United Audio Buys Onkyo

Hide sidebar Show sidebar
AcuDefTechGuy

AcuDefTechGuy

Audioholic Jedi
The Hi-Fi Audio world is shrinking and the Smartphone world is growing.
 
H

Hetfield

Audioholic Samurai
AcuDefTechGuy said:
The Hi-Fi Audio world is shrinking and the Smartphone world is growing.
Click to expand...
The Tariffs will take care of some of the smaller companies and make it shrink faster. If the tariffs continues as is we will lose some small audio companies.
 
AcuDefTechGuy

AcuDefTechGuy

Audioholic Jedi
Hetfield said:
The Tariffs will take care of some of the smaller companies and make it shrink faster. If the tariffs continues as is we will lose some small audio companies.
Click to expand...
I guess only the companies that buy parts from China are affected by the tariffs?

The other companies who buy parts from other countries (like Malaysia) aren't affected?
 
H

Hetfield

Audioholic Samurai
AcuDefTechGuy said:
I guess only the companies that buy parts from China are affected by the tariffs?

The other companies who buy parts from other countries (like Malaysia) aren't affected?
Click to expand...
At the moment but hey there is still time to slap Tariffs on everything from any country. Fun times in America, fun times.
 
lovinthehd

lovinthehd

Audioholic Jedi
AcuDefTechGuy said:
I guess only the companies that buy parts from China are affected by the tariffs?

The other companies who buy parts from other countries (like Malaysia) aren't affected?
Click to expand...
Or rather import such into the US directly from China. If incorporated into products made/assembled in other countries (assuming substantial transformation where Chinese origin isn't a factor any more) into the US then the drumpf's chinese tariffs wouldn't apply.
 
AcuDefTechGuy

AcuDefTechGuy

Audioholic Jedi
lovinthehd said:
Or rather import such into the US directly from China.
Click to expand...
Oh, so if they make an AVR in Malaysia by using parts made in China and then ship the AVR to the US, then it doesn't apply.
 
lovinthehd

lovinthehd

Audioholic Jedi
M Code

M Code

Audioholic General
lovinthehd said:
Might depend on what constitutes a "part", but essentially, yes. Substantial transformation here
Click to expand...
Great article in Time magazine, last month. They interviewed Morris Kessler CEO of ATi, he mentions the significant impact on his internal components bought from China. Noting that he has no choice but to source from China as there are NO USA supplier for many of these...

Just my $0.02... ;)
 
lovinthehd

lovinthehd

Audioholic Jedi
M Code said:
The key point of my link is now the purchase price of $75 million is disclosed...

Just my $0.02... ;)
Click to expand...
Acknowledged, but might be more appropriate in existing threads with other info and discussion?
 
lovinthehd

lovinthehd

Audioholic Jedi
M Code said:
Great article in Time magazine, last month. They interviewed Morris Kessler CEO of ATi, he mentions the significant impact on his internal components bought from China. Noting that he has no choice but to source from China as there are NO USA supplier for many of these...

Just my $0.02... ;)
Click to expand...
Nothing too surprising in that article. Here's the Kessler portion:

The problem is clear to business owners like Morris Kessler, who started an amplifier company in 1967. Today, that company, ATI, makes high-end amplifiers and audio equipment in Southern California. Kessler’s experience shows how tariffs put companies that source components globally but make products in the U.S. at a disadvantage: European competitors can undercut his prices because they can buy Chinese components without the added tariffs. Meanwhile, he suspects his Chinese suppliers are getting in on the trade war by raising prices as a form of retaliation, as parts he used to get for a penny now cost five cents. “This is hurting companies that never made anything in China,” he said.

Trying to source parts from the U.S. alone would be nearly impossible. As U.S. manufacturers stopped making products that were more available elsewhere — resistors and semiconductors for companies like Kessler’s, for example — Chinese suppliers filled the void. Establishing new supply chains would take years. “To replace a supplier is very difficult, and very expensive,” says says Charlie Chesbrough, a senior economist at Cox Automotive, which tracks auto industry trends. (The Center for Automotive Research estimates that about 12 percent of U.S. motor parts are imported from China.)
 
KEW

KEW

Audioholic Overlord
The whole tariff thing is a cluster-F!
Some will argue that the idea is to encourage companies to make those parts here (bring production back to the US).
That makes sense until you consider that the Tariff is subject to being eliminated at any point in time. Consequently, if a company like ATI decided to "upward integrate" and invests in the manufacture of these parts, they'll get screwed if the trade war gets resolved and tariffs go away.

I had not considered the aspect where a "made in the USA" company (using some parts from China) gets stuck with tariffs while an equivalent product "made in Korea" (using some parts from China) will be able to by-pass the tariffs.
 
Kvn_Walker

Kvn_Walker

Audioholic Field Marshall
KEW said:
The whole tariff thing is a cluster-F!
Some will argue that the idea is to encourage companies to make those parts here (bring production back to the US).
That makes sense until you consider that the Tariff is subject to being eliminated at any point in time. Consequently, if a company like ATI decided to "upward integrate" and invests in the manufacture of these parts, they'll get screwed if the trade war gets resolved and tariffs go away.

I had not considered the aspect where a "made in the USA" company (using some parts from China) gets stuck with tariffs while an equivalent product "made in Korea" (using some parts from China) will be able to by-pass the tariffs.
Click to expand...
It's all about creating a boogeyman, an easy target. Im not siding with China but in the end, small companies will go out of business, those who remain will jack up their prices or open shop in the next cheapest Asian country, and manufacturing still stays out of America.

Consumers and manufacturers share equal blame for where we are now. People want to buy cheap, and shareholders want infinite year-on-year growth.
 
AcuDefTechGuy

AcuDefTechGuy

Audioholic Jedi
I don’t know squat about all this production stuff.

I get the argument that we can’t buy some of these parts (semiconductors and other parts) in the US. And that’s why we have to buy them elsewhere.

And I can also understand the argument that it might not be in our best interest to produce all these parts here in the US (pollution and other bad things? :D).

Is China the only country we can buy some of these parts now?

We can’t buy the same semiconductors and parts from other countries now?

ATI can’t buy the same parts from Malaysia, Japan, Mexico, or somewhere in Europe?
 
H

Hetfield

Audioholic Samurai
AcuDefTechGuy said:
I don’t know squat about all this production stuff.

I get the argument that we can’t buy some of these parts (semiconductors and other parts) in the US. And that’s why we have to buy them elsewhere.

And I can also understand the argument that it might not be in our best interest to produce all these parts here in the US (pollution and other bad things? :D).

Is China the only country we can buy some of these parts now?

We can’t buy the same semiconductors and parts from other countries now?

ATI can’t buy the same parts from Malaysia, Japan, Mexico, or somewhere in Europe?
Click to expand...
What's the difference? Who cares which foreign country that buy them from? I don't care but that's just me.
 
You must log in or register to reply here.

Latest posts

newsletter

  • RBHsound.com
  • BlueJeansCable.com
  • SVS Sound Subwoofers
  • Experience the Martin Logan Montis

Sitemap

Sitemap

Site Information

Site Information

HTML

audio forum
  • Facebook
  • Youtube
  • Twitter
  • instagram
  • rss
Top