Business
Specter of Auto Tariffs Spurs Some Car Buyers to Rush Purchases
Ziggy Duchnowski spent Saturday morning car shopping along Northern Boulevard in Queens with two goals in mind.
He wanted to find a new small car for his wife, and he hoped to strike a deal before the new tariffs that President Trump is imposing on imported cars and trucks affect prices.
“The word on the street is prices are going to shoot up now,” said Mr. Duchnowski, 45, a union carpenter who voted for Mr. Trump, holding the hands of his two small children.
The tariffs — 25 percent on vehicles and parts produced outside the United States — will have a broad impact on the North American auto industry. They are supposed to go into effect on April 3 and are sure to raise the prices of new cars and trucks.
They will also force automakers to adjust their North American manufacturing operations and scramble to find ways to cut costs to offset the tariffs. And for now at least, they are spurring some consumers to buy vehicles before sticker prices jump.
Analysts estimate that the tariffs will significantly increase the prices of new vehicles, adding a few thousand dollars for entry-level models to $10,000 or more for high-end cars and trucks. Higher prices for new vehicles are also likely to nudge used-car prices higher.
Every automaker will feel some kind of impact. General Motors builds a large number of highly profitable pickup trucks and sport utility vehicles in Canada and Mexico. Toyota and Honda make popular S.U.V.s in Canada. Volkswagen assembles the Jetta sedan, Tiguan S.U.V. and other popular models in Mexico.
“Once the tariffs go into effect and people start receiving quotes that represent these 25 percent increases, that’s when it’s going to start to sink in,” said Bill Pacilli, the sales manager at Lynnes Hyundai in Bloomfield, N.J.
Close to half the cars that Hyundai sells in the United States are imported from South Korea, he said. “They’re going to be hit with the tariffs in about a month or two,” Mr. Pacilli said. “Of course we’re concerned. Any effect in pricing is going to affect sales volume.”
While many dealers did not see a noticeable increase in buyers on Saturday, Jeremy Gleason, general manager at McGrath Subaru Evanston in Skokie, Ill., said his dealership had its biggest sales day since it opened in 2021.
“It’s been nuts,” Mr. Gleason said. “The tariffs have come up a lot and pushed people to move forward quicker.” He added that his dealership typically sells about 15 cars on Saturdays but sold 32 on this one.
Alvaro Duarte, an Ecuadorean immigrant who lives in West New York, N.J., went to Hudson Toyota in Jersey City, N.J., on Saturday to trade in his gas-powered car for an electric model, fearing prices would rise if he waited.
“Tariffs affect everyone,” said Mr. Duarte, 37. In his free time, he said, he often uses his car to earn money on the side as an Amazon Flex delivery driver. “If the prices go up, I need to pay more for my car, and that’s more expensive for me and my family,” he said. “I made the change because with electric cars there is no gasoline and less maintenance.”
Meanwhile, a salesman at Audi Manhattan in New York, Abdul Azeez, said traffic was no brisker than usual, and suggested it was because the people who live in the neighborhood usually have the means to buy new cars whenever they choose.
“Overall, I don’t think dealers in Manhattan are going to be as affected compared to dealers in other states or less busy cities, because even in the good economy, bad economy, there’s always going to be somebody who walks in the door to buy a car,” said Mr. Azeez, 24.
In Ann Arbor, Mich., on the strip of auto dealerships west of downtown on Jackson Avenue, customer traffic was pretty normal for a Saturday on the last weekend of the month — typically a busy time.
But a Tesla showroom drew a crowd: some 300 to 400 people gathered to protest the political activities of the company’s chief executive, Elon Musk.
Mr. Musk heads the cost-cutting initiative known as the Department of Government Efficiency, which has eliminated thousands of federal jobs and gutted several government agencies, including the Veterans Affairs Department and the Education Department.
Protesters carried signs calling for Mr. Musk’s firing and urged people to sell their Teslas.
“We’ve got to get some basic common sense back in this country,” said Harold Blake, 73, a retiree who drove 30 miles from Dearborn to participate in the protest.
“It’s so extreme, what’s going on in Washington,” he said. “I’m not taking it lying down.”
Over the course of an hour, no customers crossed the picket line to enter the Tesla showroom.
Protests were taking place at Tesla locations around the world, as part of the so-called Tesla Takedown movement. More than two dozen such demonstrations were scheduled across the United States on Saturday. Others were planned for Europe, Australia and New Zealand.
“I’m terrified for my kids and grandkids for what this world is coming to,” Kathy Sinnes, 67, said while protesting outside a Tesla showroom in Miami and holding a poster that read, “Tesla greed we will not heed.”
It remains unclear how soon prices on new vehicles will rise. Most automakers have enough tariff-free cars and trucks on dealer lots to last 60 to 90 days.
Juan Carlos Fagerlund decided not to wait. He was in a Toyota dealership in North Miami, Fla., to add window tinting to a Prius he had bought this month.
Although he had already been thinking about buying a new car, he said, the potential of higher prices prompted him to speed up his shopping, especially because he wanted a Prius. The car is made in Japan and will be subject to a heavy tariff.
