Why Power Tool Prices Are Rising in 2026 (And What to Buy Before They Go Higher)
Here’s something most tool review sites won’t tell you right now: the tools sitting on Home Depot shelves today are likely the cheapest they’ll be for the next 12-18 months. If you’ve been sitting on a fence about buying a new drill, circular saw, or combo kit, you picked the worst possible time to procrastinate.
Trade policy changes affecting US imports from China and other manufacturing hubs have already started rippling through the supply chain. Battery prices are being squeezed hard — and batteries are the single biggest cost driver in any cordless tool kit. This guide breaks down exactly what’s happening, which brands are taking the biggest hits, and which tools to buy now before the prices climb further.
| Category | Best Buy Now | Price | Risk of Increase | Buy |
|---|---|---|---|---|
| 🔨 Impact Driver | DeWalt DCF850B | ~$97 | ⚠️ Medium | Buy Now on Amazon |
| 🔵 Milwaukee Impact | Milwaukee 2953-20 | ~$179 | 🟢 Lower | Buy Now at Home Depot |
| 🔵 Circular Saw | Milwaukee M18 FUEL 2732-20 | ~$199 | 🟢 Lower | Buy Now at Home Depot |
| ⚡ Value Saw | Makita XSS02Z | ~$99 | ⚠️ Medium | Buy Now on Amazon |
| 📦 Combo Kit | DeWalt DCK299P2 | ~$349 | 🔴 Higher | Buy Now on Amazon |
| 📦 Bosch Kit | Bosch GXL18V-224B25 | ~$299 | 🔴 Higher | Buy Now on Amazon |
Prices accurate at time of writing — check current listings for today’s price.
What’s Driving Power Tool Prices Up in 2026?
The short answer: tariffs on imports from China and other manufacturing countries have been building since 2018, and the compounding effect is hitting tool prices hard in 2026. Here’s the breakdown:
The Manufacturing Reality
Most major power tool brands have complex, multinational supply chains. Even “American-made” tools often contain components manufactured overseas. Here’s where the real exposure sits:
- Lithium battery cells: Almost universally manufactured in China, South Korea, and Japan. There are essentially no domestic US alternatives at scale. Every cordless tool platform — Milwaukee, DeWalt, Makita, Ryobi — relies on imported battery cells.
- Electronic components: Motor controllers, sensors, and circuit boards are predominantly manufactured in Asia.
- Finished tools: Many tools at the budget and mid-range level are assembled in China, Taiwan, or Mexico.
The Tariff Pressure
Trade tariffs that have accumulated over several years — and expanded significantly in 2025 — are hitting at multiple points in the supply chain simultaneously:
- Lithium batteries and cells: Among the most heavily tariffed categories. Rates on battery products from China have escalated significantly above the baseline.
- Assembled power tools: The tariff rate varies by product type and manufacturing origin, but tools assembled in China face meaningful import costs.
- Components and parts: Even tools assembled in the US or Mexico often use Chinese-sourced components that face their own tariff hit.
The compounding effect matters: A cordless drill assembled in the US still has a battery (taxed at import) and electronic components (taxed at import). The “US-made” label doesn’t insulate a tool from price pressure if its key components are imported.
Which Brands Are Most (and Least) Exposed
🔴 Higher Tariff Exposure
Makita — Japanese company with global manufacturing. Many products are manufactured in China and Japan for the US market. Battery prices in particular are expected to climb.
Bosch — German company with manufacturing spread across multiple countries. US tool line relies on imports that face tariff pressure at multiple points.
Metabo HPT (formerly Hitachi) — Japanese parent company, significant manufacturing in Japan and Southeast Asia for the US market. Less domestic US manufacturing.
⚠️ Medium Tariff Exposure
DeWalt — Has significant NA manufacturing (including a large facility in Mexico), but supply chain for batteries and components still crosses tariff borders. DeWalt has been more aggressive about expanding US assembly, which provides some buffer.
EGO / Greenworks — Chinese-owned brands with Chinese manufacturing. Some of the highest direct tariff exposure, but they started from lower price points that offer some cushion.
Milwaukee Tool — Owned by Hong Kong-based Techtronic Industries (TTI), but Milwaukee has the most US-focused manufacturing of any major brand, especially for accessories. Multiple assembly plants in the US potentially can reduce finished-goods tariff exposure, but components are still largely sourced abroad, including batteries, motors, and other key components.
