Summary of Dealer Concerns on Tariffs and Operations
Eased Tariff Concerns
Recent data from a survey conducted by Cox Automotive in August 2026 shows that franchised and independent auto dealers express significantly less concern about tariffs compared to March 2025. While tariff discussions are actively resurfacing amid U.S.-Canada trade negotiations, fewer dealers are alarmed by these developments.
Increase in Reports of Low Concern
A notable shift in sentiment is that more dealers are reporting minimal to no concern about tariffs. Franchised dealers have seen the largest decline in worries related to tariffs, likely due to their initial heightened apprehension about new vehicle sales.
Optimism for Negotiated Outcomes
The expectation of a negotiated resolution to tariff issues is growing among dealers. The percentage of franchised dealers expecting a favorable outcome has tripled since March 2025, while it has doubled for independent dealers. Many now view tariff announcements as part of a continuous negotiation rather than an immediate threat.
Persistent Concerns About Parts and Service
Despite lowered tariff anxiety, concerns about parts availability, vehicle reconditioning, and service operations have risen. Dealers are increasingly worried about the potential cost increases for imported parts affecting their operational margins.
Conclusion
Overall, dealers are far less concerned about tariffs than during the early Trump administration, indicating a growing comfort with the changing trade landscape. However, the potential implications of rising costs in parts and service operations remain significant areas for concern.
