Audio & Video Equipment Manufacturers NAICS 334310

Mar 27, 2025 - Tariffs May Dampen Spending on Technology: CTA

• According to the Consumer Technology Association (CTA) in Venture Beat, new tariffs imposed by the Trump administration on China, Mexico, and Canada are expected to prolong inflation and reduce US consumer purchasing power for technology products by $90 billion to $143 billion. The Trump administration has enacted a 20% tariff on imports from China (on top of existing tariffs applied to Chinese goods), a 25% tariff on imported steel and aluminum, and 25% tariffs on imports from Canada and Mexico, paused until April on United States-Mexico-Canada Agreement (USMCA) compliant goods. The CTA said the tariffs would strain relationships with close trading partners Canada and Mexico and subject US exports to reciprocal tariffs. The CTA is North America’s largest technology trade association.
• Consumer confidence levels, an indicator of discretionary spending, have fallen due to consumer anxiety about tariff effects and economic uncertainty, according to a report in CFO Dive. 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.”

• The Pro AV Sales Index increased in February 2025 month over month, according to the Audiovisual and Integrated Experience Association (AVIXA). The Pro AV Sales Index registered 54.0 in February, up from 51.1 points in January. An index of 50 indicates firms saw no growth or decline in business activity; more than 50 indicates an expansion, while less than 50 indicates a decrease. Respondents cited several key factors that could be a barrier to growth including concerns about tariff impacts and ongoing economic uncertainty. In comparison, the monthly average index in 2023 was 58.8, representing a stable year but not as strong as 2022, according to AVIXA.
• Bose Corporation announced it acquired high-end audio company McIntosh Group in November 2024. McIntosh manufactures amplifiers, speakers, turntables, and other audio products under the audio brands McIntosh and Sonus faber. The deal opens up new opportunities in the automotive sector by leveraging Bose’s experience in automotive auto and McIntosh’s legacy of performance and design, per the announcement. According to Bose CEO Lila Snyder,, “Over the last six decades we’ve delivered the best premium audio experiences possible; now, with McIntosh Group in our portfolio, we can unlock even more ways to bring music to life in the home, on-the-go and in the car. We look forward to honouring the heritage of these brands, investing in their future and pushing the boundaries of audio innovation to bring customers experiences they’ve never heard before.” Bose acquired McIntosh Group from investment firm Highlander Partners, and financial terms of the deal were not disclosed.