I. How US Tariffs Will Reshape HVAC Costs
1. Aluminum-Dependent Components
The 25% tariff applies to:
- Condenser coils (100% aluminum)
- Compressor housings
- System framing
Result: Manufacturers face $150-$400 per unit cost increases
2. Supply Chain Domino Effect
Key consequences:
✓ US-made parts (62% of Canadian imports) become prohibitively expensive
✓ Alternative sourcing adds 3-6 month lead times
✓ Emergency surcharges expected by Q3 2025
3. Hidden Cost Multipliers
- Installation labor rates may rise 15-20%
- Refrigerant prices already up 18% YTD
- Extended warranty costs increasing
II. 2025 Price Projection Trends
System Type | Current Price Range | 2025 Impact |
Basic Split AC | $$-$$$ | 18-20% |
High-Efficiency Heat Pump | $$$-$$$$ | 20-25% |
Commercial Package Units | $$$$$+ | 20%+ |
Critical Factors:
✓ Aluminum-intensive models most vulnerable
✓ Locally assembled units show better stability
✓ Pre-tariff inventory buffers short-term pricing
III. 3 Strategic Reasons to Act Now
- Pre-Tariff Pricing Window
- Lock in 2025 quotes (typically valid 30-60 days)
- Avoid coming “supply chain adjustment fees”
- Rebate Maximization
- Combine Greener Homes Grant ($5,600) + Enbridge incentives
- Rebates will deplete post July 2025
- Installation Timeline Security
- Current lead times: 1 week
- 2026 projections: 8-12 weeks
IV. Recommended Action Plan
1. Heat Pump Systems (Future-Proof Choice)
- Advantages:
✓ Lower aluminum content than conventional AC
✓ Qualifies for maximum rebates
✓ Avoids refrigerant price volatility
2. Inventory Clearance Models
- Consider:
✓ Non-tariff-affected stock
✓ Last-gen high-efficiency units
✓ Local distributor overstock
V. Essential FAQs
Q1: Will these tariffs affect repair costs for existing AC units?
A: Yes, significantly. Two major impacts:
- Parts: Aluminum-heavy components (condenser coils, compressor housings) will cost 25-40% more
- Refrigerant: R22 prices already increased 300% since 2020; newer refrigerants facing 20%+ hikes
Q2: Can I wait until 2026 summer to upgrade?
A: Risky. Consider:
✓ Price Lock: Most 2025 quotes expire in 60 days
✓ Inventory: Distributors anticipate 35% stock reduction by Q3 2025
✓ Labor: Installer demand will surge with delayed deliveries
Q3: How do I know if my AC needs immediate replacement?
A: Prioritize evaluation if your system shows:
- Age: 10+ years (30%+ efficiency loss)
- Refrigerant: Uses phased-out R22
- Repairs: 2+ service calls in 36 months
- Bills: 20%+ higher summer energy costs
Pro Tip: Book a Free Efficiency Audit to get personalized timeline
2025 AC Price Increase Canada
Mas Air Home Comfort is the top choice for heating, cooling, and insulation in Greater Toronto. We specialize in both commercial and residential projects. Our services are renowned in the surrounding areas. We strive to offer energy-efficient heating and cooling solutions for your home. Our goal is to ensure a healthy, comfortable, and safe environment for you and your family throughout the year.
Contact us at:
Tel: 1-855-795-1199
Email: [email protected]
Address: 6730 Davand Dr, Unit 8, Mississauga, ON L5T 2K8, Canada