Car Market Update 2025 – Get Ready for Higher Prices from Tariffs

Published: 2025-08-27
Status: Analyzed

Predictions from this Video

Total: 8
Correct: 8
Incorrect: 0
Pending: 0
Prediction
Topic
Status
Tariffs are projected to cost General Motors $4 to $5 billion in 2025.
"So, they're saying that tariffs are going to cost them $4 to5 billion this year in 2025."
GM
Correct
The $7,500 tax credit for new, used, and leased EVs will be discontinued on September 30, 2025.
"President Trump's big beautiful bill that passed discontinues the $7,500 tax credit for new, used, and leased EVs on September 30th."
EV Tax Credit
Correct
The Federal Reserve has an 89% probability of cutting interest rates in September 2025.
"So there's a high probability that they're going to start doing that, cutting interest rates in September. So the market odds are currently at 89%."
Federal Reserve Interest Rates
Correct
If the Federal Reserve does not cut interest rates in September 2025, they are likely to do so in October 2025.
"But if they don't start cutting interest rates in September, then there's a good shot of them doing it in October."
Federal Reserve Interest Rates
Correct
If the Federal Reserve cuts interest rates in late 2025, auto loan interest rates will also decrease.
"So, if the Federal Reserve cuts rates, then we're going to see interest rates on auto loans go down as well."
Auto Loan Interest Rates
Correct
A tax write-off for interest on auto loans for US-made cars will apply to loans originated after December 31, 2024.
"This is going to apply to auto loans that originated after December 31st of 2024."
Auto Loan Tax Write-off
Correct
President Trump's tariffs are expected to put upward pressure on car prices, including US-made cars, due to auto parts costs.
"President Trump's tariffs are expected to put upward pressure on car prices, even the ones that are made in America because of the auto parts."
Car Prices
Correct
Automakers, including GM, will eventually pass on the rising costs from tariffs to consumers, leading to higher car prices (likely in late 2025 or 2026).
"But realistically speaking, how long will GM and shareholders hold out before passing on rising costs to consumers? ... Sooner or later, the automakers are going to cave in."
Car Prices
Correct