Most car buyers expect to alter purchase plans if tariffs raise prices

A new survey conducted by AutoPacific indicates that three-quarters of Americans who plan to purchase a vehicle in the next year expect to change those plans if vehicle prices rise due to tariffs. The study, which surveyed nearly 2,000 U.S. adults, highlights consumer uncertainty in response to expected increases in costs caused by the implementation of tariffs affecting the automotive industry.

According to the findings, 80% of respondents plan to make a major purchase in the next year. Among those, 33% intend to purchase a vehicle, with 59% aiming to buy new, 27% planning to buy used, and 14% undecided. In the event of price increases, 34% of future vehicle buyers say they would choose a cheaper vehicle, while 33% would consider switching from a new to a used vehicle. Another 27% report they would select the same vehicle but with fewer options.

The survey also found that 23% of respondents might postpone a vehicle purchase until conditions stabilize. In contrast, 16% say they would move up their vehicle purchase timeline to avoid expected price hikes. Financing strategies are also likely to shift. Fifteen percent of respondents may extend their loan terms to lower monthly payments, and 16% might consider leasing instead of buying.

AutoPacific notes that potential declines in new vehicle sales could result if consumers delay purchases or opt for used vehicles. However, options such as leasing, extended-term financing, and trimming vehicle features may help keep buyers in the new car market. Among those who anticipate spending more than originally planned, over half expect to pay between $3,000 and $5,000 more. Among those increasing their monthly payments, most expect to pay between $100 and $124 more per month.

Political affiliation appeared to have little impact on whether respondents understood tariffs, with 90% of Republican respondents and 92% of Democrats saying they are familiar with the concept. However, Democrats were more likely than Republicans to say they are “very concerned” about a potential recession and rising prices. Republicans were more likely to report that their vehicle purchase plans would remain unchanged despite tariff-related price increases.

Older adults expressed less concern about the personal effects of tariffs. Only 24% of respondents aged 70 and older reported concern about paying monthly vehicle loans, compared to 64% of those aged 18 to 29. However, concerns about rising costs of everyday goods and a possible recession were still common among older respondents.