What have we learned about Electric guitar so far in 2025?
We’re now well into 2025, There’s a lot of skepticism and fear-mongering, and to be fair, it will still take some time to fully see the repercussions of proposed changes to the industry. Some changes have already occurred, and most are related to production. In today’s article, I’ll attempt to highlight some of the concrete changes I’ve observed as a guitar factory.
Pedal Production and Output Has Slowed Down
So far, there have been some great new pedal releases, but it feels like the market is really missing the volume it has had in the last few years. Both smaller builders and big brands seem to have taken their foot off the gas pedal so far in terms of pedal production. I can’t blame them; inflation and pending trade wars certainly do not do the small shops any favors. I don’t know if the bigger brands have quite the same magnitude of fear, but they seem apprehensive so far to unveil too much in the way of new products.
The shift towards more signature gear and nostalgia-based releases also impacts this. I mean, how many of the newest pedals were either a band/artist collaboration (looking at you Jack White!) or aimed at reviving vintage stuff (TE or LP). Obviously, Electric Guitar have not come to a grinding halt by any means, but so far, the 2025 season has felt a bit more like everyone’s waiting to see how the dust settles before diving too deep in.
Guitar Is Becoming “Polarized”
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This isn’t a new thing as I’ve written about the increasing movement of guitar gear to be priced at either end of the market. Brands are typically trying to produce a product that can be marketed in the affordable section, or a product that’s a smaller batch but targeted at collectors. The mid-priced guitar is becoming more and more of an extinct species in terms of value buys.
This has been somewhat offset by the huge increase in the quality of affordable instruments. We’ve seen affordable Squier, Yamaha, and PRS SE guitars all explode in both quality and popularity as folks try to save a few bucks. But it used to feel like a Mexican Fender and a USA Fender were much closer in price, and I think Fender noticed it as well. In fact, their decision to roll out the new Indonesian-made Fender Standard series suggests this as much.
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Smaller Builders Are Already Raising Prices And Flashing Receipts
Two things have dominated my social media in recent weeks. 1) Smaller builders flashing their receipts from purchasing new parts and components with a big tariff cost added on, and 2) smaller builders announcing on social media that they are raising their prices in 2025. This is not only because of tariffs, as prices have been poised to rise for a while now based on inflation, shipping costs, and increased marketing efforts. However, the receipts for increased component prices are particularly interesting, as they show the very real impact on small businesses.
It will take some time for prices to continue to increase writ large, as it seems the price hikes are on a case by case basis at the moment. But the rising costs of parts and living are not something that is a good sign for many independent builders.
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