Turning Tariffs into Opportunity: How the Trade War Can Boost the Appliance Parts Business
By Robert Coolidge, President & CEO, Encompass Supply Chain Solutions
As global trade tensions escalate and tariffs drive up the cost of finished goods, manufacturers and consumers alike are feeling the squeeze. But amid these economic headwinds lies an often-overlooked opportunity—particularly for the parts and repair industry. At Encompass, we see this as a pivotal moment to redefine the value of repair in the consumer mindset.
Rising Costs Are Redefining Consumer Behavior
With tariffs inflating the price of appliances, electronics, and other imported finished goods, the gap between the cost of repair and replacement continues to widen. Consumers are reassessing discretionary purchases, opting to repair rather than replace when the numbers make sense—and more often than not, they do.
That brand-new refrigerator or flat-screen television doesn’t seem quite so essential when the cost to repair is a fraction of the replacement price. This shift is creating tailwinds for the appliance parts business and paving the way for a more repair-friendly economy.
The Digital DIY Revolution
Technology is also empowering consumers to take repair into their own hands. E-commerce platforms, how-to videos, and detailed parts diagrams are making it easier than ever for consumers to identify, purchase, and install parts themselves.
At Encompass, we’re investing heavily in tools and platforms that simplify the entire repair process—from intuitive search features to technical support that guides consumers every step of the way. The DIY demographic has expanded far beyond hobbyists; today’s consumers are embracing repair with growing confidence and capability. While DIY is here to stay it’s important for OEMs, Parts Distributors and contractors to promote the benefits of trained, licensed professionals.
OEMs Embrace the Repair Economy
This transformation is not limited to consumers. OEMs are increasingly recognizing the value of supporting extended product lifecycles—not just for cost efficiency, but for sustainability and customer satisfaction. Warranty providers and retailers are also adapting, leaning on supply chain partners like Encompass to streamline part availability and improve repair success rates utilizing OEM original parts.
The result is a repair ecosystem that benefits everyone: manufacturers protect their brand, consumers save money, and the environment avoids unnecessary waste.
Board-Level Repair: A Strategic Advantage for OEMs
A particularly impactful solution within this movement is board repair and core recovery. At Encompass, we work closely with manufacturers under direct engineering oversight to safely repair and recirculate high-value electronic components.
Board repair not only extends the life of products—it also provides a powerful alternative to expensive new part production, reducing exposure to raw material shortages and tariffs. This model supports OEMs in maintaining quality control, minimizing waste, and meeting sustainability goals particularly where parts are no longer available.
Protecting Against Gray Market Threats
Equally important is the protection board repair programs and affordable OEM parts offer against unauthorized gray market parts. Unvetted suppliers can flood the market with substandard components, undermining product performance and eroding brand trust.
Our OEM-certified repair processes ensure every refurbished part meets the contract manufacturers original specifications. This commitment to quality preserves both safety and customer satisfaction while helping manufacturers maintain control over their product ecosystem. This service is only offered to our OEM partners that are committed to maintaining their products with the utmost quality control. Visit https://solutions.encompass.com/repair-service/ for more information.
A Greener, More Resilient Supply Chain
Repairing over replacing doesn’t just make financial sense—it’s a critical part of building a greener, more resilient supply chain. By reclaiming and repairing OEM part cores, we reduce e-waste, conserve resources, and support a circular economy.
Tariffs may be disrupting traditional business models, but they also present a chance to realign with smarter, more sustainable strategies.
Looking Ahead
For Encompass and the OEMs, contractors and consumers we serve, the future is bright. Tariffs may be a headwind for finished goods, but they’re a tailwind for repair. This is our opportunity to lead a repair-first movement—where affordability, sustainability, and quality come together to meet the evolving needs of today’s consumers.
We’re just getting started. For more information, visit www.encompass.com and www.partselect.com
—
Robert Coolidge
President & CEO, Encompass Supply Chain Solutions