- The Honda Prologue and the Chevy Equinox EV were some of the best-selling non-Tesla EVs in the third quarter of 2024.
- They’re both assembled in Mexico and risk being affected by President-elect Donald Trump’s 25% tariff on all goods imported from Mexico and Canada.
- Teslas are all U.S. made. But roughly 20-25% of the parts content in all Teslas is Mexico-sourced.
He said he was going to do it, and he did it.
President Donald Trump on Saturday signed executive orders imposing stiff 25% tariffs on all goods imported from Mexico and Canada, and the automotive industry will likely be among the sectors most impacted by this move. And the decision could also cause a significant blow to the U.S. EV market.
EVs are gaining momentum in the U.S. with many automakers reporting record sales last year, driven by a wave of new, relatively affordable models. Now this growth risks stalling if Trump follows through his proposed tariffs. Several automakers, including General Motors, Tesla, Ford, Honda, BMW and Audi rely heavily on manufacturing facilities across the southern border, making them particularly vulnerable to a policy shift.
Popular EVs currently like the Ford Mustang Mach-E, Chevrolet Equinox EV, Blazer EV and Honda Prologue undergo final assembly in Mexico. While Tesla manufactures its EVs in the U.S., some of their components are sourced from Mexico, according to public records posted by the National Highway Traffic Safety Administration (NHTSA). InsideEVs scanned these records to see which EVs and PHEVs could be the hardest hit.
This list covers model year 2024 EVs and PHEVs as many MY2025 cars are not listed yet. As of this writing, no major price shifts have been seen. The tariffs take effect on Tuesday.
Regardless, the percentage of vehicle content sourced from other countries gives us an idea of how the tariffs may affect these EVs.
| Model Year 2024 EVs/PHEVs | Share of content from the U.S. or Canada | Share of content from Mexico | Share of content from China | Final Assembly |
| Ford Mustang Mach-E | 26% | 18% | 51% | Mexico |
| Chevy Blazer EV | 62% | – | 18% | Mexico |
| Chevy Equinox EV | 62% | – | 18% | Mexico |
| Honda Prologue | 38% | 16% | Mexico | |
| Acura ZDX | 63% | 19% | 16% | U.S. |
| Tesla Model 3 | 35-75% | 20% | 40% (LR only) | U.S. |
| Tesla Model Y | 70% | 20% | – | U.S. |
| Tesla Model S | 65% | 15% | – | U.S. |
| Tesla Model X | 60% | 20% | – | U.S. |
|
Cybertruck |
65% | 25% | – | U.S. |
|
Dodge Charger Daytona EV (Upcoming) |
– | – | – | Canada |
| Ford Escape PHEV | 32% | 25% | – | U.S. |
| Lincoln Corsair PHEV | 47% | 25% | – | U.S. |
| Chrysler Pacifica PHEV | – | – | 0 | Canada |
| Audi Q5 55 e | – | 51% | – | Mexico |
As you can see, Tesla isn’t immune to these tariffs. Still, it remains to be seen whether Trump will make an exception for the automaker. CEO Elon Musk currently heads the Department of Government Efficiency and donated millions to Trump’s campaign efforts.
The White House said Friday that Trump will follow through on plans to increase tariffs on Chinese-made goods by a further 10%. The U.S. has already imposed a 100% tariff on EVs made in China and has also banned Chinese software from being used in cars sold stateside.
Some 2.55 million cars manufactured in Mexico were imported to the U.S. in 2023, as per researcher GlobalFleet. Now, the fear of tariffs making cars more expensive is sending shockwaves across the industry.
Japanese and Korean EVs appear relatively more insulated from Trump’s tariffs, but not entirely as they still source a small percentage of components from China. But on a more positive note, the Hyundai Ioniq 5 is now manufactured at Hyundai Motor Group’s Metaplant in Savannah, Georgia. More electric Hyundai and Kia models will be built in the U.S. this year as well.
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