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PC hardware to get more expensive - 25% tax due to US China Trade-war
The US-China trade war might soon have an effect on computer hardware. A new listing reveals a new 25% import tax for electronics made in China by USD companies.
The listing is revealing "electronic integrated circuits: processors and controllers," "electronic integrated circuits: memories," "electronic integrated circuits: amplifiers," "electronic integrated circuits: other," which covers pretty much any PC hardware. This new info was spotted by Flyordie over at TPU who noticed the new import taxes on CNN being listed in this document, and that is not good news, especially for US residing folks:
This new tax takes effect on August 23, 2018. Pretty much if you spend 500 USD on hardware, it would now cost your 625 USD. If you reside in other parts of the globe like EU, this has no effect on you as long as the product do not need to be cross-imported though the USA.
Intel or NVIDIA for example fabs their PCBs in China, and then often ships them to the US HUB, once the fully assembled product reaches the EMEA region, that would invoke a 25% increase in cost. However, I foresee many bypasses, e.g. electronics being shipped to say Taiwan, rebadged and shipped to the USA as a TW product, simply to bypass the tariff.
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ontelo
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#5571927 Posted on: 08/08/2018 02:41 PM
Well not really. Taxes are not included in the prices shown in US webshops etc so you can't really do direct comparison.
25% increase in tax? That would roughly put US prices on par with BE/NL/DE prices.
Well not really. Taxes are not included in the prices shown in US webshops etc so you can't really do direct comparison.
Solfaur
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#5571929 Posted on: 08/08/2018 02:42 PM
I have a feeling this will affect prices in the EU too, not just US...
I have a feeling this will affect prices in the EU too, not just US...
Incredible Lama
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#5571930 Posted on: 08/08/2018 02:45 PM
scared myself shitless but being in Europe I shouldn't be affected for the most part.
Thanks for taking one for the team US nationals. <3
scared myself shitless but being in Europe I shouldn't be affected for the most part.
Thanks for taking one for the team US nationals. <3
Brit90
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Member
Posts: 65
Joined: 2016-11-08
#5571933 Posted on: 08/08/2018 02:57 PM
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
Captain_Hook
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Junior Member
Posts: 14
Joined: 2018-04-17
#5571935 Posted on: 08/08/2018 03:12 PM
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
Not so cheap as in Venezuela
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
Not so cheap as in Venezuela
airbud7
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Senior Member
Posts: 6153
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#5571937 Posted on: 08/08/2018 03:19 PM
I say zero tariffs for all.
I say zero tariffs for all.
Netherwind
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#5571944 Posted on: 08/08/2018 03:41 PM
Hopefully not since we import directly from Asia and not through US.
Sad to hear about this US, hang in there.
I have a feeling this will affect prices in the EU too, not just US...
Hopefully not since we import directly from Asia and not through US.
Sad to hear about this US, hang in there.
Biały Wilk
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Senior Member
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Joined: 2011-02-18
#5571949 Posted on: 08/08/2018 03:51 PM
Hopefully not since we import directly from Asia and not through US.
Sad to hear about this US, hang in there.
Sad to hear about us in EU. If people will pay in US more then should then some "$monkey" will think: " people in US pay more, lets raise prices in EU so we will earn more. And prices will be equal. I bet it will go this way... (cry)
Hopefully not since we import directly from Asia and not through US.
Sad to hear about this US, hang in there.
Sad to hear about us in EU. If people will pay in US more then should then some "$monkey" will think: " people in US pay more, lets raise prices in EU so we will earn more. And prices will be equal. I bet it will go this way... (cry)
SHS
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Senior Member
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#5571950 Posted on: 08/08/2018 03:53 PM
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
That not are fault that you all used Liter I stead of Gallon
Well at least America knows what it is now like to pay a lot of money for stuff
Although, they still have cheap petrol!
That not are fault that you all used Liter I stead of Gallon
scoter man1
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#5571952 Posted on: 08/08/2018 04:01 PM
Airbud for pres
I say zero tariffs for all.
Airbud for pres
Brasky
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Posts: 2092
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#5571960 Posted on: 08/08/2018 04:25 PM
So I have to make sure I buy everything by August 23rd. Note to Self.
So I have to make sure I buy everything by August 23rd. Note to Self.
Kaarme
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#5571961 Posted on: 08/08/2018 04:25 PM
It won't. More likely it will go the way Hilbert said: The big corporations will find ways to bypass the tariffs. With any luck, this might bring small benefit to Europe if something was normally routed to Europe via the USA for some additional work. Now it might get brought directly to Europe and the additional stuff would be done here. Then the merchandise would be shipped to the USA, with the source now being some European nation instead of China. Your scenario won't happen because if someone tried it, they would be eaten alive by competitors who wouldn't do it.
Small companies might be in trouble, though. Perhaps some Taiwanese businessman will establish a middle-man business for relabelling. Soon he'd be a billionaire as rich as Trump himself without doing any real work of his own, just some shipping and paperwork to make stuff look like Taiwanese instead of Chinese.
Sad to hear about us in EU. If people will pay in US more then should then some "$monkey" will think: " people in US pay more, lets raise prices in EU so we will earn more. And prices will be equal. I bet it will go this way... (cry)
It won't. More likely it will go the way Hilbert said: The big corporations will find ways to bypass the tariffs. With any luck, this might bring small benefit to Europe if something was normally routed to Europe via the USA for some additional work. Now it might get brought directly to Europe and the additional stuff would be done here. Then the merchandise would be shipped to the USA, with the source now being some European nation instead of China. Your scenario won't happen because if someone tried it, they would be eaten alive by competitors who wouldn't do it.
Small companies might be in trouble, though. Perhaps some Taiwanese businessman will establish a middle-man business for relabelling. Soon he'd be a billionaire as rich as Trump himself without doing any real work of his own, just some shipping and paperwork to make stuff look like Taiwanese instead of Chinese.
HardwareCaps
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Senior Member
Posts: 140
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#5571963 Posted on: 08/08/2018 04:31 PM
Wait so China taxes the US for products of US companies? That's hilarious, maybe it will bite them in the butt
Wait so China taxes the US for products of US companies? That's hilarious, maybe it will bite them in the butt
slyphnier
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#5571965 Posted on: 08/08/2018 04:39 PM
not sure how the international-trading law works... but if parts that been always from china suddenly now made in taiwan to bypass tax tariff wouldnt goverment take action to the importers/exporters ?
i think, first they test the market, maybe giving slight price reduction (less profit)
but if market still ok with the price, they will leave it like that
but again if the impact is really big
they would just open fake-factory that labeled as assembly-factory in us
factory that only doing small assembly of almost finished product (in simply we can call it packing factory) and labeled as made in usa / assembled in usa
not sure how the international-trading law works... but if parts that been always from china suddenly now made in taiwan to bypass tax tariff wouldnt goverment take action to the importers/exporters ?
i think, first they test the market, maybe giving slight price reduction (less profit)
but if market still ok with the price, they will leave it like that
but again if the impact is really big
they would just open fake-factory that labeled as assembly-factory in us
factory that only doing small assembly of almost finished product (in simply we can call it packing factory) and labeled as made in usa / assembled in usa
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25% increase in tax? That would roughly put US prices on par with BE/NL/DE prices.