The tariff increase “was not entirely the reason why we purchased in March,” Mr. Fagerlund said. “But it was definitely in our minds.”
Adria Pina, 60, a Dominican immigrant and a New Jersey Transit bus driver who lives in Bayonne, N.J., also decided to move quickly. Sitting in the Hudson Toyota dealership in Jersey City minutes after she bought a new car, she said she felt that she had just dodged a tariff pothole.
“My husband said we got lucky that we got a deal right before the tariffs,” Ms. Pina said. “If we didn’t get this done in time, it would have cost us about $10,000 more. That’s a lot of money.”
Sal Sellers, 57, the general sales manager at Hudson Nissan next door, didn’t seem overly concerned about the looming tariffs, noting that he had been through the pandemic and other serious economic downturns. But that didn’t mean his customers weren’t worried.
“Last week, we had a couple customers walking in saying: ‘You know what, I’m not waiting. I’m going to change my car now before the tariffs hit,’” Mr. Sellers said. “I’d say about 30 percent of my customers said that.”
Outside Chicago, Enzo Costa oversees eight dealerships as director of sales for the family-owned Patrick Dealer Group.
In March, he said, he increased his orders for new cars to top off his inventory before prices rise, and his acquisitions team purchased 30 used vehicles — about three times the usual number.
So far, though, he hadn’t seen a spike in customer traffic. “On a normal Saturday, we set 80 to 100 appointments,” he said. “Today, we have 75.”
He added that his sales team was urging customers considering new cars to come to the showroom. “Everything in inventory is pre-tariff,” he said. “You don’t have to worry about that now. That’s something that is way down the road.”
At Silver Line Auto Group in Queens, which sells used Jeeps, Cadillacs and Mercedeses, many customers are immigrants or other people who have driver’s licenses but not Social Security numbers. Back in December, Silver Line sold 35 cars, but business had crashed since then, said a salesman, Silver Bautista. The company sold just eight cars this month and recently laid off four employees.
Mr. Bautista said he believed that customers were staying away not because of rising prices but because they felt a need to save money.
“They don’t care about tariffs,” Mr. Bautista said. “People are worried about being deported.”
Robert Chiarito, Ryan Hooper, Verónica Zaragovia, Anusha Bayya and Nate Schweber contributed reporting.
Business
FKA twigs sues ex-boyfriend Shia LaBeouf over ‘unlawful’ NDA
Singer-songwriter FKA twigs is suing her ex-boyfriend, actor Shia LaBeouf, claiming that he is trying to “silence” her from speaking out against sexual abuse through the use of an “unlawful” nondisclosure agreement.
The complaint, filed in Los Angeles Superior Court on Wednesday, seeks a court order to prohibit LeBeouf from enforcing sections of an NDA which Tahliah Barnett — the Grammy Award-winning singer’s legal name — says violates California law.
“Shia LaBeouf has tried to control Tahliah Barnett for the better part of a decade,” the filing states.
“This action was taken in response to Mr. LaBeouf’s attempt to bully and intimidate twigs through a frivolous and unlawful secret arbitration he filed against her in December in which he sought to extract money from her,” said the singer’s attorney Mathew Rosengart, national co-chair of media & entertainment litigation at Greenberg Traurig in Century City, in a statement.
Rosengart added that twigs “refuses to be bullied anymore. She is instead standing up for herself and other survivors of sexual abuse who have improperly been silenced. This is the unusual case that is not about money but about justice and upholding and enforcing California law and policy designed to protect survivors by nullifying illegal NDAs.”
LaBeouf’s attorney Shawn Holley of Kinsella Holley Iser Kump Steinsapir denied the claims.
“When Ms. Barnett and Mr. LaBeouf both decided to resolve their differences and move on with their lives, no one forced her or ‘bullied’ her to stay silent,” Holley said in a statement.
“As a woman with agency, she decided to settle the case and accepted money to dismiss her lawsuit.”
The suit arises out of litigation that Barnett brought against LaBeouf in 2020, when she accused the actor of “physical, sexual, and mental abuse” during their relationship,” as well as “knowingly infect[ing]” Barnett with a sexually transmitted disease.” That case was settled last year.
In a response to the suit, the actor told the New York Times that “many of these allegations are not true.”
But he added, “I am not in the position to defend any of my actions. I owe these women the opportunity to air their statements publicly and accept accountability for those things I have done.”
In the statement Thursday, Holley added that the claim of sexual battery “was disputed, as were the other claims made in Ms. Barnett’s lawsuit.”
Shia LaBeouf poses for photographers upon arrival at the premiere of the film “The Phoenician Scheme” at the 78th annual Cannes Film Festival May 18, 2025.
(Lewis Joly / Invision / AP)
According to the new lawsuit, LaBeouf filed a secret arbitration complaint and “improperly sought exorbitant monies” from Barnett last December, claiming she had breached their agreement by violating its nondisclosure provisions after she gave an interview to the Hollywood Reporter in October.
