On April 3, 2025, the White House invoked Section 232, imposing a 25 percent tariff on imported automobiles (parts follow on May 3) to “protect national security” (The White House). This move sparked a sharp rise in used-vehicle values—Manheim’s April data show non-EVs up 2.5 percent month-over-month and 4.7 percent year-over-year (Manheim)—while wholesale prices jumped 4.9 percent from last April per Cox Automotive (Cox Automotive Inc.).
In Georgia, dealers are hoarding inventory, forcing insurers to cling to lowball 17C calculations and leaving accident victims on the hook for wider diminished-value losses. As a thirty-year appraiser, I’ve never seen volatility this fierce—and if you’re hurtling toward a claim, you’d best act now.
Market Shock: 25 % Tariff and Policy Background
Policy Details and Amendments
President Trump’s Proclamation 10908 declared imports of completed automobiles a threat to U.S. security and slapped on a 25 percent duty effective April 3, 2025 (The White House). I’ll tell you, sonny, that kind of broad stroke rattles supply chains faster than a bad axle.
Parts tariffs kick in on May 3—so expect further pinch points for repairs (The White House). Late in April, the administration even tweaked the parts tariff rules to ease some pain on U.S. assembly plants—good for them, but too little, too late for most consumers (SmarTrade).
Automaker Reactions
Ford, facing $2.5 billion in added costs, quietly raised prices on its Mexico-built Mach-E, Maverick, and Bronco Sport by up to $2,000, effective May 2, 2025—dealers will see those on lots in late June (Reuters). And believe me, every $500 bump upstream trickles down to your trade-in offer.
Wholesale and Retail Ripples
Manheim’s Index and Cox Automotive Insights
According to Manheim, non-EV wholesale values climbed 2.5 percent from March to April and are up 4.7 percent versus April 2024—EVs aren’t immune, rising 1.6 percent year-over-year (Manheim). Cox Automotive’s MUVVI hit 208.2 in April, a 4.9 percent gain from last year and 2.7 percent up from March—its strongest reading since October 2023 (Cox Automotive Inc.). I’ve seen pipelines clog overnight like a clogged radiator.
Georgia’s Local Market and Dealer Behavior
Here on home turf, April’s wholesale rush translated to retail too: Carfax reports Southern states (including GA) saw one of the steepest price jumps—nearly double typical seasonal gains (CARFAX). On our own blog, we noted used-car values spiking across trucks and SUVs, with inventory drying up faster than sweet tea in July (Valor Diminuído – Avaliação de Carros).
Appraiser’s Perspective and Anecdotes
Real-World Impact on Claims
I recall a client whose insurer offered $3,200 after a rear-ender—typical lowball 17C math. After I crunched current wholesale comps (thank Manheim for that index), we settled at $5,800. That gap stretches wider every week as values climb (Cox Automotive Inc.). If you don’t secure an appraisal pronto, you’re betting against a rising tide.
Why Insurers Cling to 17C and How to Push Back
Adjusters love the “17C Formula” for its simplicity—it’s 10 percent of pre-accident value minus repair costs. Trouble is, it ignores tariff-driven wholesale spikes.
When I hand them a USPAP-compliant report packed with April Manheim comps and local Carfax trends, you can see them squirm.
Serve up those hard numbers, then remind them of rising production costs and $2,000 price hikes on imports (Reuters).
Practical Recommendations for Georgia Drivers
Timing and Statute of Limitations
Don’t drag your feet—the four-year window under O.C.G.A. § 33-4-6 ticks away faster than you think (Justia Law). And with possible legislative tweaks in 2026, the longer you wait, the less leverage you’ll hold.
Negotiation Strategies
- Arm Yourself with Data: Lead with Manheim’s April index and Cox’s MUVVI figures (Manheim, Cox Automotive Inc.).
- Local Context Matters: Cite Carfax’s South-region surge and our Georgia blog insights (CARFAX, Valor Diminuído – Avaliação de Carros).
- Tariff Angle: Highlight the 25 percent automobile tariff and parts delays to explain market-driven value hikes (The White House, The White House).
- USPAP-Ready Report: Deliver a court-grade appraisal—insurers hate audits and will move faster to settle a well-documented claim.
Conclusion: Next Steps
Son, tariffs were meant to protect “national security,” but they’ve hurt everyday Georgians’ pockets in the auto market (The White House, The White House).
As your old appraiser friend here, I’ll say bluntly: act now—book that independent appraisal, lock in today’s comps, and wrest the recovery you deserve before the next policy or price shift leaves you holding the bag.
