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Tariff 

In 2018, the Office of the United States Trade Representative (USTR) imposed duties (the “tariff’) on electronic components imported from China into the United States.  Vicor manufactures its power modules in the United States using components sourced from China. Component inventory and safety stock held prior to the imposition of the tariff lessened its impact until those components were consumed. The tariff has since increased the cost of certain components by as much as 25% thus increasing power module cost. To offset the impact of the tariff from its imposition in 2018 until components subject to the tariff are consumed, a 5% temporary price increase will apply to orders placed from April 30, 2019.

For information on the duties: https://ustr.gov/about-us/policy-offices/press-office/press-releases/2018/june/ustr-issues-tariffs-chinese-products

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