If you’ve been tuned into recent news reports, you’ve likely heard about new tariffs and probably have a lot of questions. How will this affect appliance upgrades? What can we expect going forward? If you’ve been considering a new water heater, perhaps a tankless model, you might specifically be wondering how tariffs can potentially affect the cost of a new water heater.
Knowing when to upgrade your water heater, despite news reports and economic fluctuation, can feel stressful. However, you’re not alone, and Tuck & Howell, Inc. is here to provide you with as much information as we can. While the long-term effects of rising prices of goods and materials for manufacturing are still unfolding, we can answer your common questions and help you understand how costs are shaped as well as how to get ahead of potential price shifts.
Understanding Tariffs
First, let’s break down what a tariff is and how it affects cost. We’ll address some commonly asked questions and help to shed some light on potential price increases for water heaters.
What is a tariff?
A tariff is a tax a government imposes on goods imported into a country. This tax often results in unwanted side effects, such as higher prices for consumers.
Recent tariff news and announcements
Talk of tariffs has dominated our news cycles recently, with President Donald J. Trump imposing reciprocal tariffs on imports from numerous countries, including China, Canada, and Mexico. More specifically related to water heaters, though, in February 2025, the Trump Administration issued proclamations that reinstated tariffs under Section 232 of the Trade Expansion Act of 1962. Effectively, on March 12, 2025, a 25% tariff was instated on all steel imports, and tariffs on aluminum imports increased from 10% to 25%.
A look back on tariffs for steel and aluminum
This isn’t the first time the United States has imposed such a tariff on steel and aluminum. In 2018, the Trump Administration first instated these tariffs (25% on imported steel and 10% on imported aluminum) with certain exemptions and restrictions, including product exclusions. Today, however, product exclusions are no longer being offered.
What is a product exclusion when it comes to tariffs?
A product exclusion in this context is when a company could request to import specific types of steel or aluminum without paying tariffs. These exclusions were put in place for several different reasons, one of which being that the product was considered critical for certain industries to avoid price hikes and supply chain shortages. As of March 2025, no new product exclusions will be processed, and approved exclusions remain valid until they reach their expiration date or an approved volume is imported. Water heaters and such appliances are not considered product exclusions. These types of products will be tariffed based on their steel or aluminum content.
Will new tariffs affect the prices of water heaters directly?
These tariffs on steel and aluminum imports to the United States mean the cost of goods made from these materials will inevitably increase. Components of water heaters are generally made up of these tariffed materials. The tank itself is typically made of steel, and the sacrificial anode rod could be made from aluminum, magnesium, or zinc. Heat exchangers for tankless water heaters could be made of a number of materials, including stainless steel or copper.
While there’s no confirmation yet regarding how steep of a price increase we could see for water heaters, we must remember that tariffs on these imports will be passed to the consumer. This means that materials will be more expensive, resulting in more expensive water heater replacements. Additionally, any supply chain issues resulting from these tariffs could mean you might be without a water heater should yours break down prematurely.
When will the new tariffs affect water heater manufacturing?
There’s no hard and fast date for when you can expect water heaters to increase in price, but these tariffs went into effect at the beginning of March 2025, so it’s possible that consumers could begin to feel the effects soon. This means if your water heater is nearing the end of its useful life, it might be time to schedule a replacement before prices skyrocket and supply chains are affected.
When is it Time to Buy a New Water Heater?
With all the talk about tariffs and price changes, it’s worth taking a look at your budget now and deciding when the right time to make this significant purchase is. Because of the tariffs and uncertainties regarding manufacturing, it could be worthwhile to buy now and upgrade your water heater. Determine if there are any signs that your current water heater needs replacement, and consider whether an energy-efficient upgrade could be a good cost-saving choice.
What are some signs it’s time for a water heater upgrade now?
Are you considering a new water heater replacement due to the recent changes in tariffs on steel and aluminum? First, consider the age of your current water heater. Most tank-style water heaters will last anywhere from eight to 10 years, depending on frequency of use and maintenance considerations. Tankless water heaters can last 15 to 20 years. Second, determine how often you’ve been experiencing issues with your water heater. If you’ve been dealing with frequent repairs, leaks, rust, or corrosion, it’s time to call a plumber from our team. Last, ask yourself whether you’re interested in upgrading to an energy-efficient water heater. If you’ve noticed higher energy bills due to your older water heater, upgrading to a tankless water heater could be a good option for you.
There are several signs that indicate you need prompt water heater replacement.
- Frequent repairs
- Inconsistent temperatures
- Poor hot water pressure
- Water discoloration or white flakes in water
- Leaks or corrosion
- High energy bills
- Odd noises or smells
What energy-efficient water heater upgrades could I make?
Interested in an energy-efficient water heater upgrade? We can help. We carry top-rated water heaters, including tankless models. Tankless water heaters help homeowners save money on energy bills. Unlike their tank-style counterparts, tankless water heaters don’t store and perpetually heat water to serve your household. Instead, this system heats water when homeowners need it for showering, dishes, or doing laundry by passing water over a heating element. In this way, you can also enjoy a virtually unlimited supply of hot water for showers, never worrying about using all of it and waiting for the tank to fill up again.
Tankless water heaters are a great option depending on your home’s hot water needs, and plumbers from our team can help you determine what size and type of water heater you need. For example, if you’re a recent empty-nester living in a smaller, newer home with an updated electrical panel, investing in a tankless water heater could be perfect for you.
We offer financing for water heater replacements
Sometimes, things like water heater upgrades or failed plumbing systems happen out of the blue. If you’re considering a water heater replacement immediately but don’t have the funds in your monthly budget, we can help. Our financing on approved credit provides you with options so that you can always enjoy a comfortable home. We also regularly have specials and discounts related to water heater services, so be sure to contact us to find out!
What can I do today to help my current water heater?
Maybe you’re not in the market for a new water heater, and you’re enjoying a newer model right now. The best thing for you and your family is to invest in routine maintenance to ensure you get the maximum lifespan out of this investment. This means getting regular inspections from one of our talented, friendly plumbers, regularly flushing tank-style water heaters to remove sediment buildup, descaling tankless water heaters, and scheduling time to check and eventually replace the sacrificial anode rod before it wears out.
Walk Through the Water Heater Replacement Process with Us
If you’re at all confused or concerned about price changes or supply chain delays due to tariffs, we can help. We’ll be happy to take your call and discuss your thoughts regarding water heater replacement, repair, or maintenance. We can’t promise to have all the answers, but we’ll always be there for you to listen and help where we can. From the Midlands and Upstate of South Carolina to beautiful North Carolina, we love helping our neighbors.
Interested in getting your water heater replaced or repaired in Greenville, SC, or the surrounding area? The experts at Tuck & Howell, Inc. are here to help. Call today!
