Consumer Technology Association Warns of Skyrocketing Prices Due to Proposed Tariffs Under Trump Administration
As the new Trump administration approaches, the Consumer Technology Association (CTA) is once again sounding the alarm about the potential impact of proposed tariffs on consumer technology prices. The CTA fears that if implemented, these tariffs could cause a significant increase in prices for key tech products, including laptops, smartphones, and tablets.
Despite President Trump’s uncertain stance on the matter, the CTA believes that the president could impose tariffs without congressional approval. The association is considering two possible scenarios: a 10 percent tariff on all imports, and a more aggressive 20 percent tariff combined with 100 percent tariffs on products imported from China.
In both cases, consumers would face steep increases in retail prices. If a 10 percent tariff were applied, laptops could see an increase of 45 percent, equating to an additional $357 per unit, while smartphones could rise by $213. A more drastic 20 percent tariff could cause laptop prices to soar by 68 percent and increase smartphone costs by 37 percent.
The CTA argues that such tariffs would serve primarily as a tax on the American people, rather than fostering domestic manufacturing or creating jobs, which is often touted as a justification for tariffs. It points out that the U.S. lacks a significant computer manufacturing industry, meaning that the tariff burden would fall directly on consumers and retailers. As a result, technology purchases could drop sharply, with the CTA projecting a 44 percent reduction in laptop sales under the higher tariff scenario.
The CTA’s report, which outlines the potential price hikes in more detail, is available for free on its website.
