The U.S. Consumer Technology Association (CTA) just released a report analyzing how Donald Trump’s tariffs could impact prices on consumer electronics, and there’s bad news for gamers and tech enthusiasts alike.
The report forecasts a significant rise in prices for smartphones, computers, televisions, and other tech-related goods. Unfortunately, game consoles are especially vulnerable, with prices projected to rise as much as 69%.
Consoles could cost over $400 more
The CTA, recognized as a leading voice in the industry and responsible for the annual Consumer Electronics Show (CES), first released this report in January, but recent political and economic shifts prompted them to update it. This new edition accounts for tariffs already implemented and anticipates their effects on the tech industry.
As highlighted in the report, the prospects for gamers are particularly bleak. A base tariff of 10% has been implemented, with additional tariffs imposed depending on the country of origin. China, in particular, is facing tariffs as steep as 145%. This is highly problematic, given that approximately 87% of video game consoles are manufactured there.
If things don’t get better, console prices could rise 69.4%. That would mean U.S. consumers might pay an extra $428 per device.
In this scenario, a PlayStation 5 Pro would sell for around $1,200, and an Xbox Series X could cost about $850. Games and services would almost certainly become more expensive.
Overall, the CTA estimates a loss of $12 billion in consumer buying power.
Although the report focuses on the U.S. market, the global tech sector is also bound to feel the effects, as companies adjust prices in response to tariffs and inflation. While there’s still a chance that the situation could improve, the trend suggests higher prices are just around the corner.
Tech prices across the board may surge
The CTA also looked at how other devices would be affected. Their forecast covers everything from smartphones and laptops to accessories, batteries, and TVs.
In addition to percentage hikes, the CTA released dollar estimates for how much more consumers might pay:
- Smartphones: 30.8%, or about $255
- Laptops and tablets: 34%, roughly $269 for laptops and $152 for tablets
- Connected devices: 22.4%, from $10 to $81
- Computer accessories: 24.8%, or around $58 in the case of printers
- Desktop computers: 24%, or about $287
- Consoles: 69.4%, roughly $428
- Monitors: 31.8%, equivalent to $111
- Speakers and headphones: 22.3%, translating to $60 for speakers and $5 for headphones
- Lithium-ion batteries: 17.9%, or up to $16
- Televisions: 10.7%, or around $57