first round of tariff related price increased announced today in our industry

5,747 Views | 80 Replies | Last: 9 mo ago by mm98
Aggie95
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KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
I agree to an extent. We need to bring a lot of it home but it's not easy. We 1000% need better trading terms and better trading partners. That combined with some onshoring will be better for us here...it will just be a bumpy ride until then.
Please tell me there's a special place in Heaven for Aggie fans! It's like we are living some sort of penance on Earth.
JFrench
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Ducks4brkfast said:

As soon as announcements were made regarding import tariffs on steel in mid February, we started receiving price increase letters from domestic steel mills. For no other reason than they could, cause their competitor's material just got more expensive.


That happened right before the 2018 section 232 tariffs. I've seen no real investments at the domestic mill level with the windfall.

What steel are you buying that wasn't already tariffed?
Ducks4brkfast
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Yes we saw same in Trumps first term too. It's all structural carbon steel.
Aggie95
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JFrench said:

Ducks4brkfast said:

As soon as announcements were made regarding import tariffs on steel in mid February, we started receiving price increase letters from domestic steel mills. For no other reason than they could, cause their competitor's material just got more expensive.


That happened right before the 2018 section 232 tariffs. I've seen no real investments at the domestic mill level with the windfall.

What steel are you buying that wasn't already tariffed?
There are quite a few domestic steel mills recently completed and/or announced.
Please tell me there's a special place in Heaven for Aggie fans! It's like we are living some sort of penance on Earth.
rodan85
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Blame my brother. He went over to China 15/20 years ago and showed them how to make the pipes, valves and fittings to American tolerances.

He was opening factories for them and then they fired the US guys after they learned how.

AJ02
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A lot of these tariffs are eligible for drawbacks. Some aren't, like 232 & IEEPA. But so far pretty much all others are. I'm waiting to see the copper tariff that they're saying is about to hit. Or has it, and I just missed the update?

I'm not sure why we're tariffing copper. US has plentiful copper reserves.
Ciboag96
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Doesn't hurt us who buy made in America pipe, valves and fittings. It hurts you cheap *******s who buy fake Chinese **** .
mm98
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I'm curious. Please name me the top 5 made in the USA valve manufacturers you purchase from.
No Spin Ag
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javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


There was a time when paying higher prices for "Made in America" meant you were getting quality that no one else could match.

Thanks up American companies going overseas, they helped products be able to be made of the same American level quality for a fraction of the price.

We'll pay more, but it'll only be more because American companies wanted more profits by going overseas in the first place. Had they not, the prices we will pay all be what we would've been all along.
There are in fact two things, science and opinion; the former begets knowledge, the later ignorance. Hippocrates
aezmvp
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Yeah we're getting a lot of the 6-10% notices in the building supplies industry. Some up to 25%. We'll see more though.
Aggie1205
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No Spin Ag said:

javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


There was a time when paying higher prices for "Made in America" meant you were getting quality that no one else could match.

Thanks up American companies going overseas, they helped products be able to be made of the same American level quality for a fraction of the price.

We'll pay more, but it'll only be more because American companies wanted more profits by going overseas in the first place. Had they not, the prices we will pay all be what we would've been all along.


It's not the retailers and their CEO who get all of the blame. The buyers/merchants at retailers choose the products that will sell the best. It's the average US consumer who doesn't care where a product comes from that leads to manufacturing going overseas. I've always worked for companies who manufacture both in the US and overseas for my entire career. In my experience country of origin doesn't matter to the vast majority of consumers. Most never look. The data backs it up as well. If a Made in the US product is $119.99 and a made in China one is $99.99, the China one will sell significantly more. People say they care but ultimately they would rather have $20.
steelie
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HoustonAg9999 said:

Thanks for update OP keep us posted.
FobTies
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It's times like these where we find out how much "Made In America" products are actually just Chinese parts assembled in America.
infinity ag
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No Spin Ag said:

javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


There was a time when paying higher prices for "Made in America" meant you were getting quality that no one else could match.

Thanks up American companies going overseas, they helped products be able to be made of the same American level quality for a fraction of the price.

We'll pay more, but it'll only be more because American companies wanted more profits by going overseas in the first place. Had they not, the prices we will pay all be what we would've been all along.

My father had his Craftsman tools that he bought in the early 70s. Still in great shape and usable. All made in USA.

Now? All I can get is junk from China. Use a few times and throw. And buy again.

Race to the bottom.
infinity ag
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Aggie1205 said:

No Spin Ag said:

javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


There was a time when paying higher prices for "Made in America" meant you were getting quality that no one else could match.

Thanks up American companies going overseas, they helped products be able to be made of the same American level quality for a fraction of the price.

We'll pay more, but it'll only be more because American companies wanted more profits by going overseas in the first place. Had they not, the prices we will pay all be what we would've been all along.


It's not the retailers and their CEO who get all of the blame. The buyers/merchants at retailers choose the products that will sell the best. It's the average US consumer who doesn't care where a product comes from that leads to manufacturing going overseas. I've always worked for companies who manufacture both in the US and overseas for my entire career. In my experience country of origin doesn't matter to the vast majority of consumers. Most never look. The data backs it up as well. If a Made in the US product is $119.99 and a made in China one is $99.99, the China one will sell significantly more. People say they care but ultimately they would rather have $20.