Ryobi — Also TTI-owned – heavy Asia presence, especially in China and Vietnam. Likely have avoided price increases by shipping in a lot of product before tariffs.
Ridgid — Manufactured by TTI for Home Depot. US assembly provides some tariff buffer.
The bottom line: No brand is fully insulated from price pressure. The ever-changing tariff environment affects all brands and all types of products. Even US assembled products are subject to component imports. The battery problem affects everyone equally — when battery cells cost more, kit prices go up everywhere.
The Battery Problem Is The Biggest Deal
If you only remember one thing from this article, make it this: battery prices are where the real squeeze is happening.
Here’s why this matters more than the tool itself:
- A quality 5.0Ah lithium-ion battery costs nearly as much as some bare tools
- Battery cells are lithium chemistry — overwhelmingly manufactured in China and South Korea
- There is no near-term domestic substitute at scale
- Tariff rates on battery products have been among the most aggressively escalated categories
What this means for buyers:
- If you buy a bare tool today, factor in the battery cost at today’s prices
- Kit deals (tool + battery + charger) lock in current battery pricing — potentially a significant saving
- Stick-and-expand (bare tools for an existing platform) becomes riskier as battery replacement costs climb
Our battery platform comparison guide has the full breakdown on which platforms offer the best battery value right now.
Category Breakdown: Current Prices + Risk Level
Cordless Drills
Drills are the entry point for most buyers and the most competitive category. Entry-level brushed drills face the least pricing pressure since they use simpler components. Premium brushless drills have more exposure through their sophisticated electronics and battery requirements.
Buy advice: If you’re looking for a drill, now is a decent time to buy. The mid-range ($99-199) brushless market is competitive and unlikely to surge overnight. But if you want a battery kit (to start a new platform), price that in now. See our best cordless drills guide for specific recommendations.
| Segment | Current Price Range | Price Trend |
|---|---|---|
| Budget brushed (bare tool) | $40-80 | Stable to slightly up |
| Mid-range brushless (bare tool) | $100-160 | Moderate upward pressure |
| Premium brushless kit (tool + 2 batteries) | $199-349 | Higher upward pressure (battery cost) |
Impact Drivers
Impact drivers are the category with the most direct tariff exposure in the mid-range. The $90-150 bare tool sweet spot (where DeWalt DCF850B and Makita XDT19Z sit) is facing cost pressure from battery component tariffs. These are genuinely good buys right now.
| Model | Retailer | ~Price | Risk | Buy |
|---|---|---|---|---|
| Milwaukee 2953-20 | Home Depot | ~$179 | ⚠️ Medium | Buy Now at Home Depot |
| DeWalt DCF850B | Amazon | ~$97 | ⚠️ Medium | Buy Now on Amazon |
| Makita XDT19Z | Amazon | ~$140 | ⚠️ Medium | Buy Now on Amazon |
See our full best impact drivers guide for head-to-head testing and more options.
Circular Saws
Circular saws have a wide price range. Value picks like the Makita XSS02Z at ~$99 are particularly at risk because their tight margins leave less room to absorb tariff increases. Premium saws from Milwaukee have more US-assembly buffer but battery costs still apply.
| Model | Retailer | ~Price | Risk | Buy |
|---|---|---|---|---|
| Milwaukee M18 FUEL 2732-20 | Home Depot | ~$199 | ⚠️ Medium | Buy Now at Home Depot |
| Makita XSS02Z | Amazon | ~$99 | ⚠️ Medium | Buy Now on Amazon |
| DeWalt DCS578 | Amazon | ~$269 | ⚠️ Medium | Buy Now on Amazon |
Combo Kits — Biggest Tariff Risk Category
Combo kits are where buyers face the most risk of price increases. Why? Because kits bundle multiple batteries (the most tariff-sensitive component) with multiple tools. A drill + impact driver kit that currently includes two 5.0Ah batteries at $349 could easily see $30-60 in battery-driven price increases if cell costs rise 15-20%.
