WASHINGTON, March 4 (Reuters) - A trade group

representing nearly all major automakers warned on Tuesday that

new 25% tariffs on imports from Canada and Mexico imposed by

U.S. President Donald Trump will lead to drastic price hikes.

"All automakers will be impacted by these tariffs on Canada

and Mexico," said John Bozzella, who heads the Alliance for

Automotive Innovation that represents all major automakers in

the U.S. except Tesla. Members include General Motors

Ford, Toyota ( TM ), Volkswagen, Hyundai

and Stellantis ( STLA ).

"Most anticipate the price of some vehicle models will

increase by as much as 25% and the negative impact on vehicle

price and vehicle availability will be felt almost immediately."

Automakers have sounded the alarm that the tariffs will

disrupt the integrated supply chain across North America that

has been in place for more than 25 years. Some auto parts can

cross a border six or more times before final assembly.

"You just can't relocate automotive production and the

supply chain overnight. That's the challenge and the dilemma:

auto tariffs in North America could end up increasing costs on

consumers before jobs come back to the country," Bozzella added.

Last month, Ford

CEO Jim Farley warned

that 25% tariffs on Mexico and Canada would "blow a hole"

in the U.S. auto industry. "What we're seeing is a lot of cost,

a lot of chaos," he said last month.

The United Auto Workers praised Trump, noting his plans

for further tariff actions in April.

"We are glad to see an American president take

aggressive action on ending the free trade disaster that has

dropped like a bomb on the working class," the union said. "We

look forward to working with the White House to shape the auto

tariffs in April to benefit the working class."

The American International Automobile Dealers Association

noted dealers already face rising vehicle and parts prices and

high interest rates. "Tariffs could directly contribute to

thousands of extra dollars on sticker prices," the group said.