Impact of Tariffs on Pump Prices
Impact of Tariffs on Pump Prices
On May 29th, 2018, the US Government announced new 25% import tariffs on approximately $50B of goods imported into the United States from China, under Section 301 of the Trade Expansion Act, with an effective date of July 6, 2018. Included in the HTSUS codes which are impacted by these new tariffs are pumps, motors, and other components. On August 1, 2018, most of the new prices will be applied.
Impact on Imported Pumps
Many pump manufacturers are currently reviewing opportunities to minimize this impact by shifting production to alternate manufacturing facilities (Taiwan) where possible or providing alternate product offerings, but unfortunately, our pricing of impacted products will be adjusted to cover the cost of the new tariffs. As provided by the mfr. Or as passed on by the mfr.As a result, many brands made in china will be implementing a 20% surcharge on the affected products effective August 1, 2018. This surcharge is separate from the previous 3% pricing increase announced based on 232 tariffs related to Steel and Aluminum imports, which impacted a broad cross-section of countries and most products.
Impact of Steel Tariffs
Several American pump mfr’s like AMT, MP, FTI, March, Standard, ASP, Sta-rite and Berkeley will only have slight if any increase due to the 232 tariff related to steel and aluminum. The impact of the Tariffs on Steel & aluminum is 3%. As mentioned above, this is already reflected in the pricing.
Imported Pump Manufacturers
While the bulk of our pump business is with American manufacturers, we do distribute quality imported pumps as well. For customers replacing a pump from an import manufacturer, we can help. If you have flexibility, contact PumpBiz to speak with one of our engineers about your requirements. We may be able to find a domestic alternative for the pump. While we will make every effort to find a domestic pump that meets your needs, we will not compromise the integrity of your system to do so.
Pumps Made in the USA
The good news is that we are a distributor for many domestic manufacturers of high-quality pumps. These manufacturers can meet the needs of most applications with dependable, long lasting pumps. While still subject to some price increases due to new tariffs, the amount is significantly less than imports.
