How New Tariffs Will Impact Your HVAC Costs

Updated June 2025: Includes the latest developments on steel tariffs, Mexico negotiations, and HVAC pricing.

Key Takeaways:

• New steel and aluminum tariffs continue to impact HVAC system pricing.
• Recent 2025 negotiations between the U.S. and Mexico may ease some steel import costs.
• HVAC system prices are still being pushed higher by inflation, labor costs, and new efficiency regulations.
• Homeowners can offset costs through rebates, financing, and proactive maintenance.
• Prices are not expected to fully return to pre-tariff levels anytime soon.

If you’re planning on replacing your HVAC system, you may start to notice an increase in costs soon. New tariffs on steel and aluminum imports are set to impact the prices of heating and cooling systems, making it more expensive to keep your home comfortable.

Why Are HVAC Prices Increasing?

The U.S. government has placed a 25% tariff on steel and aluminum imports from key trading partners such as Canada, Mexico, China, and the European Union (AP News)HVAC systems rely on steel and aluminum for key components like air conditioner coils, ductwork, and unit structures. Because of this manufacturers will start to face higher material costs, costs that will be eventually passed down to the customer.

How Will this Impact your Purchase?

In 2023 the U.S. imported around $9.42 billion worth of HVAC parts, with nearly 70% coming from the tariff affected countries. (World Bank).

The increased costs could result in:

• Higher Prices for HVAC Units: Whether you’re replacing an old system or installing a new one, expect potential price hikes.
  
• Longer Wait Times: Supply chain disruptions may cause delays in getting HVAC units and parts.
  
• Fewer Discount Opportunities: Special offers and promotions on HVAC systems may become less frequent as manufacturers and suppliers adjust to higher costs.
  

What Can You Do to Save Money?

If you are in the market for a new HVAC system here are a few things to help you navigate these changes:

• Act Now: If you have been thinking about replacing your HVAC unit, buying before the prices rise further could save you money.
  
• Consider Financing Options: Many HVAC companies offer financing plans to spread out the cost of your system over time. Here at Mint Home we have multiple financing options available. To learn more please visit our financing page.
  
• Look for Energy Efficiency Rebates: Upgrading to an energy-efficient system not only saves you money on your monthly utility bill but could make you eligible for local and federal rebates and tax credits to help offset the price increase.
  

Stay Informed

While tariffs are expected to raise HVAC prices over time, being proactive can help you avoid unnecessary expenses. Keep an eye on industry trends and plan ahead to make the best decision for your home. If you are ready to take the next step towards better home comfort get a free instant quote today with Mint Home.


Interested in getting ahead of the tariff's and upgrading your HVAC system? Get a free instant quote today!

June 2025 Recent Updates on Steel Tariffs and HVAC Pricing

Since initial tariffs were first imposed, there have been several updates and ongoing negotiations that may impact HVAC pricing in the months ahead.

In June 2025, the U.S. and Mexico entered advanced talks to ease some of the steel tariffs that have been in place since President Trump’s first term. According to a Bloomberg report, the agreement would allow U.S. companies to import certain volumes of Mexican steel duty-free, as long as shipments stay below negotiated historical caps. If finalized, this deal could slightly ease material costs for HVAC manufacturers sourcing components from Mexico, though it’s still unclear how quickly these changes would filter down to consumer prices.

However, not all tariffs are being fully removed. In fact, the potential for further tariff increases remains as political negotiations continue, leaving ongoing uncertainty for manufacturers, suppliers, and homeowners alike.

Could HVAC Prices Go Back Down?

While partial tariff relief could soften some price pressures, most industry experts caution that HVAC system prices are unlikely to fully revert to pre-tariff levels. There are several reasons for this:

• Global Demand Pressures: Even with lower tariffs, high global demand for steel, aluminum, and semiconductors continues to strain supply chains.
• Labor Costs: Rising wages for skilled labor in HVAC manufacturing installation are adding to overall system costs.
• Inflation & Regulations: Higher regulatory standards for energy efficiency (such as SEER2 and refrigerant changes like A2L adoption) are also contributing to more expensive equipment.

Because of these combined factors, homeowners should continue to expect HVAC systems to remain a meaningful home investment for the foreseeable future.

Extra Ways to Offset HVAC Costs

In addition to the rebates and financing options previously mentioned, here are a few more ways homeowners can navigate higher HVAC prices:

• Consider Maintenance Plans: Regular maintenance can help extend the life of your system and avoid costly repairs.
• Take Advantage of Off-Season Discounts: Scheduling replacements during cooler months may help you secure better pricing.
• Explore Manufacturer Promotions: Many manufacturers offer periodic promotional discounts, rebates, or extended warranties.
• Compare Multiple Quotes: Getting quotes from several providers can help ensure you’re receiving fair pricing and available incentives.

The Bottom Line: Staying Proactive Still Pays Off

While recent trade negotiations may offer some future relief, the cost of HVAC systems remains influenced by a range of global and domestic factors. The best way for homeowners to navigate this evolving landscape is to stay informed, plan ahead, and take advantage of financing, rebates, and incentives whenever possible.

Sources:

AP News. Trump's 25% tariffs on all steel and aluminum imports go into effect,ACHR News. How Tariffs Will Impact HVAC Pricing, World Bank. Trade Data on U.S. HVAC Imports, 2023, Contracting Business. Trump Tariffs Take Effect: What Do They Mean for the HVACR Industry?, Origin Investments. Construction Market Braces for Trump Tariff Impact, Bloomberg. US, Mexico Near Deal to Cut Steel Duties and Cap Imports, Reuters. US, Mexico discuss deal to cut Trump’s steel tariffs, sources say, Barron’s. Steel Stocks Slide in Response to Tariff Negotiations, Facilities Dive. Amid tariff war, Mexican factories work in HVAC makers’ favor, ACHR News. The Ripple Effects of Steel and Aluminum Tariffs on HVAC