Starting August 1, a new round of tariffs is set to take effect, and this one could hit your wallet right where it hurts: electronics.
President Donald Trump's tariffs will hit a wide range of goods imported from China.
While not every device will be affected right away, many consumer electronics — smartphones, laptops, tablets and gaming consoles — are likely to see price increases in the coming months.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Retailers might absorb some of the extra cost at first, but higher prices almost always reach consumers once existing inventory runs out.
Which devices should you prioritize? Which ones can wait for a future sale? Here's what you need to know.
Why tariffs might drive up gadget and tech costs
Earlier this summer, Trump reached a trade deal with China that paused additional tariff hikes for 90 days but kept in place the existing 20% “fentanyl” and 10% “reciprocal” tariffs on Chinese goods. That pause is still in effect and is currently scheduled to expire on August 12, 2025, unless extended.
On July 22, the administration announced that it had reached a trade agreement with Japan and suggested that a deal with the European Union was also in the works. However, the specifics of both agreements remain largely informal.
For countries without formal deals, tariffs are set to revert to pre‑April levels on August 1, meaning many electronics and components could still face higher import costs in the months ahead.
For consumers, this means many products — especially electronics that rely on global supply chains — could face price pressures in the near future, as retailers pass along higher import costs.
Retailers and importers are already bracing for impact. In a recent NPR report, experts warned that many consumer electronics will see a price bump as early as late summer, just in time for back-to-school shopping and ahead of the holiday rush.
That uncertainty is prompting many shoppers to move up their usual buying plans for back‑to‑school and the holiday season.
How tariffs might lead to higher electronics prices
Tariffs are essentially taxes on imports. When the cost of importing goods goes up, companies usually face a choice: Eat the cost or pass it on to consumers.
For higher-ticket electronics, where profit margins might already be tight, those costs are more likely to be passed along, especially once current inventory sells through..
Even American brands aren’t insulated. Most devices rely on complex global supply chains, and critical components such as chips, batteries, displays and wiring often come from multiple countries, with China playing a major role in both sourcing and assembly.
Three tech items you should buy now
With prices likely to rise as new tariffs take hold, some electronics are smarter buys now than later.
The items most at risk are those heavily reliant on Chinese components or with historically tight profit margins, products in which manufacturers have little room to absorb added costs.
If you’ve been debating an upgrade, here are the categories to prioritize before prices start creeping up.
1. Smartphones
If you’re wondering whether to grab that new iPhone before tariffs take effect, the answer is yes — especially if you’re due for an upgrade.
Smartphones are one of the most globally integrated products on the market. Tariffs could affect not just iPhones and Galaxies but also budget-friendly Android phones that often depend on supply chains in other countries.
Some retailers might offer back-to-school promotions or trade-in credits to ease the sticker shock, but prices could quietly start to creep up this fall, especially as new models are released. If your current phone is hanging by a thread, now’s the time to shop.
2. Gaming consoles
Game consoles have been tariff-sensitive for years, and this round is no different.
While Microsoft, Sony and Nintendo have tried to shift some manufacturing outside China, many of their components are still subject to tariffs. That means your next Xbox, PlayStation or Switch (and even some of the accessories) could get pricier.
If you’ve got kids eyeing a console for Christmas, or you’re a gamer planning to upgrade, locking in a price now might save you money.
With demand often spiking in the fall, waiting too long could also mean dealing with stock shortages on top of higher prices.
3. Laptops and tablets
Entry-level laptops and budget tablets could be among the first to reflect new tariffs. These devices often compete on price, which means manufacturers might not have much room to absorb increased costs.
Even if you don’t need one for school, a new laptop or tablet for remote work, travel or family use could be worth grabbing before the summer ends.
Look for deals from big-box stores and tech retailers in early August, which might be your last chance at pre‑tariff prices.
What can wait: Smart TVs and streaming devices
Here’s one category where you can relax a bit: smart TVs. Many televisions are now assembled in countries such as Mexico, Vietnam and South Korea, which are not subject to the upcoming tariffs.
Even those using Chinese components have largely adjusted pricing in the past few years in response to previous trade shifts.
The best deals on TVs and streaming devices such as Rokus and Fire Sticks tend to land in late November during Black Friday and Cyber Monday. Unless your current setup just died or you’re outfitting a new space, it’s smart to wait until fall sales roll around.
Smart timing can help you avoid higher prices
Tariffs don’t always cause dramatic overnight price jumps, but they do apply pressure to supply chains, and those effects eventually reach your wallet.
If you’ve been meaning to buy a new phone, gaming console or laptop, it might be wise to shop sooner rather than later.
On the other hand, if you're eyeing a new TV or smart home device, you’ve got time, and some better deals could show up later in the year.
With a little strategy and smart timing, you can still save money and avoid paying more as new tariffs take effect.
Related Content
-
TSA Is Making Security Screening Even Faster for CLEAR+ MembersNew eGates promise to make identity verification a six second process for CLEAR+ members.
-
How Much the Best Travel Credit Cards Can Save You on a $10,000 TripTravel credit cards can help you save on your trips while offering elevated perks.
-
Protect Your Retirement From Extreme Weather EventsA rising tide of storms, fires, and heat is impacting retirees. Here's what you can do about it.
-
Board Service in Retirement: The Best Time to Join a Board Is Before You RetireMany senior executives wait until retirement to take a seat on a corporate board. But making this career move early is a win-win for you and your current organization.
-
Where I'm Stashing My Emergency Fund Before Rates ChangeKnowing what's coming can help savers prepare and maximize returns.
-
My Car Is 10 Years Old. Should I Drop Down to Minimum Coverage on My Car Insurance?Reducing your car insurance to minimum coverage could save you thousands on premiums. But when is it worth the risk?
-
Don't Be a Sucker: The Truth About Guarantor and Cosigner AgreementsThere are significant financial and relationship risks involved if you agree to be a cosigner or guarantor. Make sure you perform your due diligence, and know exactly what you're getting into, before agreeing to such a commitment.
-
Amazon Expands Same-Day Fresh Food Delivery to 1,000 CitiesAmazon's expanded grocery delivery service costs less than Amazon Fresh. Is it a better deal?
