Will Tariffs Affect Prices On HVAC Equipment?
Tariffs are a very hot topic of conversation today. Between concern over the stock market and the prices rising on different commodities, people want to make sure they are doing everything they can to reduce the impact of the tariffs on their cost of living. So, will tariffs affect the prices on HVAC equipment? The short answer is: Probably.
We have already been informed that some equipment prices are going to rise by May 5th, around 5%. HVAC systems are almost certainly going to be impacted, says Alex Ayers, vice president of government affairs at Heating, Air-conditioning and Refrigeration Distributors International.
“With President Trump’s announcement of tariffs on eight of the top 10 exporters of HVACR and water-heating equipment to the United States going as high as 46%, we expect to see price increases passed on to consumers,” Ayers said in a statement reported by ACHR News.
How To Save Money When Replacing Your HVAC System
So now that we mostly know the prices will rise on HVAC equipment as the tariffs get set in place, how can you save money when replacing your HVAC system?
For one thing, there is a 90 day pause on the tariffs. That means that even though some prices have already started going up proactively, not every piece of material that HVAC manufacturers use has gone up just yet.
Locking In Pricing
Before the tariffs are set in place, we recommend that you get a free estimate for a new cooling/heating system, if you are in the market for one. There is a lot of uncertainty about the tariffs going forward, and locking in a price right now is likely the best way to ensure you are getting the most value when you install a new HVAC system.
Rebates & Tax Credits On Energy Efficient HVAC Systems
Lots of energy efficient HVAC systems are eligible for rebates, either through a utility company, a manufacturer, or a government program. In our area of PA, we have rebates from the Electrical Association of Philadelphia ranging from $150 – $1400. These rebates expire on May 16th, 2025. Carrier also has rebates available up to $2,300 as well, which expire on June 27th. Peco also has some smaller ones available for up to $300.
Tax credits are also available through the Inflation Reduction Act. Some energy efficient heat pumps qualify for a tax credit up to $2000, while certain air conditioners, boilers, and furnaces may qualify for a credit up to $600.
These rebates and tax credits vary depending on what kind of HVAC system you are installing, and how energy efficient the system is. We like to help our customers purchase the right system that fits their home, is energy efficient, and also qualifies for some of these money saving opportunities.
What Should You Do About The Tariffs And Your HVAC System?
As we’ve said above, if you think you need a cooling or heating system this year, we recommend you schedule a free estimate for a new HVAC system now. For one thing, prices never go down, so even aside from the tariff price increase, the sooner you upgrade your system, the more likely you are going to save.
If you have to replace your AC in July, all of the rebates will no longer be available, and who knows if the tariffs will drive the price up even further. To that point, if you need to replace your heating system in the fall, doing so now may help you save a few bucks as well.
A heat pump can provide both heating and cooling, and some of the ones we install qualify for rebates and tax credits, reducing the amount of your initial investment.
Give John Cipollone Inc. a call at (610) 446-7877, or contact us online to schedule a free HVAC consultation. We can lock in your price before it rises any further!
