First, let's start with a definition. Tariffs are a tax on imports or exports between sovereign states.
Who Pays the Tax?
We all do? The importer (US Company) pays the tax on items coming into the Country, and then charges the distributor more to sell the product to the end user. Ultimately, the end user will pay the highest price since the final retail price will reflect all the charges. The general idea behind tariffs is to encourage people to "buy local" or "buy American", thus giving a boost to the economy.
Aren't Most of the Products I Buy Made in the USA?
NO! We operate in a global economy. Most of the products you buy are manufactured outside of the Country. The raw goods are imported and then assembled or "finished" in the US. For example, most promotional products and apparel are manufactured in China and then shipped to warehouses in the United States. The Suppliers in the US screen print the items which allows for quick turnaround at low prices.
When Will Prices Go Up?
This month. Imagine That Promo recently met with several suppliers. All the suppliers we met with agreed, they will look for alternatives, but for the most part they will continue to purchase product from manufacturers overseas. Most of them informed us that they will keep prices low with the product that they already have in their warehouses, but they will begin to increase prices as they replace inventory.
Here's the Plan!
We need to plan ahead. If it's product you normally purchase, let's restock and save you money. If you are going to order product for the Holidays, now is the time. If you have any questions regarding tariffs and how it will effect the items you buy from Imagine That Promo, you can email me directly at firstname.lastname@example.org. For more information on visit our website www.imaginethatpromo.com.