Wednesday, March 12th 2025
ASUS Could Increase Product Prices Amid Production Shift from China
ASUS executives have warned investors that consumers may face higher prices later this year as the company accelerates its manufacturing exodus from China in response to anticipated US tariff policies. Despite efforts to absorb costs internally, ASUS acknowledged during its recent earnings call that production relocation expenses could eventually impact retail pricing. This comes as the PC industry braces for trade policy changes under the new US administration. While competitors like Dell and HP have already established diversified supply chains outside China over several years, ASUS faces the financial pressures of rapidly developing alternative production capacity. Such transitions induce significant costs beyond facility construction, including workforce training, supply chain reconfiguration, and temporary production inefficiencies.
"We will try to limit these costs to within a reasonable level. However, as we make further adjustments to production lines, it may become possible that we need to offset some of these costs to our clients," stated an ASUS co-CEO during the call. The executive noted that several competing manufacturers have already implemented price adjustments to compensate for similar expenses. ASUS wants to maintain competitive pricing despite these pressures, indicating a willingness to accept margin compression in the short term. Component-level products may experience more immediate pricing pressure than fully assembled systems, where manufacturers can partially offset tariff impacts through internal efficiencies. ASUS's cautious messaging suggests the company is attempting to balance shareholder concerns about profitability with consumer sensitivity to price increases in the competitive PC market.
Source:
via Tom's Hardware
"We will try to limit these costs to within a reasonable level. However, as we make further adjustments to production lines, it may become possible that we need to offset some of these costs to our clients," stated an ASUS co-CEO during the call. The executive noted that several competing manufacturers have already implemented price adjustments to compensate for similar expenses. ASUS wants to maintain competitive pricing despite these pressures, indicating a willingness to accept margin compression in the short term. Component-level products may experience more immediate pricing pressure than fully assembled systems, where manufacturers can partially offset tariff impacts through internal efficiencies. ASUS's cautious messaging suggests the company is attempting to balance shareholder concerns about profitability with consumer sensitivity to price increases in the competitive PC market.
19 Comments on ASUS Could Increase Product Prices Amid Production Shift from China
Please, let’s not be uncouth. Both, of course.
Found evidence that their 5090 Astral is made in China.
We know what's going to happen.
MSI: Hold my beer ...
i assume this sounds like ASUS Annoyed the powers in China, as now is moving to Taiwan, its headquarters .
Where it should have been all along…
am assuming they are in Taiwan, and moving there.
A$U$
:rockout:
I mean, there are so many thing that can cause prices to go up, but you never hear that a company is going to lower prices because of X
So until there's some kind of "magical" solution to erase corporate greed, this is just going to allow them to further enrich themselves. Its not going to help the middle class workers, much less the lower class; especially if we're importing more than what we're exporting. If it were otherwise, the current sitting US president would've never made it back into office.
So the production can not stay in china for the other 190 countries on this planet?
I doubt some - certain areas have the personel and expertise and steady quality as china has. I do not want to be beta tester because personell lacks work experience. Or buy bad quality because skills or mentalty are lacking.
I hope asus will make 100% robotic production in usa.
Asus - when unconnecting usb header you rip off the connector plastic because of poor asus prime x670-p quality. Maybe jonsbo d41 case is the culprit for the usb cable. I highly doubt - especially with the uefi firmware bugs since may 2023
I'm on the road - i can share that picture...
As for Asus.. they make top of the line stuff that can stand the test of time.. but only at the top. I avoid everything low to mid range from them.
Mostly because its shit.
American workers just don't want brutal factory jobs with 12 hour shifts, 0 work-life balance, and garbage benefits. Certainly not for what the jobs will have to pay to be remotely competitive with the rest of the world.
For some reason voters seem to have come to all the wrong conclusions about the "Boomers used to be able to afford a house, a car, and a family on one income working at the local factory" thinking it was somehow manufacturing that provided for a high standard of living back when.
You can work in manufacturing and still be working poor folks.