Tariffs may drive up car prices. Here's what you need to know.
The markets are anxious about President Trump's trade war. And so are shoppers looking for deals on cars.
Right now, the average price for a new set of wheels is around $50,000, and a used car is about half that.
Jim Haertzen has been with Luther Auto Group for 31 years.
"Most people who walk through the doors are buying. Not too many lookers. Usually, they are buying," Haertzen said.
Staff at Luther Brookdale said they had sold nine cars by Monday afternoon.
"We sold over 100 cars the last three days of the month. we typically sell half that," Haertzen said. "Saturday, we sold 37."
Customer Tristian Fuller might be the next, saying he is ready to buy.
Since tariffs were announced, car shoppers have been buying. The average new car price has already been rising for years.
The price trend up to this point has been clear, but looking out the windshield to what's ahead is tricky right now.
Kelly Blue Book says tariffs could push the price up $6,000 per car.
"The average car: $3,000 more a car," Sen. Amy Klobuchar said.
Haertzen thinks it's almost impossible to predict numbers because parts within any given car come from different places. He says that so far, Honda has no pending price increase.
"I think there are so many unanswered questions. It's yet to be determined. We will have to wait and see," Haertzen said.
Fuller says he is trying to lock in his price.
"We are gonna try," Fuller said. "Gonna give it 110%."
Haertzen says that if car prices go up, one good thing is that the trade-in value for used cars also goes up. He says they have fewer cars than ever on their used car lot because demand is so high.