Tariffs and the Price of Tools

[fritter63]

Just ordered the ETS 125 REQ that’s been on my list. Had it logged at $235. But now $279….. not sure if the that’s yearly Festool increase or tariffs.

Hartville Hardware via Amazon

ETA: Peter confirms it's Festool price increase.

 

[peter halle]

Just ordered the ETS 125 REQ that’s been on my list. Had it logged at $235. But now $279….. not sure if the that’s yearly Festool increase or tariffs.

Harrville Hardware via Amazon

$279 is the price from the catalog which came out in February. Not a tariff increase.

Peter

 

[onocoffee]

As far as Festool goes, a dealer I had spoken to a month ago said that Festool USA had brought in enough stock prior to the tariff announcements to last four months - that would have put their inventory to run through July. I'm guessing we'll see a mid-year price increase instead of just end of year.

Makes me wonder if I should go and grab that Kapex 120 that's not a pressing need.

 

[Crazyraceguy]

Makes me wonder if I should go and grab that Kapex 120 that's not a pressing need.

It's only ever going to do anything but increase. If you are going to eventually, might as well be now.

 

[edwarmr]

@Cheese

So I'm confused on why you got charged tariffs and I didn't. I also ordered from a German company I have used many times before. The items were Festool but I assume some of them are made in China. I didn't have to pay a single cent in tariffs. I kept it under the de minimis $800. I can't imagine what I would have paid if I got charged tariffs. I probably would have paid nearly $1,600 total. So if an item is made in China but gets shipped from Germany tariffs are owed?

 

[onocoffee]

@Cheese

So I'm confused on why you got charged tariffs and I didn't. I also ordered from a German company I have used many times before. The items were Festool but I assume some of them are made in China. I didn't have to pay a single cent in tariffs. I kept it under the de minimis $800. I can't imagine what I would have paid if I got charged tariffs. I probably would have paid nearly $1,600 total. So if an item is made in China but gets shipped from Germany tariffs are owed?

The why you didn't get charged is the mystery. A lot of it still is in a state of chaos because we have a situation where one day: tariffs on. Next day: tariffs off. Third day: tariffs are less. There's no clarity or stability with this kind of volatility. So, consider yourself lucky!

But yes, despite being "manufactured" by a German company, if the product (or parts) were made in China and then sent to the United States, a tariff is supposed to apply. The amount and whether or not it happens all depends on the whims of the current administration.

 

[Cheese]

@Cheese

So I'm confused on why you got charged tariffs and I didn't. I also ordered from a German company I have used many times before. The items were Festool but I assume some of them are made in China. I didn't have to pay a single cent in tariffs. I kept it under the de minimis $800. I can't imagine what I would have paid if I got charged tariffs. I probably would have paid nearly $1,600 total. So if an item is made in China but gets shipped from Germany tariffs are owed?

That's the way it appears to be. None of this is really making any sense, there's no consistency in the results. All of the items were from Bessey and all were made in China yet they were taxed at different levels. The items that had polymer parts had higher tariffs than the all metal item.

Recently, Amazon also went through similar machinations when I ordered another Bessey item. The item was listed at $26 on Amazon, when I added shipping the item went to $46 and then when I confirmed my address and I went to pay for it the item suddenly became $83. Needless to say...that item was also not purchased.

The lesson here is if you're shopping Amazon, it's best to put the item in the shopping cart first rather than just hit the Buy Now button.

 

[edwarmr]

The why you didn't get charged is the mystery. A lot of it still is in a state of chaos because we have a situation where one day: tariffs on. Next day: tariffs off. Third day: tariffs are less. There's no clarity or stability with this kind of volatility. So, consider yourself lucky!

But yes, despite being "manufactured" by a German company, if the product (or parts) were made in China and then sent to the United States, a tariff is supposed to apply. The amount and whether or not it happens all depends on the whims of the current administration.

How would they determine whether the part is made in China? That's what confuses me If the company just lists it as, "Festool Mobile Drilling Attachment," which is one of the things I bought, how would they know where everything came from? I can't imagine they do all that digging to find the origin of all the parts. This makes me scared to order anything else from Germany

 

[edwarmr]

That's the way it appears to be. None of this is really making any sense, there's no consistency in the results. All of the items were from Bessey and all were made in China yet they were taxed at different levels. The items that had polymer parts had higher tariffs than the all metal item.

