'A lot of unknowns here': Dealerships and repair shops say they have no way of calculating how hard tariffs on car parts will hurt — here's what drivers can do to stay in control

The current tariffs on imported cars will be expanded in May to include imported car parts. With the cost of steel and aluminum from Canada also set to rise with additional tariffs on those imports, many mechanics are worried about the future for their customers, and how higher prices will impact their businesses.

In an interview with CBS News, Jay Gottfred, third-generation owner of the Erie-LaSalle Body Shop, noted that the future is full of uncertainty for the industry and consumers.

"I know parts will be going up. I'm not sure to what degree yet. A lot of unknowns here,” said Gottfred.

"The cost of repair is going to go up, which means the premiums are going to probably start going up for the consumers as well. So, obviously, it's a snowball effect for all these things."

The new auto market

The import tax on cars has already had a major impact on the auto industry across North America.

The automaker Stellantis has already halted production at plants in Mexico and Canada, and has announced further temporary layoffs at factories in Michigan and Indiana. Stellantis manufactures a number of popular U.S. brands, including Jeep, Dodge and Chrysler.

Stellantis COO Antonio Filosa said in an email to employees that the layoffs and production pauses "are necessary given the current market dynamics." However, the Trump administration maintains that tariffs on foreign imports will boost the American economy and increase the manufacture of domestic vehicles.

Critics and industry analysts, however, aren’t so sure. S&P Global Mobility automotive analyst Stephanie Brinley reported that tariffs will not bring manufacturing jobs back to the U.S. overnight.

“There is no quick solution, and increasing manufacturing in the U.S., particularly based on an artificial economic condition, will be costly and is likely to create a more expensive manufacturing environment,” Brinley shared in an article on S&P Global's website.

“Retaliatory actions are just beginning to surface; those actions will add another layer of complexity to the situation.”

A tight-knit system

Auto industry experts also note that the industry in North America has a highly-integrated supply chain, and it may be nearly impossible to accurately label both finished cars and auto parts as imports vs. domestic products.

Flavio Volpe, CEO of the Automotive Parts Manufacturers’ Association, has been sounding the alarm for months on tariffs, warning that the manufacture of parts is dependent on cooperation across borders, and that the industry could shut down or collapse without it.

In an interview with the CBC, Jeff Rightmer — an automotive supply chain expert at Wayne State University in Detroit — said, "The problem becomes, you have certain parts that could go back and forth across the border seven or eight times" before a vehicle's final assembly. “Is that tariff going to be applied each time it comes back and forth?”

"Those are the things that really start to make this whole thing complicated.”

While White House officials maintain that foreign companies will be responsible for the costs of tariffs, the National Bureau of Economic Research reported that in Trump's first term, added costs were mostly passed on to American businesses and consumers.

Tips for prospective buyers and car owners

American auto analyst Mel Yu shared in an interview with Reuters that even domestic cars rely heavily on imports. "No matter where they are made, car prices will go up," she said. "The impact of the parts tariffs will be pretty quick."

Imported car parts make up as much as 80% of cars that are manufactured in the U.S. These parts also account for up to 40% of the retail price.

In anticipation of the jacked-up prices, some drivers have been rushing to the dealerships. But what can you do if prices do rise before you have the chance to buy?

Discounts and rebates

One option is to explore discounts and rebates. American manufacturers and dealerships occasionally offer discounts that can lower the price of a new car purchase.

Special lease rates, low-interest financing and flat-cash discounts are among the incentives that car buyers can explore. However, these offers are often time-sensitive, which means car buyers need to be diligent and try to take advantage of these promotions before they expire.

Keep your old clunker

In an article from Consumer Reports, auto experts Keith Barry and Jeff S. Bartlett recommended hanging onto your existing car for as long as possible and keeping it well maintained.