Appliance Repair and Maintenance NAICS 811412

Mar 27, 2025 - Tariffs Expected to Raise Repair Costs

• Appliance repair shops are starting to notify customers that the cost of replacement parts and components will rise due to new tariffs imposed by the Trump administration and rising production costs. Trump’s tariffs include a 25% tariff on steel and aluminum imports and tariffs on imported goods from China, Mexico, and Canada. ProFix Appliance Service, for example, informed consumers that as a manufacturer-authorized service provider, it must abide by all manufacturer pricing, noting “This means that when the cost of a part increases, it directly impacts repair estimates.” ProFix said it had already received notice from two manufacturers that price increases would take effect in March. In an analysis by Yale Appliance, consumer costs rose by 12% for washing machines and related appliances from tariffs during Trump's first term. Supply chain disruptions also marked the period as manufacturers were forced to seek alternative suppliers or absorb the higher costs.
• According to a report in CFO Dive, consumer confidence levels, an indicator of discretionary spending, have fallen due to consumer anxiety about tariff effects and economic uncertainty. The consumer sentiment index from the University of Michigan dropped 11% in March 2025, marking the third straight month of declines and hitting the lowest level since November 2022. In addition, the Conference Board index of consumer confidence fell in March 2025. According to Stephanie Guichard, senior economist for global indicators at the Conference Board, “Consumer confidence declined for a fourth consecutive month in March, falling below the relatively narrow range that had prevailed since 2022.”

• Appliance repair and maintenance services may want to monitor cost-cutting measures taken by appliance manufacturers resulting in fewer parts, according to a report by BNN Bloomberg. Whirlpool, for example, has made changes such as removing unnecessary parts and leaving internal parts unpainted to save as much as 8% on new washers. The appliance industry is looking for ways to remove unnecessary expenses in appliance design and manufacturing and lower prices in the face of lower consumer demand. Whirlpool’s revenue is likely to shrink by 14% in 2024, marking the third consecutive year of declines, according to projections. Whirlpool expected to deliver $300 million in cost savings in 2024.
• Appliance costs are expected to increase according to a new study by the National Retail Federation (NRF) of the estimated impact of president-elect Donald Trump’s tariff proposals. The study looked at the effect of tariffs on prices of major consumer product categories including apparel, toys, furniture, household appliances, footwear and travel goods. Trump has proposed a universal 10-20% tariff on imports from all countries and an additional tax on imports from China. Per the NRF study, consumers would pay $13.9 billion to $24 billion more for apparel, $8.8 billion to $14.2 billion more for toys, $8.5 billion to $13.1 more for furniture, and $6.4 billion to $10.9 billion more for household appliances with the proposed tariffs in place. The study showed the tariffs would have a “significant and detrimental impact” on the costs of a wide range of consumer products, in particular those products supplied primarily by China. According to Jonathan Gold, NRF vice president of supply chain and customs policy, “Retailers rely heavily on imported products and manufacturing components so that they can offer their customers a variety of products at affordable prices. A tariff is a tax paid by the U.S. importer, not a foreign country or the exporter. This tax ultimately comes out of consumers’ pockets through higher prices.”