Tech prices could rise as Iran conflict disrupts electronics supply chain

Americans shopping for smartphones, laptops or even home appliances may soon start feeling the effects of the Iran conflict – not just at the gas pump, but at the checkout screen.

A disruption to an essential component in electronics – printed circuit boards (PCBs) – is driving up costs across the tech industry, increasing the likelihood that consumers will face higher prices and fewer deals in the months ahead.

Prices for circuit boards have already surged, jumping as much as 40% in April alone, according to Goldman Sachs. At the same time, other key inputs like copper foil – one of the largest cost components in PCBs – have climbed as much as 30% this year.

The ongoing war with Iran has disrupted supplies of key raw materials used to produce PCBs, which function as the “nervous system” inside nearly every electronic device, from smartphones and computers to cars and AI servers.

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An engineer tests the quality of chips for the electronic control unit (ECU) steering controller at a workshop on March 5, 2026. (Lyu Bin/VCG via Getty Images)

At the center of the disruption is an Iranian strike on Saudi Arabia’s Jubail petrochemical complex in early April, which halted production of a critical resin used in circuit boards and tightened global supply, according to analysts. Shipping routes in and out of the Gulf have also been disrupted, compounding delays and shortages.

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Manufacturers are now scrambling to secure materials, with lead times for some chemicals stretching from just three weeks to as long as 15 weeks, according to industry sources. The pressure is cascading through the broader tech supply chain.

“It is not just PCBs,” said Ben Bajarin, CEO of Creative Strategies. “Memory, storage and wafer costs are all increasing the bill of materials for devices.”

Buildings left in ruins from Israeli/U.S. airstrikes on April 4, 2026, in southern Tehran, Iran. (Majid Saeedi/Getty Images)

Companies are trying to offset those increases by negotiating supply contracts and absorbing some of the costs – but only to a point.

Experts say shoppers won’t see price hikes immediately, but they are coming.

“For the average consumer shopping at Best Buy or Amazon, the pass-through won’t happen overnight,” said Galen Zeng, a semiconductor supply chain analyst at IDC. “But expect it to materialize within the next few months.”

Prices for circuit boards have already surged, jumping as much as 40% in April alone, according to Goldman Sachs. (iStock)

Dan Ives, an analyst at Wedbush Securities, said the impact will likely become more visible later this year.

“There will be a lag and much of these costs will be absorbed in the…