Tariff Grace Period Spurs Triple-Jump in DDR4 Prices

The recent 90-day postponement of reciprocal tariffs by the US government has prompted computer manufacturers to aggressively build up memory inventories, driving a sharp increase in prices for both DRAM and NAND flash memory. Notably, DDR4 prices have surged over 20% for two consecutive months, with a remarkable 27% jump recorded in May—marking the largest monthly increase in eight years. NAND flash prices have also experienced a steady rise for five consecutive months.

According to the latest report from market research firm DRAMeXchange, the average price of an 8GB DDR4 module reached $2.10 in May, up 27% from April’s $1.65. This growth rate surpasses April’s 22.22% increase and represents the most significant month-over-month price hike since January 2017, when prices surged by 35.8%.

DDR4 prices had previously declined sharply in September and November of last year, with drops of 17% and 20.6% respectively. After a four-month period of relative stability, prices began rising again in April 2025.

One key factor behind the recent price surge is the US tariff policy implemented by the previous administration, which led manufacturers to stockpile memory components during the 90-day tariff deferment. Market analytics firm TrendForce notes that this inventory buildup was particularly focused on cost-effective components such as CPUs and DDR4 memory modules.

TrendForce further highlights that major DRAM manufacturers—including Samsung Electronics, SK Hynix, and Micron—have reduced production capacity of older-generation DDR4 chips, contributing to upward price pressure. Concurrently, Samsung has experienced a significant drop in DDR4 module order fulfillment rates, while both chip production costs and module prices have risen in tandem.

NAND flash memory prices reflect a similar upward trajectory. In May, the average price for 128GB NAND chips used in memory cards and USB drives reached $2.92, a 4.84% increase over April. This marks the fifth consecutive month of rising NAND prices. After facing downward pressure last September with a four-month decline, NAND prices began to recover in January 2025 with a 4.57% gain.

Industry analysts emphasize that ongoing supply constraints combined with heightened demand suggest that prices for both DRAM and NAND will continue to rise for the foreseeable future. Until tariff uncertainties ease and DDR4 production stabilizes, the upward trend in memory prices is expected to persist, ultimately impacting end consumers.