The recent implementation of tariffs on automotive imports from Canada, Mexico, and China is creating significant disruptions in parts availability across the automotive repair sector. These trade policies are reshaping how and when parts reach repair shops and consumers, with far-reaching implications for the entire automotive ecosystem. This report examines the multifaceted impact of these tariffs on the availability of car parts and the resulting challenges for both businesses and vehicle owners.

Immediate Supply Chain Disruptions

The imposition of tariffs—25% on imports from Canada and Mexico and 10% on Chinese goods—is already causing bottlenecks throughout the automotive supply chain. These disruptions are particularly concerning given the volume of parts sourced from these countries. Mexico supplies approximately 40% of the parts used in U.S. vehicles, while Canada contributes more than 20%, according to Barclays Bank estimates3. When combined, Mexico and Canada accounted for 58% of U.S. auto parts imports in 20234.

The immediate consequence of these tariffs is a potential reduction in parts shipments to the U.S. As importing components becomes more costly, suppliers may decrease their export volumes to American markets, leading to parts shortages that extend wait times for crucial components4. This scarcity directly impacts repair shops, which must wait longer for necessary parts, ultimately delaying vehicle repairs and affecting customer satisfaction.

The complexity of modern automotive supply chains exacerbates these disruptions. Many components traverse borders multiple times during manufacturing—a phenomenon acutely illustrated by truck transmissions produced by German supplier ZF Friedrichshafen. These parts begin in Mexican factories producing torque converters, which are then shipped to South Carolina for assembly, before returning to Mexico for installation in pickup trucks, and finally crossing the border again to reach U.S. dealerships3. According to ZF, approximately 30 other automotive components follow similar cross-border journeys3.

Inventory Management Challenges

In response to these tariff threats, businesses throughout the supply chain are implementing defensive strategies that further complicate parts availability. Trump’s 30-day postponement of new tariffs on Canadian and Mexican goods has triggered a spike in cross-border shipments as companies rush to stockpile inventory before the March deadline2. This pre-tariff surge creates temporary distortions in the market—while immediately increasing availability, it potentially leads to more severe shortages later.

For repair shops, these disruptions necessitate significant changes in inventory management. Many are now forced to stockpile critical parts to avoid shortages, tying up capital and increasing overhead costs7. This approach is particularly challenging for smaller independent repair shops with limited storage capacity and financial resources. The increased inventory costs and storage requirements create additional operational burdens that can further constrain parts availability in local markets.

Impact on Specific Parts Categories

The tariff impact varies significantly across different categories of automotive components. Many essential repair items—including brake pads, calipers, and water pumps—come predominantly from China and are thus subject to the 10% tariff5. These components represent staples of routine maintenance and safety-critical repairs, making their availability crucial for keeping vehicles operational.

In the collision repair sector, the impact is particularly severe. According to industry data, 44% of OEM parts used for collision repair are produced outside the United States and would be subject to tariffs. Even more concerning, virtually all aftermarket parts are produced in Taiwan and would also face import duties8. On average, 8.5 parts out of the typical 13.5 components replaced during collision repairs would be potentially impacted by tariffs8.

Electronic components and complex systems face additional availability challenges. As vehicles become increasingly sophisticated, they rely more heavily on specialized electronic parts and sensors that often have limited production sources. Tariffs on semiconductors and electronic components could create severe shortages for these high-tech parts8, potentially leaving newer vehicles with advanced systems stranded during repairs.

Quality and Substitution Concerns

As parts availability tightens and prices increase, repair shops face difficult choices regarding parts sourcing. Many are exploring alternative suppliers to avoid tariff-affected components, but this substitution raises concerns about parts quality and compatibility7. This situation creates a troubling dilemma: choose potentially questionable alternative parts that are available, or wait extended periods for preferred components.

For European vehicle specialists, these concerns are particularly acute. Independent repair shops specializing in European models may face exceptional challenges obtaining appropriate parts, potentially compromising repair quality if lower-quality substitutes are used4. While some hope that European production and distribution might be less disrupted than the domestic market, the interconnected nature of global supply chains makes this uncertain.

Long-Term Adaptation and Reshoring Possibilities

While the immediate impact of tariffs manifests as availability constraints, the long-term effects could reshape parts sourcing fundamentally. In a CH Robinson survey, shippers indicated that changes in tariffs and trade policy represent their top supply chain risk in 2025, with 50% expressing that tariff uncertainty is a significant pain point2. In response, many are actively preparing by identifying alternative sourcing options, analysing customs data, evaluating cross-border strategies, running risk scenarios, and reducing dependence on Chinese imports2.

For the automotive sector specifically, these adaptations include automotive customers „pivoting to more regional production,“ according to Michael Castagnetto, president of North America surface transportation at CH Robinson2. This shift toward regionalization could eventually increase domestic parts availability, though building new manufacturing facilities and establishing local supply chains requires significant investment and development time.

Conclusion

The imposition of tariffs on automotive imports from Canada, Mexico, and China is creating significant disruptions in parts availability throughout the repair industry. From supply chain bottlenecks and inventory challenges to quality concerns and long-term sourcing adaptations, these trade measures are fundamentally altering how and when parts reach repair shops and consumers.

For vehicle owners, these disruptions translate to potential delays in vehicle repairs and maintenance, with the possibility of longer shop times and increased difficulty obtaining specific components. Business owners throughout the supply chain face complex operational challenges as they navigate inventory pressures, sourcing alternatives, and increased costs.

While some hope that domestic manufacturing might eventually fill supply gaps, the complex, integrated nature of automotive supply chains makes quick adjustments difficult. As tariff policies continue to evolve, the automotive repair industry faces an extended period of parts availability uncertainty that will require flexibility, foresight, and creative adaptation from all participants in the automotive ecosystem.