Which is why we need tariffs to force the issue. I hate CEOs but you cannot blame a CEO for moving something off shore. You cannot blame the consumer for buying cheaper.
If the Govt puts a tariff, it guides the process.
Tariff will make the Chinese product 119.99 also and people will more likely buy the US product.
infinity ag
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FobTies said:

It's times like these where we find out how much "Made In America" products are actually just Chinese parts assembled in America.

Have laws where MIUSA means all parts MIUSA. If they buy parts from China, jail the CEO.
AggieVictor10
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javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


It's the price of patriotism.
hard times create strong men. Strong men create good times. good times create weak men. and weak men create hard times.

less virtue signaling, more vice signaling.

Birds aren’t real
Lol,lmao
KaneIsAble
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mm98 said:

I'm curious. Please name me the top 5 made in the USA valve manufacturers you purchase from.


Only one ; Balon. Everyone else has components outsourced.
Brother Shamus
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We're going to have to try and pivot as much as possible. The cat is out of the bag and things aren't going back. Opportunities will change. It still sucks.
KaneIsAble
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It's going to kill some companies and jobs for American employees. I won't celebrate that ever but some of the Chinese valves on the market are embarrassing from a cost and quality perspective. A reset is needed.
itsyourboypookie
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infinity ag said:

Saw this on Linkedin







I don't remember any of that in the art of the deal
JFrench
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Maybe I missed it. Crucible Industries is gone. Carpenter can't even make their propitary grades. Electralloy stopped producing certain grades.
newbie11
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Aggie1205 said:

No Spin Ag said:

javajaws said:

KerrAg76 said:

Exactly why tariffs are needed and basic manufacturing has to return to the USA
So we can pay higher prices?


There was a time when paying higher prices for "Made in America" meant you were getting quality that no one else could match.

Thanks up American companies going overseas, they helped products be able to be made of the same American level quality for a fraction of the price.

We'll pay more, but it'll only be more because American companies wanted more profits by going overseas in the first place. Had they not, the prices we will pay all be what we would've been all along.


It's not the retailers and their CEO who get all of the blame. The buyers/merchants at retailers choose the products that will sell the best. It's the average US consumer who doesn't care where a product comes from that leads to manufacturing going overseas. I've always worked for companies who manufacture both in the US and overseas for my entire career. In my experience country of origin doesn't matter to the vast majority of consumers. Most never look. The data backs it up as well. If a Made in the US product is $119.99 and a made in China one is $99.99, the China one will sell significantly more. People say they care but ultimately they would rather have $20.
This. Exactly.
Chetos
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i'm tired of getting crapy chinese products...time to start making our own stuff. these chinese products only have a price advantage because of their government manipulating the trade market.

and if you are using chinese made valves and pipe in oil and gas, i hope you are operating gathering lines out in the middle of nowhere and not high stress transmission lines in our backyard.
Ozzy Osbourne
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Problem is, folks will just buy from the next 3rd world country instead of America
JFrench
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I'm not familiar with carbon. We buy 1 product line from China because they have a mill that can make a certain product that no other mill in the world can make.

We've filed some successful exclusions but not that one. It's been 25% since original 232 expansion. It will not go up with new China tariffs.

That was my confusion. If the material was already subject to the 232 tariffs then it shouldn't have additional tariffs.
Ducks4brkfast
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My understanding is 232 restrictions were relaxed by Biden, but restated back in February by Trump.
Mr.Milkshake
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Most conservatives don't actually want what they say they want.

Balanced budget, strong defense, energy independence, etc etc.

Yall are not willing to go through the pain required to regain those things.
JFrench
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Biden made tweaks. Trump tweaked again. Alot of that was to combat China backdooring through Mexico.

Edited to say relaxing didn't do away with them
IIIHorn
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Czech valves
Gunny456
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This will be the new excuse for price increases. No matter what…blame it on the tariffs.
Whenever we had price increases on our boats our standard excuse was blaming it on the cost of fiberglass and resin……always due to gas prices of course.
We lived 4 years of the excuse of Covid.
Now the new one will be tariffs.
Bubblegum will go up and it will be because of tariffs!
BigRobSA
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Mr.Milkshake said:

Most conservatives don't actually want what they say they want.

Balanced budget, strong defense, energy independence, etc etc.

Yall are not willing to go through the pain required to regain those things.


What "pain" is there to be felt for any of those?

Gut spending, deregulate massively, and cut taxes across the board. Done. We already have the strongest military in the world with a YUGE gap to second.


Unfortunately, we have almost zero conservatives in Office. Not in the WH, or the Lege or the SC.
TA-OP
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AggieVictor10 said:

Good. Buy American or GTFO.
I hope you're not a coffee drinker.
one safe place
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infinity ag said:






Which is why we need tariffs to force the issue. I hate CEOs but you cannot blame a CEO for moving something off shore. You cannot blame the consumer for buying cheaper.
Do you hate all CEOs? What's up with that? Do you hate corporations as well?
Tom Kazansky 2012
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Stinky T said:

Have a customer that said there are 50 machines in the US that can fabricate their raw material. They need at least 600 of those machines to meet their requirements alone. So "Buy American" makes a great bumper sticker, but it is not always practical short term.


CEOs of the companies that survive should take note of what happens when you sell out over seas.
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