South Korean automaker Hyundai has informed U.S. dealers that it is assessing its pricing strategy in light of the imminent 25% tariffs on imported vehicles and parts announced by President Trump.

Randy Parker, CEO of Hyundai and Genesis Motor North America, noted in a message to dealers that "current vehicle pricing is not guaranteed and may be subject to change for units wholesaled after April 2."

Analysts predict that automakers may need to significantly raise vehicle prices if the new tariffs remain in effect for an extended period, which could impact consumers already facing average price tags near $50,000. Cox Automotive estimates that the tariffs will increase the cost of a U.S.-made vehicle by $3,000 and by $6,000 for vehicles manufactured in Canada or Mexico.

"Tariffs are not easy," Parker stated, adding that the automaker is "fortunate” not to rely heavily on imports from Mexico and Canada and has made solid investments in the U.S. market.

In a recent interview, Trump suggested that if automakers raise prices, consumers would shift towards purchasing American-made vehicles.