Apple CarPlay GPS location accuracy is way off.

I recently upgrade by car's stock head unit to Sony 9500es with the latest firmware 2.00.01 to have high resolution audio and CarPlay functionality (Toyota GT86 vehicle). I have an iPhone 16 Pro Max with iOS18.1. CarPlay works with Apple Music and Tidal without issues except for navigation apps mainly Waze (but have encountered the same issues with Apple Maps and Google Maps as well). When I use these navigation apps, I do get thrown off initially 30-100 meters from the car's actual location and then eventually a few kilometers off.

If I disconnect from CarPlay, the navigation app (mostly Waze) on iPhone would show the correct location and works fine.

I have a window tint that blocks heat/UV rays from it's metallic particles and also degrades radio signals like cellular reception and GPS. That said, the iPhone still gets a pretty accurate location data even with that metallic tint in place. I have also tried an iPhone 15 with iOS 18.1 but still encountered this GPS accuracy issue.

I have a different car with a stock head unit that has CarPlay that does not exhibit the same issue when using both the iPhone 16 and iPhone 15.

Has anyone encountered this issue? I have seen an old thread with the same issue but all the suggestions didn't work.