Expectations include millions of less vehicle sales, higher new and used vehicle prices and increased costs of more than $100 billion for the industry.

President Trump’s 25% tariffs on foreign-made automobiles took effect at 12:01 a.m. ET. The tariffs would cover finished automobiles and automotive parts, a senior administration previously said. The administration had considered exempting auto parts from the tariffs.

The president announced 10% baseline tariffs on all imports and an across-the-board 25% tariff on all imported automobiles. In addition to the blanket duties, Trump shared a comprehensive set of reciprocal tariffs on specific countries, hoping to reduce what he sees as an imbalance between the U.S. and its trading partners.