If you’re buying into a platform from scratch, buy a kit now. This is the highest-urgency category.
| Model | Retailer | ~Price | Risk | Buy |
|---|---|---|---|---|
| Milwaukee M18 2997-22 | Home Depot | ~$449 | 🔴 Higher | Buy Now at Home Depot |
| DeWalt DCK299P2 | Amazon | ~$349 | 🔴 Higher | Buy Now on Amazon |
| Bosch GXL18V-224B25 | Amazon | ~$299 | 🔴 Higher | Buy Now on Amazon |
For the full breakdown on which combo kit delivers the best value, see our best cordless combo kits guide.
Outdoor Power Equipment
Battery-powered lawn care equipment faces the same battery pressure as hand tools — but with much larger batteries. A riding mower battery pack is 10-20x the size of a drill battery. If battery cell costs go up 15%, the dollar impact on a $600 electric lawn mower is much larger than on a $99 circular saw.
If you’re planning to buy a cordless lawn mower, string trimmer, or leaf blower this season, buying before peak spring pricing is a double win — seasonal markup plus tariff pressure. Check our best cordless lawn mowers guide for current recommendations.
Smart Buying Strategies for 2026
1. Buy Bare Tools Now, Batteries When You Must
If you’re expanding an existing battery platform, the time pressure on bare tools is real but manageable. The bigger urgency is on kits that bundle batteries. If you need a new battery anyway, buy it now — don’t wait for spring when both seasonal demand and tariff-driven cost increases could hit simultaneously.
2. Don’t Panic-Buy the Wrong Tool
Price pressure is real but not apocalyptic. A 10-15% price increase on a $200 tool is $20-30 — meaningful but not justification for buying the wrong tool in the wrong category. Still buy what you need, not what’s “going on sale before prices rise.”
3. Watch for Bundle Deals That Include Batteries
Manufacturers sometimes offer promotional bundles with battery incentives before price adjustments. A “buy a tool, get a free battery” promotion locks in today’s battery economics. Keep an eye on Home Depot’s Spring Black Friday events and Amazon’s tool deals pages.
4. Existing Platform Owners: Stock Up on Batteries
If you’re invested in a platform and planning to expand, buying an extra battery now at current prices is a legitimate hedge. Batteries are the component most directly exposed to tariff pressure, and they hold their value in use longer than you might think.
FAQ: Power Tool Prices and Tariffs
Q: Will all power tool prices go up?
A: Upward pressure is broad across all brands, but the magnitude varies. Brands with heavy Chinese or Mexican manufacturing exposure face more direct cost pressure. Many brands have already increased pricing in 2025, likelihood of further increases is dependent on tariff policy moving forward.
Q: How much are prices expected to rise?
A: This is genuinely hard to predict with precision. The industry consensus is 10-25% increases across many categories over the past 12-18 months, with battery products at the higher end of that range. Specific products could see more or less depending on manufacturer hedging strategies, contract pricing, and competitor dynamics.
Q: Are refurbished or factory-certified tools a way to avoid price increases?
A: Partially. Certified refurbished stock was manufactured before the current tariff environment, so refurb dealers are sitting on inventory at older cost bases. That buffer will eventually work off as older stock sells through. Short-term, certified refurb can be a good value play.
Q: Which brands have the most US manufacturing?
A: Milwaukee Tool and Ryobi/Ridgid (both TTI brands) have the most US assembly operations among major cordless tool brands. DeWalt has significant US assembly as well. Makita, Bosch, and Metabo HPT rely more heavily on overseas manufacturing for the US market. US assembly may help offset some of the cost increases, but not the major components.
Q: Should I wait for a sale before buying?
A: Presidents’ Day and Memorial Day sales often offer genuine discounts. If you can wait for a sale event, do it — father’s day is likely the big time when you will see significant deals – especially free batteries and tools at your local Home Depot and Lowe’s.
The Bottom Line
Power tool prices are facing genuine upward pressure in 2026 from compounding tariff effects, with battery products at the pointy end of the spike. The best moves right now:
- Combo kit buyers: Move now. The bundle pricing on tool + battery kits is the most time-sensitive category.
- Platform switchers: Milwaukee and Ryobi offer built-in tariff protection via US assembly if that matters to your decision.
- Bare tool expanders: Less urgent but still reasonable to act — especially if you need a battery upgrade simultaneously.
- Budget buyers: Value-tier tools with tight margins have the least ability to absorb cost increases. The $99-149 sweet spot may get squeezed upward.
Don’t let tariff anxiety push you into a bad purchase. But if you’ve been planning a tool upgrade for spring projects, there’s no good reason to wait.
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