So I gotta ask, 104% tariffs on China?

D

dlaloum

Senior Audioholic
Manufacture will have to return back to Tovil in Kent. Their high end speakers are made there, so that will have to put it all back in Tovil now.

TVs from China will be totally out of reach for most people and TVs made in other Asian countries may be as well. I fear there may be lots of break ins to steal electronics and TVs especially. I am already thinking of beefing up our security, which is high already.
They will first need to do the sums....

will the benefit of US market offset the reduction in other markets caused by the increased cost of manufacturing, then reflected in international pricing for those models.

It will come down to what proportion of their products go to the USA vs the rest of the world!

And yes the Tariffs on USA imports, may well result in increases in cost of goods for people in other countries, as manufacturers move to locations that are less economical but also have lower tariffs... the tariffs will therefore impose economic inefficiencies on the world at large - but only to the degree that manufacturers are exposed to the USA market.
 
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Kingnoob

Kingnoob

Audioholic Samurai
What is political about this? It is all about how to practically respond to the realities of AV in rapidly changing circumstances. The only thing remotely political is how to react to changing circumstances caused by politicians. So you could just as easily call this post a reality check.

I think we will have many threads on how to cope with this here and so we should.

What it will mean especially for speakers, is that the only way to have them in anyway affordable will be DIY.

So if this goes ahead I think there will be an explosion of interest on our DIY forum. This is not political, but reality.

You have just upgraded your speakers. If you had waited a few months to do that, then you would be building them DIY, actually in your case, more likely I would!
What’s the point of tariffs on China ? Those outsourced jobs aren’t coming back as USA is no longer a manufacturing powerhouse like In the 1940s. All it’s doing is making everything more expensive when average jobs already don’t pay enough to survive.
 
D

dlaloum

Senior Audioholic
What’s the point of tariffs on China ? Those outsourced jobs aren’t coming back as USA is no longer a manufacturing powerhouse like In the 1940s. All it’s doing is making everything more expensive when average jobs already don’t pay enough to survive.
They may well come back - the observation has oft been made that USA is 2/3 third world and 1/3 first world country.... with living standards, health and other measures of development dire in large parts of the USA.

With Trump at the helm, a great depression is well within the realm of possibility... resulting emergency measures could include getting rid of minimum wage standards... lowering the standards to true 3rd world status.

If they can get things dire enough for the US working class, the cost of labour will drop.

What would the USA look like if it had worker wages at the same levels as sweatshops in Asia?

Manufacturing could then absolutely move back to the USA! (!! winning !!)

Of course, this would require the complete elimination of the consumer economy in the USA.... as 99% of the population would be unable to afford consumer goods.... (Hmm now GM/Ford can manufacture in the USA, but no one is buying their cars, cos they can't afford them.... bummer)

Trumpish, "scorched earth" economic policies.... they will hurt the whole world, but they will hurt the USA the most. - Which doesn't matter as long as he gets to maintain and increase his grip on power.
 
TLS Guy

TLS Guy

Audioholic Jedi
WE WILL NOT PAUSE TARIFFS!







Oh wait. We will. (except China).

We could literally have elected a chimp and gotten similar results.
What needs looking at closely is if Trump and or some family members indulged in insider trading by manipulating the US treasury bond market. Good chance Trump, and or family members, are guilty of just this. It seems that some wealthy people did benefit from the fall and rise of the US treasury bond market over this fiasco.
 
lovinthehd

lovinthehd

Audioholic Jedi
What needs looking at closely is if Trump and or some family members indulged in insider trading by manipulating the US treasury bond market. Good chance Trump, and or family members, are guilty of just this. It seems that some wealthy people did benefit from the fall and rise of the US treasury bond market over this fiasco.
MTG has been outed for some trading prior to tariffs in her portfoliio....but with little federal oversight in such matters going to be hard to get anywhere in this line of inquiry I think (unfortunately)
 
D

dlaloum

Senior Audioholic
MTG has been outed for some trading prior to tariffs in her portfoliio....but with little federal oversight in such matters going to be hard to get anywhere in this line of inquiry I think (unfortunately)
Hasn't DOGE just gutted the very departments that would need to investigate such things?
 
M

MrBoat

Audioholic Ninja
The cost of audio products and everything else was steadily increasing anyway. Why are you suddenly concerned now? Who's been doing your grocery shopping for the last 4 years? That wasn't a temporary condition, it had become a permanent way of life.
 
