The company’s move is one of the first and clearest examples of automakers using price increases to deal with the 25 percent tariffs President Trump imposed on car and auto parts imports.

Volkswagen will introduce an "import fee" on vehicles affected by 25% tariffs imposed by U.S. President Donald Trump, the Wall Street Journal reported on Wednesday.

Volkswagen will add an “import fee” to the stickers on its cars that are affected by the 25% vehicle tariff, the German automaker told its dealers. In a memo to retailers Tuesday, VW also said it has temporarily halted rail shipments of vehicles from Mexico,