Tariffs

[Sam]

Everytime a product changes hands in its supply channel movement the price increases.

 

Tires are a good example:

$10 cost to manufacture

Sent to distributor who marks it up double to $20

Sent to wholesaler who marks it up double to $40

Sent to retailer who marks it up double to $80

 

Everytime a product is handled by someone in the supply chain it price increases.

 

It is just the way it is and has been in the past.

 

 

[Glenn]

Off topic and political comments have been removed.

[jbsoonerfan]

I just knew Irene was going to bed.

[the reel ess]

On 9/19/2019 at 5:45 PM, MAN said:

We are splitting the additional tariff cost with our China factories and absorbing the difference in our fishing product line. But a lot of companies are just raising the retails to absorb.  Additionally I am looking in Vietnam for lower end fishing rod business. Vietnam, Cambodia and the Phillpines are all gaining very quickly from this Tarriff. It just takes time to get the infrastructure up and running as well as training these folks to make lures, rods and reels that are worth a flip. One thing for sure is China is taking a beating and once these industries are gone from China...they will never return.  

Bingo! As with the NAFTA jobs that went to Central and South America, as soon as there is a cheaper or less costly alternative, they'll leave and go there. Corps have no choice but to remain competitive.

[the reel ess]

19 hours ago, DanielG said:

I don't think the tariff thing is working. Here is the breakdown of what's happening. Right after this information was made public by the departments that measure such stuff the President ordered companies to come back to the US. Of course he can't do that and they probably won't. It's all about capitalism, stockholders, and the bottom line. I don't think stuff made in the USA meets that requirement. Sucks.....

 

"About 41% of American companies are considering moving factories from  China because of the trade war, or have already done so, but fewer than 6% are heading to the U.S., the American Chamber of Commerce in China said in a recent survey.

Companies are largely eyeing Southeast Asia and Mexico."

Even if they don't come back, we are on a better trade footing with most other countries. China cheats at every turn.