Japanese carmakers are in dire straits, with Toyota likely to be the worst hit due to their huge U.S. exposure, according to Vivek Vaidya, global client leader for mobility at research firm Frost & Sullivan.

U.S. tariffs on imported cars are set to go into effect this week. President Donald Trump announced the 25% tariff on all foreign-made cars and auto parts last week. It’s a move he believes will foster more domestic manufacturing over time.

Toyota reported Friday, March 28 that while its global production rose for the second consecutive month, production in North America dropped by 1%.

Ahead of President Trump’s promised tariff announcement on April 2, details on the specifics are still scant. The president has already announced a 25% tariff on imported cars and auto parts. NBC News’ Garrett Haake spoke to a car dealership owner and auto worker in Michigan about how they expect to be impacted by the tariff.

Some analysts have warned that Trump's import charges could lead to the temporary shutdown of some US car production, with increased prices passed onto consumers. But the US president told NBC News on Saturday that he hoped foreign carmakers will raise prices as it meant "people are gonna buy American-made cars - we have plenty".

Donald Trump said he 'couldn't care less' if international automakers increase pricing due to his tariffs as people will 'buy American-made' vehicles.