Understanding the Economic Pressures Behind Your Electric Sign Quote
At ANS Signs, we’re committed to full transparency. We know customers are asking: “Why are signs more expensive now than they were a year ago?” The answer lies in a combination of global trade policy, domestic labor pressures, and broader inflationary trends affecting virtually every U.S. manufacturer.
What’s Driving the Increase in Sign Costs?
1. Tariffs on Key Materials and Components
Beginning in 2024 and continuing into 2025, the United States has imposed significant tariffs on a wide range of imported goods, many of which are essential to electric sign manufacturing. These include:
- 25% tariffs on aluminum and steel under Section 232
- 20% to 30% tariffs on goods imported from China, including LED modules, power supplies, and control components
For electric signs that require metal fabrication and electronic illumination, these tariffs translate directly to higher material input costs. On average, signs requiring LED lighting and aluminum or steel structures are now 10% to 15% more expensive due to these import taxes alone.
2. Wage Inflation in the Skilled Labor Market
Labor shortages in manufacturing and construction have driven wages upward. Skilled trades such as welding, electrical wiring, and CNC machining are in high demand, and wages in these categories have increased by 5% to 10% year over year. Sign companies that want to retain experienced staff—and avoid delays—must offer competitive pay. These costs are ultimately reflected in project pricing.
3. General Inflation Across the Economy
Inflation has affected nearly every aspect of doing business. Transportation costs, commercial insurance premiums, building permits, fuel, and even small items like fasteners and paint have seen price increases over the past 18 months. For custom signage projects, this adds another 2% to 4% in hard costs—and additional stress on scheduling and logistics.
Cost Breakdown: What It Means for You
| Cost Factor | Estimated Impact on Total Project Price |
|---|---|
| Tariffs on materials | +10% to 15% |
| Labor and wage inflation | +5% to 10% |
| General inflation | +2% to 4% |
| Total Estimated Increase | +17% to 25% |
A sign project quoted at $10,000 in 2022 may now cost between $11,700 and $12,500 depending on materials, complexity, and lead time.
How We’re Managing the Challenge for Our Clients
We understand that no one wants to pay more than they have to. That’s why we’ve taken proactive steps to minimize unnecessary increases and help clients make informed decisions. Our strategies include:
- Supply chain adjustments: We prioritize suppliers in tariff-exempt regions and work with U.S.-based vendors when feasible.
- Bundled services: Our design, permitting, and project management teams work under one roof to reduce administrative overhead.
- Efficient scheduling: We offer early project planning consultations to help clients lock in pricing before anticipated cost increases.
- Transparent quoting: Every proposal includes a breakdown of material and labor factors so clients can see what they’re paying for.
Why It Still Makes Sense to Invest in Quality Signage
Though costs have risen, signage remains one of the most cost-effective branding and visibility tools a business can invest in. A well-placed, professionally manufactured electric sign delivers value 24/7, increases customer traffic, and reinforces brand identity. The return on investment continues to outweigh short-term inflationary pressures—especially when quality and durability are built into the project from day one.
A sign is not just a purchase—it’s an asset. Working with a reliable, experienced manufacturer ensures your investment performs over the long term, even in a fluctuating economy.
Contact Us to Start Planning
If you are planning a sign project in the next 3 to 12 months, we encourage you to reach out early. Whether it’s budgeting, permitting, or scheduling fabrication in advance, we are here to help you make smart, cost-effective decisions.
ANS Signs – Built to Last. Built with Purpose. Use the contact form below to get started. Our team will follow up promptly to assist with your project planning and answer any questions you may have.