Once again, there is significant uncertainty around car tariff policies for vehicle imports to the U.S. from Japan. On Wednesday, May 28th a U.S. court ruled that President Trump did not have the authority to set tariffs in the manner that he used. This effectively eliminated the 10% “penalty” duty on all Japanese goods imported to the U.S. However, in the uncertain trade climate of 2025, news changes quickly. The following day, a federal appeals court reinstated Trump’s tariffs. As a result, the tariff situation has effectively reverted back to how it was before last week’s news.
Will Trump tariffs increase car prices on Japanese imports?
With that said, here is a quick update on where things stand right now. The originally imposed 25% tariff on all cars and trucks imported to the U.S. remains in effect, as does the 10% tariff on all goods imported to the U.S. Fortunately an exception exists for vehicles that are over 25 years old. Since most used vehicles imported to the U.S. need to be 25 years or more, this is much welcomed news! Below is a chart outlining the current expected tariffs on vehicles imported from Japan to the U.S.Vehicle Category | Tariff Rate | Enforcement Status |
---|---|---|
Passenger Vehicle Under 25 Years Old | 37.5% | Enforced |
Truck/Cargo Vehicle Under 25 Years Old | 60% | Enforced |
Passenger Vehicle Over 25 Years Old | 12.5% | Enforced |
Truck/Cargo Vehicle Over 25 Years Old | 35% | Enforced |