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Auto repair shops in Palm Beach County brace for impact from tariffs on parts

WPTV reporter Kayla McDermott digs into how tariffs are expected to have broader affecting body and repair shops
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PALM BEACH COUNTY, Fla. — The automotive industry is poised for a major shift as President Donald Trump’s administration encourages automakers to increase production on U.S. soil.

However, the anticipated tariffs are expected to have broader ramifications that extend beyond car manufacturing, affecting body and repair shops across the country.

WATCH: Auto service owner tells WPTV customers are seeing higher bills

Auto repair shops brace for impact from tariffs on parts

Under the hood, many vehicles utilize parts sourced from around the globe, which could lead to increased costs for consumers. Bobby Gonzalez, part owner of Gonz Auto Collision Center, noted the significant financial burden customers may soon face.

“It’s a big jump to have a 20% or 25%-part increase for a customer,” Gonzalez said.

At Gonz Auto Collision Center, the frequency of purchasing car parts has decreased, and those customers who are coming in are receiving higher bills.

“We’re seeing fewer customers, and those customers that we're seeing, they're having higher bills,” he added.

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The impending 25% tariff on all car parts manufactured outside the U.S. is set totake effect this week, prompting concerns among both customers and industry professionals. While the tariff primarily targets foreign-made vehicles, Gonzalez highlighted that parts for American-made cars are also subject to price increases.

“The price jumps that we're seeing are about 10%," Gonzalez noted. "It may be a U.S.-based vehicle, but they’re sourcing a lot of parts globally.”

Financial advisor Ashley Terrell confirmed that clients have expressed their anxiety regarding the situation.

WATCH: President Trump announces 25% tariffs on foreign-made cars

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“It is going to get ugly before it gets pretty,” Terrell said.

Despite the turmoil, Terrell believes the negative effects of the tariffs will be short-lived.

“The automotives are affected in the stock market; already we’ve seen a drop in the price of those stocks,” she added.

In the meantime, Gonzalez urges drivers to budget wisely for potential increases in repair costs.

“Ask your mechanic or independent shop owner, is it required? Is it recommended? If it's something that they're recommending, it may be something that you can push off for a bit,” he advised.

Experts are also suggesting that consumers consider extended warranties on their cars, a recommendation they have typically advised against in the past. However, due to the rising costs associated with the impending tariffs, consumers believe extended warranties are now a good idea.