Tariffs are expected to increase prices for many items, leaving consumers with a dilemma. Is it better to repair a household item and delay a purchase or buy now before tariffs are fully implemented?
Now might be the time to buy tech products and appliances that aren’t currently manufactured in the U.S. Furniture and HVAC systems are also sensitive to tariffs, but there may not be a reason to run out and replace those if your current items are serviceable.
“Prices will almost certainly go up across the board, even if China becomes the only target of tariffs, says Usha Haley, the Barton Chair in International Business at Wichita State University. She notes that China makes one out of every three products manufactured in the world, including most steel. Haley adds: “But it’s not time to panic buy.”
Instead, use the same process you normally would to determine whether to repair or replace an item. Weigh the cost of the repair with the value of the item and consider the item’s expected lifespan.
Keep reading for expert guidance on whether to repair or replace items in the following categories.
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HVAC Systems
Your home’s heating and cooling system may have been assembled in the U.S. Still, it relies on components imported from other countries, Keith Wortsmith, president of Dash Heating, Cooling & Plumbing, a family-owned company in central Arkansas, wrote in an email. For this reason, “HVAC systems are one of the most tariff-sensitive items,” he said.
For units that are less than 10 years old and still functioning well, regular maintenance and minor repairs are likely the best approach. For older systems or those in need of major repairs, now may be the time to consider replacement.
“If … your system was already struggling last year or barely keeping up, it’s probably time to replace it before the tariffs raise the price,” Wortsmith said.
“Some manufacturers are still selling off their systems built with pre-tariff parts, so you may be able to get a unit at the ‘old’ price before the next delivery when tariffs reflect higher costs,” he added.
Furniture
You can find furniture made in the U.S., but like HVAC systems, parts may come from other countries.
“Home goods like mattresses and furniture will go up in price because of the spats with Canada, Mexico and Vietnam,” Haley said.
Vietnam accounts for 37% of the furniture imported into the U.S., according to industry publication Furniture Today. Retailers such as HomeGoods and Bob’s Discount Furniture rely heavily on imports, and Ashley has operations in other countries as well.
If furniture can be repaired — or lived with as is — that will likely be the more economical choice. If you do decide to replace furniture, you can look for products made in the U.S. to avoid the impact of tariffs, although these items may still have higher prices than imported goods.
[Read: What Will Cost Most Under Trump’s Tariffs?]
Electronics
When it comes to modern electronics, you may have no choice but to replace a broken item. Many items nowadays are built in such a way that repairing them is impractical.
However, when a repair is possible, consumers should only go that route if the repair cost is less than 50% of the replacement cost, according to Leon Huang, CEO of RapidDirect, a Chinese firm that manufactures custom components for clients worldwide.
“Some electronics are better off being replaced,” he wrote in an email. “Thin bezels, sealed panels and integrated circuit boards mean even minor issues may require full component replacement.”
Replacement parts are typically only stocked for a few years after an item is discontinued, Huang says. Older electronics may have outdated technology or be incompatible with other devices or software.
Appliances
Both small and large appliances are made almost exclusively in other countries. If you have a warranty, either through the manufacturer or a retailer, then a repair makes sense. Otherwise, consider the cost of the repair compared to the price of a replacement.
For example, a microwave with a burned-out fuse could cost more than $200 for the service call, labor and parts, George Carrillo, CEO of the Hispanic Construction Council, said in an email. An electrical issue could cost more than $350 to repair.
“At this price point, buying a new basic model microwave would likely be more practical,” Carillo said. “On the other hand, simple and affordable fixes like … unclogging a dishwasher pump can often save you money.”
When deciding whether to repair or replace an appliance, also consider the operational cost of the item. An older freezer or fridge might be inefficient, driving up energy costs. In that case, a replacement may be more economical in the long run, even when the price of tariffs is figured in.
[Read: What Is the Best Time of Year to Buy Large Appliances?]
Renovations
If you can get away with home repairs rather than a major renovation, that will be more economical right now.
“Tariffs on materials like steel and aluminum have driven up the price of roofing repairs by as much as 60%,” Carrillo said, “and components like nails and fasteners are also seeing price hikes.”
That means you may want to delay major renovation projects in favor of repairing roofs, siding, flooring and cabinets for now. That said, don’t ignore issues with your home’s exterior, plumbing or electrical systems.
“A minor issue like a loose shingle can quickly grow into water damage, mold and structural problems that cost thousands to resolve,” Carrillo said.
Make these minor repairs as soon as possible, or they will turn into an expensive replacement project.
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Repair or Replace: How to Decide in the Face of Tariffs originally appeared on usnews.com
