Copper Tariffs: What They Mean for Your IT Budget 

Barring a reversal by the Trump Administration, starting August 1, 2025, the U.S. will roll out a 50% tariff on imported copper. If you rely on IT infrastructure, this could affect your costs in ways that aren’t immediately obvious. 

While your laptop or smartphone isn’t going to double in price overnight, some behind-the-scenes components will get more expensive—especially network cabling and electrical systems.  

At Red1, we are keeping up with the news and purchasing materials ahead of time to lock in better pricing for our customers.  

Here’s what you need to know.

Data Cables: First in Line for Price Increases 

We install A LOT of data cables. Copper makes up 60–70% of these cable materials (HandyPowerCord, 2025). With the copper market already reacting to the tariff announcement, industry analysts predict a 5–10% rise in structured cabling costs (BestWireCable, 2025). 

Distributors are warning of potential delays or stock shortages in Q3 and Q4 as they adjust procurement strategies. If you’re planning network upgrades or new deployments, acting early could save both time and money. And don’t be surprised if you hear from us asking you to move up your timeline for these projects. 

Will Computer Prices Go Up Too? 

Finished electronics like laptops, desktops, and servers are currently exempt from copper tariffs under CBP guidelines issued in April 2025. So, no direct price hikes are expected for general-purpose hardware. 

However, because copper is still used inside motherboards, GPUs, and power systems, the overall increase in copper prices may still raise production costs. Manufacturers may absorb these for now, but it’s worth preparing for slight downstream impacts. 

Accessories & Components Could Get Caught in the Middle 

Some components—like power supplies, rack accessories, and cooling fans—may not be covered by tariff exemptions. Vendors are already reporting 10–20% cost increases in some categories. 

How We’re Helping You Stay Ahead 

We’re helping our clients navigate this evolving landscape by: 

• Pre-ordering networking gear ahead of price hikes. 
• Tracking supplier changes and market availability. 
• Recommending cost-effective or domestic alternatives. 
• Building contingency plans for 2025–2026 hardware needs. 

Bottom Line 

We don’t know if it will happen but if it does, it probably won’t derail any future project plans. If you have a project coming up soon, now may be the time to get started to avoid the modest potential rise in material prices. 

Need help building a roadmap or locking in pricing? We’re ready when you are.