In the interview, Barnett was asked if she felt safe and answered that as a woman of color in the entertainment industry, she “wouldn’t feel safe” and discussed her involvement with organizations that support survivors, saying, “I think it’s less about me at this point and more about looking forward. Just, you know, moving on with my life.”
The agreement Barnett reached with LaBeouf “contained a deficient and unlawful NDA that is unenforceable,” under California’s Stand Together Against Non-Disclosure Act, according to the complaint. The law forbids NDAs from being used to silence victims of sexual misconduct.
“As the California Legislature has made clear, survivors should have the right to tell their stories without fear or coercion, and California law does not and must not allow abusers and bullies to silence them through secret agreements containing unconscionable, unlawful gag orders,” the complaint states.
The lawsuit further alleges that while LaBeouf has sought to prohibit Barnett from talking about her abuse, he has “repeatedly brought up his relationship with Ms. Barnett—on his own and without being directly asked about her—materially breaching the very confidentiality provisions that he had just contended were fully enforceable against Ms. Barnett.”
While the actor agreed to drop the arbitration in February, he has “refused to acknowledge, however, that the NDA provisions are illegal and unenforceable,” the filing states.
The latest round in LaBeouf’s legal battle with Barnett comes just weeks after a New Orleans judge ordered the actor to begin substance abuse treatment and undergo weekly drug testing after he was arrested on suspicion of assaulting two men in the city’s French Quarter. LaBeouf was also required to post $100,000 bond as part of the conditions of his release. He was charged with two counts of simple battery, the Associated Press reported.
Business
Warner shareholders to vote on Paramount takeover
Warner Bros. Discovery shareholders will soon render a verdict on Hollywood’s biggest merger in nearly a decade.
Warner has set an April 23 special meeting of stockholders to vote on the company’s proposed sale, for $31-a-share, to the Larry Ellison family’s Paramount Skydance.
The $111-billion deal is expected to reshape the entertainment industry by combining two historic film studios, dozens of prominent TV networks, including CBS, HBO, HGTV and Comedy Central, streaming services and two news organizations, CNN and CBS News. The tie-up would give Paramount such beloved characters as Batman, Wile E. Coyote, and Harry Potter, television shows including “Hacks,” and “The Pitt,” and a rich vault of movies that includes “Casablanca,” and “One Battle After Another.”
The $31-a-share offer represents a 63% increase over Paramount Chairman David Ellison’s initial $19-a-share proposal for the company in mid-September, and a 147% premium over Warner’s stock’s trading levels prior to news of Ellison’s interest.
“This transaction is the culmination of the Board’s robust process to unlock the full value of our world-class portfolio,” Warner Bros. Discovery Chief Executive David Zaslav said Thursday in a statement. “We are working closely with Paramount to close the transaction and deliver its benefits to all stakeholders.”
Paramount hopes to finalize the takeover by September. It has been working to secure the blessing of government regulators in the U.S. and abroad.
Should those regulatory deliberations stretch beyond September, Paramount will pay shareholders a so-called “ticking fee” — an extra 25 cents a share for every 90-day-period until the deal closes.
The transaction will leave the combined company with nearly $80-billion in debt, a sum that experts say will lead to significant cost cuts.
Paramount Skydance Chairman and CEO David Ellison attends President Trump’s State of the Union address three days before clinching his hard-fought Warner Bros. Discovery deal.
(Mark Schiefelbein / Associated Press)
For weeks it appeared that Netflix would scoop up Warner Bros.
Netflix initially won the bidding war in early December with a $27.75 offer for the studios and streaming services, including HBO Max. But Ellison refused to throw in the towel. He and his team continued to lobby shareholders, politicians and Warner board members, insisting their deal for the entire company, including the cable channels, was superior and they had a more certain path to win regulatory approval.
The Ellison family is close to President Trump. This week, Trump named Larry Ellison to a proposed White House council on technology issues, including artificial intelligence.
Warner’s board, under pressure, reopened the bidding in late February to allow Paramount to make its case. Warner board members ultimately concluded that Paramount’s bid topped the one from Netflix and the streamer bowed out. Paramount paid a $2.8-billion termination fee to Netflix and signed the merger agreement on Feb. 27.
Warner’s board is advising its shareholders to approve the Paramount deal. Failure to cast a vote will be the same as a no-vote, according to the company’s proxy.
Warner’s largest shareholders include the Vanguard Group, BlackRock, Inc. and State Street Corp.
Zaslav has significant stock and options holdings, worth about $517 million at the deal’s close, according to the proxy.
The regulatory filing also disclosed that a mysterious bidder had surfaced at the auction’s 11th hour.
A firm called Nobelis Capital, Pte., reportedly based in Singapore, alerted Warner on Feb. 18 that it was willing to pay $32.50 a share in cash.
The firm said it had placed $7.5 billion into an escrow account. However, Warner’s bankers “could not find the purported deposit at J.P. Morgan,” according to the proxy. And there was no evidence that Nobelis had any assets or any “equity or debt financing” lined up, Warner said, adding that it “took no further action with respect to the Nobelis proposal.”
Business
Video: How Kharg Island May Change the Trajectory of the Iran War
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