What the Tech: Tariffs impacting electronics

CHARLOTTE -Not long ago people who started their Christmas shopping in May were thought to be a little odd. But with tariffs beginning to impact prices, everyone is secretly shopping for electronics they may plan to buy in the fall.

I recently did a price comparison, revisiting major retail websites I checked a week prior. The changes were eye-opening. For example, the Sony ZV-1 II camera jumped from $800 to $900 at
Best Buy. And according to price tracker CamelCamelCamel, the Xbox Series X went up from $500 to $600 on Amazon.

However, not everything has changed. I noticed that monitors, laptops, TVs, and headphones seem to be holding steady for now. So, what’s going on?

Natalie Kotlyar, a retail analyst at BDO, sheds some light on the situation. “There are a lot of goods still in the water, especially for the holiday season. Some are being held in bonded warehouses, so they don’t pay tariffs until they actually receive them.”

This means some retailers are still selling through older inventory purchased before the tariff increases. Kotlyar explains, “They’re waiting to see if the tariffs should increase, they’ll receive these
goods with the lower tariffs and there’s no need to pass those higher prices to the consumer.”

However, not all companies are waiting. DJI, which makes drones and action cameras, has already raised prices by nearly 30% in just one week. This raises a crucial question: Are we looking at a
more expensive Christmas? “Potentially,” says Kotlyar. “I think a good indication of what prices will look like on Prime Day in July.”

So, should you buy now, even at higher prices, to ensure you have the gaming console, laptop, or smartphone under the tree in December? It’s a gamble. Koltyar said if tariffs remain in place through late summer, we could see shortages and even steeper prices. On the other hand, there’s always the possibility that the White House might roll back the tariffs, bringing prices and availability back to normal.

And it’s not just Christmas shopping to consider. With back-to-school shopping just three months away, experts suggest parents start early and look for discounts before tariffs fully affect those
prices. Whether it’s for holiday gifts or school supplies, keeping an eye on price fluctuations and potential tariff impacts is essential in the coming months.