Is it worth buying as soon as possible?

Rarely has a fall in markets such as the one that is taking place in the last hours. The tariffs announced by Donald Trump last week have had a seismic effect In bags around the world, from Europe to the United States, passing through China. The US administration already recognizes that there will be a “adjustment process”, and Spain will not remain, unfortunately, apart.

Asia’s companies have been especially weighed in the stock market, since they are the most damaged by tariffs, being the manufacturing sector mostly in those countries. China is the world factory as far as consumer technology is concernedand countries that try to be an alternative, such as Vietnam or India, have also been marked with strong increases in import taxes in the United States.

This would imply an increase in the price of mobiles that are sold in that country, Since the vast majority are manufactured in countries where tariffs are not that they have risen, they have multiplied brutally. A good example is the iPhone, which is estimated to raise its price by more than 40%.

“The United States tariffs to China will make the products for Americans,” but there is something to take into account and “indirectly, indirectly, It could more expensive American products that are sold in Spain that use Chinese components. For example, an iPhone is not manufactured in the United States, but in China. And if that product arrives in Europe, it will be more expensive, “he explains in a conversation with Ana Isabel Jiménez ZarcoProfessor of Economics and Business Studies at the Oberta Universidad de Catalunya. On the contrary, we must also keep in mind that “China could redirect its excess production to other markets, increasing the offer and potentially reducing prices In those markets. However, this depends on the ability to absorb these markets and commercial policies they adopt to protect their local industries, “as indicated Cristóbal Álvarezprofessor of Esic University.

The problem is that the interconnection of world economies makes An adjustment of this caliber will not go unnoticed in the rest of the marketsand could end up affecting Spain. In fact, Chinese companies that do not operate in the United States are also being very affected in the stock market.

Some analysts consider if, when raising the production costs of the devices, Companies could absorb those increases without impacting the price to their customers, Decontating them from their results accounts. It is something that some brands could make, such as Apple or Google. But the amount is so great that even the California giant could have problems for it. The truth is that during the weekend there have been queues in the US people buying already mobile terminals due to the foreseeable price increase.

Losses and increases

What analysts point out is that the logical thing would be to see how Companies partially have those increases in their customers uploading prices, but also lowering their profit margin. The other two options, absorb all the impact or affect everything in a price, do not seem viable.

However, a new problem arises here, and it is what percentage the price of mobiles can rise before consumers refuse to pay for them. According to Angelo ZinoCfra Research Actions Analyst, Even Apple would have difficulty transferring more than 5% to 10% of the cost increase to buyers.

Even brands such as Samsung, which would be affected by lower tariffs than Apple or Google – American companies – should raise the price of their mobiles. Maybe to a lesser extent, yes, but still We always talk about increases, not to keep current prices. It is what implies that Trump has imposed increases in the tariffs of all countries. According to Esic University expert, companies surely try “Move these increases to the final consumer in the form of higher prices. The reconfiguration of supply chains can generate additional costs and delays, contributing to greater inflation in various sectors. “Of course, the differences must be clear since”Technological articles of American brands such as Apple, Tesla could experience notable increases Price due to explicitly announced tariff reprisals. In contrast, Asian brands known as Samsung, Huawei or LG could benefit relatively in competitive terms if equivalent measures are not applied to these countries. “

Uncertainty as certainty

Thus, it can be seen that the biggest current problem is not so much the change in tariffs, as their amount and the fact that Republican administration does not provide confidence in markets or their allies. Keeping the doubt that the rules of the game can change overnight, as has happened in this month of April, companies will want to become defensive, with what this implies. Jiménez Zarco indicates that “this uncertainty makes prices up and Simple threat reinforces instability and creates more panic. And consumption contracts. “Professor Álvarez thinks, indicating that” the uncertainty generated by volatile commercial policies can lead companies to increase prices to compensate for possible future losses or additional costs. “

Even if finally everything that has happened was canceled by an American government decision, There are still almost four years of mandate of Donald Trumpand this could be repeated in the same way, or a worse. This implies that we must not wonder whether mobile prices are going to rise or not, but when and how much. The UOC teacher stressed that “the markets have been impacted. Trust with the United States has broken. In response to that attitude there are threats but if rectified we would also see rectification in Europe. In China it is not so clear.” This cools the expectations that there are no tariffs between the two greatest economies on the planet. In addition, according to Cristóbal Álvarez, “Multinational companies could continue looking to diversify production chains to markets less politically exposed, such as India or even regions of Latin America. “

Maybe brands like Apple can endure without raising prices for a few monthsuntil the launch of the new iPhone 17, but of course they will not be able to assume the increase in these prices plus those involved in tariffs that other countries put. China has already confirmed new 34% to all US imports. And all this indirectly affects Europe and Spain. Jiménez Zarco told us that “American products will have double tariff in Europe while we must pay the tariff of Chinese pieces that enter the United States and the tariff that Europe puts to US products. It is what globalization has, which a product uses elements of many countries.”

Can I buy my mobile already?

When in doubt whether to change mobile now or wait a little more, you have to consider several scenarios. For a start, This is relevant on the stage of a buyer to whom the price cares a lotas is logical. In addition, the mobile change scenarios must be ruled out for loss, breakage or theft. In all these cases the change is pressing.

But there are circumstances in which there may be doubts. A person who was considering changing mobiles shortly, but with a one -year margin, for example, he would have to consider doing it now instead of waiting. As the situation is rare that prices are going to go down. It would be striking to stay. UOC’s expert makes it clear that “If the purchase was already considering it is good to make it, because we do not know if this uncertainty will be in the medium term or long term.” Cristóbal highlights that “it is not necessary to rush in the purchase, except in those products specifically exposed to supply chains that depend strongly on US or Chinese components directly affected by tariffs. “

It is true that if there is no hurry we can always choose to buy a more advanced model next year. But, if we have a mobile 4 or 5 years ago, the change will be noted to change one of this year or one of the next one. And opt for Doing it now surely something cheaper comes out. Or much, more depending on how events develop. Here it is also important to know what type of mobile we will buy because “the affected products will be the Americans, not the Chinese or Koreans.” These could upload prices indirectly if they use US pieces, but not in the same way that it will happen to mobiles of US companies.

In theory the prices of current models should not rise, at least those in stock, but In many cases the distributors raise prices immediately Faced with the doubts generated by the current situation. In that case, time would clearly play against us. However, in the long term we could see even improvements since, as the ESIC University University remarks, “The great challenges have been catalysts of significant changes and competitive improvements. Microsoft or Ford have shown that adversity can boost strategic adaptation. “