Act Now: Tariffs Will Impact Future HVAC Prices
As of March 23rd, new tariffs were officially leveled at imported steel and aluminum. While these tariffs were primarily aimed at China, their impact has sent shockwaves through a variety of industries. However, a handful of countries were given exemptions from the 25 percent tariff on steel and the 10 percent tariff on aluminum. Canada and Mexico were granted exemptions while the European Union, Australia, Argentina, Brazil, and South Korea were given temporary exemptions from the tariffs.
HVAC Systems Feel the Heat.
The impact of these tariffs has been especially noticeable in the HVAC industry which relies heavily on components made of aluminum and steel. The Air Conditioning Contractors of America (ACCA) released the following statement regarding President Trump's decision to impose additional tariffs on steel and aluminum:
"ACCA is concerned that increased costs of HVACR equipment caused by tariffs on steel and aluminum will negatively impact professional contractors and consumers," said Paul T. Stalknecht, ACCA president and CEO. "When the price of HVACR equipment increases, consumers who are in need of a new system trend toward cut-rate and unqualified individuals to service or replace their equipment. It also shifts the mindset of consumers to opt for putting Band-Aids on aging systems instead of replacing them with today's more efficient products."
Market Volatility Will Move HVAC Prices Upward
Homeowners in the market for a new air conditioner should consider purchasing sooner rather than later. Because of the tariffs, market volatility will adversely impact equipment and material pricing and purchasing power for consumers. A delayed decision could result in higher costs once the tariffs have taken full effect. Suppliers and distributors for professional HVAC contractors will be forced to implement new prices thereby increasing estimates that customers see.
At American Air Cares, we understand the financial impact these tariffs will have on homeowners looking to install a HVAC system. Our team of HVAC experts will provide with you with a transparent estimate for any new system you want to install. In addition, we are always happy to answer any questions you may have regarding the best practices for selecting a new system that is right for your home. Call us today to schedule a visit to help you understand the best options available to you.