Car prices could rise $12,000 due to Trump's latest tariffs

The new tariffs could negatively impact automakers' sales, especially for models heavily reliant on parts from Canada and Mexico. This might lead to lower production volumes and profits for the auto industry, negatively affecting stock performance.

Electric vehicle manufacturers, particularly those reliant on imports, will see increased costs, which can impact pricing strategies and sales. Companies like Tesla that have a significant portion of their supply chain in the affected regions may be particularly vulnerable.

Investors might consider auto parts suppliers who could sidestep potential cost increases by sourcing locally, positioning them better in a changing market, although overall demand may decline.