Also worth noting is that President Donald Trump has placed a 90-day pause on the announced tariffs (except for China) as multiple countries have agreed to renegotiate terms with the U.S. This has provided companies with temporary relief and given them more time to decide how to approach the entire situation once tariffs are reapplied.
The strategy of hoarding inventory stateside is something that Apple has also made use of. Apple flew in extra inventory into the country so that it could continue selling its products at the same prices for the time being. Other companies weren’t as lucky and had to halt operations altogether. For example both Framework and Razer have paused laptop sales in the U.S.
Dell, Microsoft and Lenovo will be able to keep selling their laptops at old prices for the time being using the extra inventory they’ve brought in. However sooner or later the supply will run out and all three companies will either have to drastically raise prices or absorb the costs themselves.
The point behind such extreme tariff rates is to force companies to shift their manufacturing to the U.S. but industry analysts claim that such a thing can not and will not happen. They say that moving operations to the U.S. will not only be costly but will also permanently make products more expensive.
These tariffs have also been very contentious in online circles. While many mock them for destroying global trade others praise the president for doing what he said he would. If the tariff plan actually works then all of the current turmoil is supposedly just a temporary hiccup but no one can be certain about how the market will react.
