Audi, the renowned German luxury car brand 🚗, has hit pause on its U.S. deliveries for vehicles arriving after April 2. This bold move is a direct response to a 25% tariff imposed by U.S. authorities, sending ripples throughout the auto industry.
All affected cars are being held at U.S. ports, meaning they won’t reach local dealerships for now. Meanwhile, Audi still has about 37,000 vehicles in U.S. inventory – enough to meet roughly two months of demand without being affected by the new duty.
Dealers were informed via a memo that shipments will be frozen until further notice. Adding to the mix, Audi’s parent company, Volkswagen AG, is set to adjust prices by incorporating import fees on vehicles shipped into the United States.
But Audi isn’t alone. Other automakers are also rethinking their strategies. Jaguar Land Rover has announced a similar pause on U.S. deliveries, and Stellantis is temporarily halting production at its North American plants – a move that affects around 900 U.S. workers. Even Ferrari is joining the trend, with price hikes of up to 10% on certain models, which could add around $50,000 to the cost of a typical Ferrari.
This dynamic shift in the auto market shows how new tariffs can rapidly reshape global supply chains and compel brands to rethink their strategies. Stay tuned as the industry adapts and evolves in this fast-changing environment 🚦.
Reference(s):
Audi halts U.S. deliveries of newly imported cars amid Trump's tariffs
cgtn.com