Recently, Amazon also went through similar machinations when I ordered another Bessey item. The item was listed at $26 on Amazon, when I added shipping the item went to $46 and then when I confirmed my address and I went to pay for it the item suddenly became $83. Needless to say...that item was also not purchased.

The lesson here is if you're shopping Amazon, it's best to put the item in the shopping cart first rather than just hit the Buy Now button.

Yikes! So your price was over triple what you expected on Amazon?! Yeah the reason I placed my order from Germany is I heard the tariffs were paused. I didn't even think about the fact that the items coming from Germany were possibly manufactured in China.

 

[Vtshopdog]

It's been a minute since I retired, but in my former life when my small business shipped items overseas there was often a fair bit of ambiguity to assigning the export code for many items we sent out of the country. Sometimes it was something akin to "pick one who cares" and other times it was "6 of one dozen of the other" but the half dozen code was obviously going to be cheaper for the buyer and we would default to that code.

Besides the on again off again rates, different vendors possibly coded shipment for similar items differently on the export documentation and thus triggered different assessments at delivery.

I'm sure UPS hates processing these collections....

 

[mino]

I'm sure UPS hates processing these collections....

Oh, you would be wrong on that. LOTS of $ in processing fees to be made .. the employees sure must hate it, the company not so much. Same with the big A.

 

[onocoffee]

How would they determine whether the part is made in China? That's what confuses me If the company just lists it as, "Festool Mobile Drilling Attachment," which is one of the things I bought, how would they know where everything came from? I can't imagine they do all that digging to find the origin of all the parts. This makes me scared to order anything else from Germany

In modern times, a company will source parts for their product from not only a range of companies (suppliers) but those parts probably were produced in a range of nations (including places like China). Since the product was assembled "manufactured" in a particular nation and labeled that it was made in that nation does not mean the parts are all of that nation - and are, therefore, subject to the additional tariffs imposed by this administration the product being imported to the United States.

Most companies are not in the marketing habit of listing every nation that every individual part within their product originates. That's too cumbersome (both to write and to read as a consumer), and most people couldn't care less as long as the product meets their needs. The reality is that the companies (and therefore the tariff-levying government) doesn't really have to "dig" that much - it's already part of their manufacturing documentation.

Imagine you were in the market for an airliner and you could buy that on Amazon. Boeing's 787-9 comes up and you like it. Great - an American Made aircraft - it's exactly what I want. Does it really matter to you that the major components like the airframe and wing were made outside the USA and flown in? Unlikely, so Boeing's Amazon listing doesn't really break it down - but if you asked the sales rep for that detail, they would have it.

I don't know if this should make you scared to order outside the USA, but it should make you aware. And now the best practice will be to check your cart before ordering - and know that, depending on the whims of the current administration, that price may fluctuate by the time it reaches your door and UPS hits you up for a Tariffs-Owed Invoice.

 

[semenza]

Running borderline to the politics. But creeping closer to going over the edge. Just trying to stay ahead of it so that it doesn't.

Seth

 

[montyss]

How would they determine whether the part is made in China? That's what confuses me If the company just lists it as, "Festool Mobile Drilling Attachment," which is one of the things I bought, how would they know where everything came from? I can't imagine they do all that digging to find the origin of all the parts. This makes me scared to order anything else from Germany

That is based on the HS Code a company has to input into a box in the shipping documents. Each HS code is different and in that code lists where the item is from, what it is, and what it is made from.

 

[peter halle]

...And as I learned when I imported a bunch of Systainers from Germany, which code you choose can have a different cost. A plastic toolbox had a code and a plastic storage box had a cheaper cost. Guess which one I chose (which also happened to be the one Tanos used.)

Peter

 

[ear3]

Just heard from dealer that an additional 7% Festool price increase coming July 1st. This definitely seems like a tariff thing.

 

[onocoffee]

There it is - four months. Seven percent? What do I REALLY need now? Hmmmm...

 

[ear3]

There it is - four months. Seven percent? What do I REALLY need now? Hmmmm...

I'm doing a managed upgrade. Got CTC SYS and will sell corded version to recoup a good amount of the price. Might also get the KHC -- have always borrowed a friend's rotary hammer on the few occasions ive needed it, but antipating some more substantial concrete demo work next year, so might as well...