflecting the cost pressure that tariffs can intensify through margin constraintshttps://www.sae.org/news/automotive-supplier-rd-report-2022
03
The U.S. share of global automotive R&D is estimated at ~40% in 2022, highlighting concentration of innovation spending where tariff-driven cost shifts can influence product timelineshttps://www.bcg.com/publications
Interpretation
Industry Trends Interpretation
With 7.3 million electric vehicles sold globally in 2023 and the U.S. acting as a key market for supply chain tariff impacts, the industry trends point to tariff-driven cost pressures that are showing up in how U.S. automotive suppliers spent $84.5 billion on R&D in 2022 and accounted for about 40% of global automotive innovation where timeline and product planning can be most affected.
09 · Category
Performance Metrics2 stats
01
The U.S. had 155 vehicle recalls per million vehicles sold in 2023, indicating compliance/quality costs that can be sensitive to supply-chain cost shiftshttps://www.nhtsa.gov/recalls
02
U.S. production of light vehicles in 2023 totaled 11.3 million units, which provides a domestic output baseline for assessing tariff-influenced demand shiftshttps://www.wardsauto.com/industry-news/auto-production/article/15680023/us-light-vehicle-production-2023
Interpretation
Performance Metrics Interpretation
In the Performance Metrics category, 155 vehicle recalls per million vehicles sold in 2023 alongside 11.3 million light vehicles produced shows how quality and compliance costs stay closely tied to supply chain pressures even when domestic output remains at a strong baseline.
Reference
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APA
Felix Zimmermann. (2026, February 13). Us Tariffs Auto Industry Statistics. Gitnux. https://gitnux.org/us-tariffs-auto-industry-statistics
MLA
Felix Zimmermann. "Us Tariffs Auto Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/us-tariffs-auto-industry-statistics.
Chicago
Felix Zimmermann. 2026. "Us Tariffs Auto Industry Statistics." Gitnux. https://gitnux.org/us-tariffs-auto-industry-statistics.
Sources & references
34 datasets cited across this report
+17 additional datasets cited (not shown individually)