TECH NEWS – Tariffs will be reduced significantly for 90 days. How will this affect PC hardware?

Since returning to the presidency, Trump has focused on “balancing” the trade deficit by imposing reciprocal tariffs on several nations. One of the major disadvantages of tariffs is that consumers must pay the additional taxes out of pocket. For the IT industry, particularly the PC market, the 145% tariffs on China are extremely damaging. However, there are reports that a deal has been made and that the US will cut tariffs to 30% in the short term.

It’s important to note that, although the tariffs have been reduced, there won’t be an immediate reaction in the supply chain apart from the expected delayed price increases, as many manufacturers have already received products at the original tariff rates. One good thing about the agreement with China is that little to no future price increases are expected, and the uncertainty between the two sides has been removed. A clear policy would certainly be welcomed by the supply chain.

PC products have steadily increased in price in recent weeks, including components and laptops. Nvidia has started implementing price increases of 10–15% for AI and GeForce GPUs due to tariff policies. Moving production to America is expensive, too. Now that an agreement has been reached between the U.S. and China, we can expect parts to be available at uniform prices. There will also be better availability, as more products will be imported from China due to the lower tariff.

Hopefully, things will continue to improve for the average consumer in this industry, as the last few weeks have been disappointing, especially for gamers, who have had to pay exorbitant prices for the latest parts. However, prices may not drop significantly within 90 days, so the higher prices will likely persist.

Source: WCCFTech, White House