Tariffs are reshaping the commercial and industrial generator market, and businesses need to be ready.
In recent months, the U.S. government has introduced a series of broad tariffs on imported goods from dozens of countries. While some of these duties have been temporarily reduced or delayed, the overall effect is clear: higher costs, tighter supply chains, and more uncertainty for companies that rely on power equipment. If you are procuring backup or prime power generators, these tariffs will impact you in some way. The time to prepare is now.
Tariffs Impacting the Commercial and Industrial Generator Market
The United States depends heavily on imported commercial and industrial generators. In 2023, approximately $5.1 billion worth of generators were imported. Of those, about 24% came from Mexico, and 18% from China. While the U.S. does have strong domestic generator manufacturing, a significant portion of key components, such as engines, alternators, and control systems, are sourced internationally.
The tariffs being implemented act as a tax, increasing the cost of generators across the board.
However, the impact doesn’t stop with just the generators themselves.
The U.S. also imports many of the parts used to build or assemble generators domestically. Items like diesel engines, control panels, circuit breakers, voltage regulators, and many other raw materials and parts often come from overseas and are now subject to tariffs. This means even U.S.-assembled generators are going up in price due to the rising cost of imported components.
There are numerous bills and initiatives focused on strengthening the resilience of U.S. supply chains, including those related to energy and critical infrastructure, but the benefits won’t be immediate. For now, many industries are facing higher costs and longer wait times.
Fortunately, there are a few things you can do to mitigate the effects of these tariffs. Let’s take a look at some of these steps.
How to Prepare for Tariffs When Buying Commercial and Industrial Generators
Uncertainty around generator purchases is real. With shifting trade policies and evolving import regulations, every week seems to bring new challenges. Industries that rely on emergency or continuous power systems need to prepare for potential cost increases as well as delays in availability and supply chain disruption.
Here are some ways you can prepare:
1. Secure Your Equipment Now
As tariffs raise prices, demand for domestic or already-imported generators is spiking. Data centers, healthcare facilities, telecom networks, and industrial operations are all ramping up generator procurement. If you wait too long, you may find yourself facing longer lead times or significantly higher prices.
Secure your equipment now to avoid additional cost or availability issues down the line.
2. Purchase In-Stock Generators Manufactured Before Tariffs
One way to avoid tariff-related price increases is to buy generators that were imported or built before the tariffs went into effect. These in-stock units are already in the U.S., meaning they aren’t subject to the newly imposed fees and surcharges.
Global Power Supply carries a wide selection of pre-tariff inventory available for immediate delivery. These generators offer a cost-effective solution while supplies last.
3. Buy Domestic or Used Generators
Another effective way to minimize tariffs is by purchasing generators built or sold within the U.S.
Buy new USA-built generators
Global Power Supply carries new generators assembled in the United States, ready for immediate shipment from our inventory locations across the country. We stock common configurations, sizes, and voltages to support fast deployment.
Used generators available in the USA
We also maintain a large inventory of used generators that have been inspected and tested to ensure reliable performance. These units are sourced and sold domestically, making them tariff-free and typically available at a lower cost. Used generators are a smart way to maintain power reliability without absorbing the full cost of new equipment.
4. Allow for Flexibility in Project Design
Specialized or uncommon generator models will be harder to source and more expensive under the current tariff environment. Flexibility with specs, such as power rating, voltage, or enclosure type, can help you access more options and avoid delays and high markups.
At Global Power Supply, we have a large selection of in-stock equipment in varying sizes and specifications. If we don’t have the exact model you need, we’ll suggest a comparable alternative that keeps your project moving. Custom builds are still possible, but may involve longer lead times and potentially higher prices.
5. Adjust Your Budget to Include Tariffs
Finally, adjust your budgeting to reflect today’s market. Prices are evolving quickly, and supply chain constraints are creating volatility. While no one can predict every change, factoring in higher equipment and freight costs will help you stay ahead.
By planning early, buying domestic or pre-tariff stock, choosing used units, and maintaining flexible specs, you can protect your timeline and your bottom line.
Looking Forward on Tariffs
Tariff policies are changing rapidly. One day a unit might be subject to a 10% surcharge, but in time that could change drastically as new trade agreements are enacted. That volatility makes it hard to budget, plan projects, or issue bids with confidence.
Global Power Supply’s mission is to bring clarity in the chaos. Whether you’re looking for a new or used generator, we’re committed to minimizing the impact of tariffs on your operations. If your order is affected by tariff changes, we’ll communicate proactively so you’re never caught off guard.
Need a generator and concerned about tariffs?
Request a quote to find out how Global Power Supply can help you stay powered up, no matter what comes next.