Tech companies big and small are offering bold visions of artificial intelligence-infused products that could be headed into our everyday lives soon. Unless tariffs trip them up.<\/p>\n
That\u2019s the message from the head of the Consumer Technology Association, which is holding its annual electronics show in Las Vegas less than two weeks before Donald Trump returns to the White House on a campaign promise to dramatically raise tariffs \u2014 <\/strong>also known as import duties or levies \u2014\u00a0<\/strong>on goods coming into the U.S. from abroad.<\/p>\n The president-elect has promised surcharges of at least 60% on products coming in from China, a 25% tariff on Mexican and Canadian imports, and blanket tariffs of 10% to 20% on goods from virtually every other country.<\/p>\n \u201cThe most beautiful word in the entire dictionary of words is the word \u2018tariff,\u2019\u201d Trump said on the campaign trail, pledging to bring companies\u2019 operations back to the U.S. from abroad and spur domestic manufacturing. <\/p>\n Economists, however, say the most likely outcome\u00a0of higher tariffs would be\u00a0price increases for consumers as companies that manufacture or source parts internationally pass along higher costs to buyers.\u00a0Federal Reserve officials are also weighing concerns that Trump\u2019s trade policies could fuel inflation.<\/p>\n One of the tech companies exhibiting at CES is <\/strong>Yarbo, which makes a lawn-care robot that offers to map a yard and snow blow it autonomously. It\u2019s also modular, meaning it can transform into an autonomous lawn mower to trim grass in the spring and summer.<\/p>\n The New York-based company manufactures the product in China. Co-founder Kenneth Kohlmann said Trump\u2019s tariff agenda is a big question mark for Yarbo.<\/p>\n \u201cWe have plans for that if that does happen. It\u2019s anyone\u2019s guess what tariffs will be applied to what,\u201d Kohlmann said, adding that the company could shift its supply chain to blunt the impact of any Trump action.<\/p>\n A robot dog by Tombot at the Consumer Electronics Show in Las Vegas on Sunday.<\/span>Patrick T. Fallon \/ AFP \u2013 Getty Images<\/span><\/p>\n But many small businesses, including those that weathered the duties Trump imposed during his first term in office \u2014 most of which President Joe Biden preserved \u2014\u00a0say their ability to adjust to further tariffs is limited or nonexistent. In the weeks after the election, some operators shook up their plans for 2025, placing rush orders or looking for cost cuts.<\/p>\n And while some analysts have voiced skepticism that Trump will execute all the trade policies he\u2019s proposed, the CTA, which represents consumer-facing tech companies, is already warning that customers would pay the price for higher tariffs.<\/p>\n \u201cIt\u2019s like being concerned about the weather: Everyone talks about it but nobody can do anything about it,\u201d said CTA CEO Gary Shapiro. Still, he predicted, <\/strong>\u201cIf you have the type of tariffs that President Trump was talking about, we will have a Great Depression.\u201d<\/p>\n In a statement, Trump transition spokeswoman Karoline Leavitt said the president-elect will work to \u2018fix and restore an economy that puts American workers first by re-shoring American jobs, lowering inflation, raising real wages, lowering taxes, cutting regulations, and unshackling American energy.\u2019<\/p>\n The CTA issued an analysis in October estimating that Trump\u2019s tariff proposals would drive up average prices for laptops by $357, smartphones by $213 and televisions by $48.<\/p>\n \u201cIf countries see that we\u2019re putting tariffs on the products, they\u2019re going to reciprocate,\u201d Shapiro said, nodding to the cycle of retributive levies Washington and Beijing lobbed at each other during Trump\u2019s first term. \u201cThey\u2019re going to go retaliatory against us, and that\u2019s something which is really harmful to not only Americans but to innovation.\u201d<\/p>\n