GPUs to See Price Increase Due to Import Tariffs, Other PC Components to Follow

[AleksandarK]

Yesterday, we have reported that ASUS is officially increasing the prices of their graphics cards and motherboards, due to increased component and logistics costs. What the company meant by that was not exactly clear to everyone, as it looked like the company has adjusted to the current market prices exceeding the MSRP of components like graphics cards. The GPUs are today selling at much higher prices compared to the original MSRP and it is representing a real problem for consumers. Today, we get to see what is the underlying problem behind the announcement we saw yesterday and if we are going to see more of that in the close future.

According to the New York Times, the Chinese import tariff exemptions have expired with the arrival of a new year (2021) and we can expect the tariffs to start from 7.5%-25%, which will massively increase component costs. A Reddit user has noted that MSRP will increase about $80 for every major GPU manufacturer like ASUS, GIGABYTE, PNY, Zotac, etc. so we are expecting MSRP adjustment from other companies to follow just like ASUS did. The import tariff exemptions are also supposed to increase MSRPs of other PC components like motherboards, SSDs, PSUs, cases... everything without exemption. As a product of a trade war between China and the Trump administration, it remains a question will these tariffs get easier shortly, so consumers can afford their desired components.


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[XL-R8R]

And in other news; water is wet and fire is warm.





The new prices and the continued rise in cost to the end user is now the new "norm"... prices only ever will go up and never will return to pre-2020 levels.


Acceptance - while hard to logically or financially justify - may be the only option. (as lets be fair, everyone on TPU likes hardware and wants upgrades)

 

[ShurikN]

Consoles it is.

 

[Easo]

Oh for f...s sake!

I mean, it was foreseeable, but still, common! GPU's already cost too much...

 

[mechtech]

I wonder if that includes Canada. For some reason we always pay even if the tariffs don’t apply to us.

Oh well. Not in the budget means no purchase. More money for me.

 

[noname00]

I hope this won't affect the rest of the world.

 

[ThrashZone]

Consoles it is.

Hi,
Scalpers got those too.

 

[Pumper]

I hope this won't affect the rest of the world.

You can be 100% sure that retailers will use this as an excuse to increase prices outside of US, after all, the MSRPs are always tied to US pricing in the rest of the world.

 

[phanbuey]

God forbid we open a local fab, ship in some talent, and make chips locally. That would be nuts.

 

[Chomiq]

Hi,
Scalpers got those too.

Well, at least if you're able to get one from retail it actually matches the MSRP set by MS or Sony.

 

[Luminescent]

In my country midrange gpu's are out of stock, you can buy low end parts like rx 570 4gb or rtx 3070 to 3090, even 6800xt and 6900xt are in stock now but the prices are over 1000$ with the top ones going for 2000$.
I wanted an upgrade but I'll skip this year.

 

[Raven Rampkin]

No particular feelings towards Asus but good luck not buying from any GPU vendor now, whoever got too emotional over the yesterday's ringing bell.

 

[TumbleGeorge]

Who is guilty? Us government?

 

[noname00]

You can be 100% sure that retailers will use this as an excuse to increase prices outside of US, after all, the MSRPs are always tied to US pricing in the rest of the world.

AMD, Intel and nVidia usually announce the MSRP in USD, Euros and GBP, so there's a change for the price increase to be limited to USA

 

[progste]

Those made in Taiwan shouldn't be affected by the tariffs.

 

[Durvelle27]

Hi,
Scalpers got those too.

They didn't

I have had no issues finding consoles for family

 

[blobster21]

Good. They won.

I'm not buying anything anymore.

Either cut your f**** margin or keep your products !

Never forget that they need us, not the other way around !

 

[ThrashZone]

They didn't

I have had no issues finding consoles for family

Hi,
Early release were soaked up pretty quickly guess they actually made ample amount and demand was lower no telling
I sure wasn't looking/ following at consoles very much beside reviews.. but no telling if I will later.

 

[damric]

Ok so new U.S. president coming soon, but what if...

- Who is to say whether the tariffs become permanent or not. Trade deals are important but there are so many crisis at the moment that this could be on the back burner for years.

- Even if the tariffs get repealed, prices will probably just stay the same and keep rising anyway due to rising supply chain issues, inflation, and greed.

One thing that I doubt will ever happen is that the tariffs will work as intended and stimulate manufacturing in the U.S. as our nation has become a land of uneducated fatties too complacent to innovate.

 

[Diverge]

It will be their loses in the end. Most people who are actively trying to build new systems don't really need to, they just want to. And the ones who do need to likely don't upgrade their systems every 1-2 years like enthusiasts.

While I wanted to build a new AMD system with a 5600X to go along with my new 3090 FE and new case (Formd T1), I'm just tired of putting so much effort into getting parts. Raising the prices is just another reason to stick with my 9700K system.

 

[Durvelle27]

Hi,
Early release were soaked up pretty quickly guess they actually made ample amount and demand was lower no telling
I sure wasn't looking/ following at consoles very much beside reviews.. but no telling if I will later.

I got the Series X before launch day with no problem

People blew it out of proportion

 

[ThrashZone]

Ok so new U.S. president coming soon, but what if...

- Who is to say whether the tariffs become permanent or not. Trade deals are important but there are so many crisis at the moment that this could be on the back burner for years.

- Even if the tariffs get repealed, prices will probably just stay the same and keep rising anyway due to rising supply chain issues, inflation, and greed.

One thing that I doubt will ever happen is that the tariffs will work as intended and stimulate manufacturing in the U.S. as our nation has become a land of uneducated fatties too complacent to innovate.

Hi,
Tariffs won't last long
But as far as new USA manufacturing wrong side won for that to happen EPA will be out in full force once again.... just as it was under previously and we will shed what has been created fairly soon and they will leave and go back to where they were before China/.....

 

[neatfeatguy]

I hate using a controller for gaming - I won't go back to consoles. I can still play games I have and that I like with my current hardware.

All I know is that my company wasn't handing out raises this year with the horrific downturn in production and sales due to the government ass-hats for shutting everything down. Now with gas already climbing back up (used to be $1.99 on average about 2 months ago, but once all voting was in and Biden was announced as new president gas went up about a quarter and it's up another dime as of this morning) plus health insurance increasing....I'm making less this year than I was last year at this rate...and the year just started.

I wonder if soon to be president Harris will back off the tariffs against China and unravel all that Trump did.

 

[Dave65]

Wonder if Biden will fix it?

 

[trparky]

Luckily, I don't live on the bleeding edge. I don't have to have the best of the best. I'll keep to the mid-range of the market where the prices are a tad bit more sane.