MSRP prices for video cards have gone up by around $80 as tariffs come into force from the US Trade Representative. Already some vendors have changed their prices but inventory being limited does not affect the tight supply.
What it all means is that gaming class cards will need a few more Franklins to procure. Already RTX 3000 cards cost a pile and prices have not softened mostly thanks to digital coins rising. Bitcoin is about $33,000 as of press time.
Most video cards are assembled in China but parts are sourced globally. Japanese capacitors are popular features as they are designed for 105°C operation. Small parts are made in many countries around the world including the EU and the US. Canada does not have any significant electronics manufacturing.
Automated pick and place machines can assemble logic boards from a global supply chain. Taiwan has specialized in manufacturing PC motherboards and graphics cards. China has expanded as demand as increased. MSI has a customer service office in Vancouver which is very handy for warranty service. Earlier, a bricked motherboard was replaced quickly.
The globalized supply chains have evolved over time as new factories are being built all over the world. The growth in the global supply chains has been growing at more than 5% on an annualized basis.
Digital coins have already hijacked the gaming communities new cards leaving everyone with last year’s cards. Coin miners will be paying the new tax.
In Canada, manufacturing is more focused on basics such as food and automotive, While some electronic goods are make here, it’s a very small part of the economy. No video cards or PC motherboards are manufactured.
Low interest rates are also hurting savings. So more taxes and less savings will have long term consequences.