May 2025 Tariff Update

To our valued customers:

You have heard about the trade dispute and new tariffs being applied to imports of every kind.  Now in effect is a 10% additional tariff on virtually every product from every country we import from,  except China.  There is currently a 30% additional tariff on Chinese products as of this past Monday.  A week ago, the Chinese tariff was 145%.  These new tariffs are in addition to existing duty/tariff rates in effect.

Both the 10% tariff on all countries, and the 30% tariff on Chinese goods are temporary and due to expire on July 9 for the 10%,  and the 30% tariff seems to have no defined termination date.  It is impossible for any importer to predict the landed cost without knowing all the components of our cost especially the total import duty/tariff being such an integral part of our cost.

Today we know that from all countries we import from the additional tariff is 10% and the present Chinese tariff is 30%.  These additions have now been collected by US Customs when our merchandise arrives to the USA, and in turn, added to our cost.

We are expecting potential supply chain shortages since many importers, us included, halted inbound shipments when the tariff was 145% under the assumption that the market would not be receptive to such an increase.

As of Monday, May 12, when it was announced that the Chinese tariff was being reduced to 30% we began resuming our inbound shipments from China to all our warehouses around the country.   Likely, every other importer did the same.  Now, it is widely expected that steamship space will become very tight with everyone trying to get their Chinese products into the supply chain again.  Due to the surge in demand it is probable that ocean freight rates will increase further raising costs.

We encourage all our accounts to reach out to your Sales rep for any questions you may have.