Sonos has announced that it will be increasing the prices of its products, thanks to Trump’s beloved tariffs.
The timing could hardly be worse, coming after a disastrous 2024 for Sonos. That year saw the botched launch of an app that failed to work properly, and earlier, a row with customers when the company announced it would no longer support “older” speakers. Sonos partially backtracked on that last point, aiming to win back customers, but now finds itself forced to raise product prices due to tariffs imposed by Trump on Vietnam and Malaysia — the countries where Sonos manufactures its products. “Made in America” simply isn’t an option for the vast majority of globally operating U.S. manufacturers, as the necessary factories and low-cost labor just aren’t available.
No New Products
Sonos also announced that it will not be releasing any new products in the near future, adding to its woes. The stock market reacted immediately: Sonos shares dropped 8.4% after the announcement. The company’s future looks far from bright, especially given that its products face plenty of easily available alternatives from non-U.S. brands — alternatives that are becoming even more competitively priced because they aren’t subject to Trump’s “special” economic policies.
Apple Also Set to Get More Expensive
Apple products are also expected to see steep price increases. The first casualty will likely be the iPhone 17, which will be significantly more expensive than its predecessor, the 16. There’s a strong chance consumers will keep their wallets closed while Trump remains in power. Or they simply opt for an Android phone from European, Japanese, Taiwanese, or even Chinese brands. U.S. brands will play an increasingly smaller role — and that, we’d say, is a big opportunity for the EU.