H

highfigh

Seriously, I have no life.
Manufacture will have to return back to Tovil in Kent. Their high end speakers are made there, so that will have to put it all back in Tovil now.

TVs from China will be totally out of reach for most people and TVs made in other Asian countries may be as well. I fear there may be lots of break ins to steal electronics and TVs especially. I am already thinking of beefing up our security, which is high already.
How would that happen if a Chinese company owns KEF? They would need to ship components to England and the relationship between China & England would need to be examained, to see what effects the new tariffs have WRT components vs finished goods. KEF has held phone meetings every day since the tariffs were announced and they're still figuring out what will be needed, based on current and forcasted inventory, arrivals of shipments, etc.

Can Tovil handle the production level of all models? I'd guess that the finish on the cabinets will need to change because China doesn't have the same restrictions on materials that aren't environtally friendly.

If Chinese goods become too expensive, that country won't be the main manufacturer- it can all be farmed out to other countries that aren't at the same level of Tariffs. When Japan was hit with high tariffs in the '70s and '80s, the Japanese manufacturers moved to Mexico, then to the US. I DO NOT want Chinese manufacturers operating in the US.

If you live in a community with an HOA, I would be talking to them and asking what they plan to do about security. MAke sure they install Flock Cameras near the entrances and exits- those work very well to inform law enforcement and for a community that needs them, it's the best way available without stationed guards.
 
H

highfigh

Seriously, I have no life.
They may well come back - the observation has oft been made that USA is 2/3 third world and 1/3 first world country.... with living standards, health and other measures of development dire in large parts of the USA.

With Trump at the helm, a great depression is well within the realm of possibility... resulting emergency measures could include getting rid of minimum wage standards... lowering the standards to true 3rd world status.

If they can get things dire enough for the US working class, the cost of labour will drop.

What would the USA look like if it had worker wages at the same levels as sweatshops in Asia?

Manufacturing could then absolutely move back to the USA! (!! winning !!)

Of course, this would require the complete elimination of the consumer economy in the USA.... as 99% of the population would be unable to afford consumer goods.... (Hmm now GM/Ford can manufacture in the USA, but no one is buying their cars, cos they can't afford them.... bummer)

Trumpish, "scorched earth" economic policies.... they will hurt the whole world, but they will hurt the USA the most. - Which doesn't matter as long as he gets to maintain and increase his grip on power.
You can't compare wages between countries where the cost of living is so different- that's the whole reason manufacturing moved offshore. A good lifestyle in one country can't even pay the rent here and paying US wages in counrties with low cost of living means the workers would live like kings, also making them targets for criminals.

He's playing 'Chicken' and so far, much of the world has flinched. Now, India and some other countries are pointing fingers at China, too- it took too long for that and it's about damned time. If the other countries stop using China for manufacturing, it may lead them back to the old markets between the Communist countries- the worst risk if to peace, IMO. If China, Russia and NK decide to work out agreements to beef up their nuclear arsenals, it could very well be the end.
 
TLS Guy

TLS Guy

Audioholic Jedi
How would that happen if a Chinese company owns KEF? They would need to ship components to England and the relationship between China & England would need to be examained, to see what effects the new tariffs have WRT components vs finished goods. KEF has held phone meetings every day since the tariffs were announced and they're still figuring out what will be needed, based on current and forcasted inventory, arrivals of shipments, etc.

Can Tovil handle the production level of all models? I'd guess that the finish on the cabinets will need to change because China doesn't have the same restrictions on materials that aren't environtally friendly.

If Chinese goods become too expensive, that country won't be the main manufacturer- it can all be farmed out to other countries that aren't at the same level of Tariffs. When Japan was hit with high tariffs in the '70s and '80s, the Japanese manufacturers moved to Mexico, then to the US. I DO NOT want Chinese manufacturers operating in the US.

If you live in a community with an HOA, I would be talking to them and asking what they plan to do about security. MAke sure they install Flock Cameras near the entrances and exits- those work very well to inform law enforcement and for a community that needs them, it's the best way available without stationed guards.
All of the reference range speakers are totally manufactured at Tovil. I think they could quite easily gear up to produce for the US market. That is a large site and is just three or four miles from where one of my brothers lives. It is on the banks of the River Medway, and has close access to ports especially on the isle of Sheppey, Whitstable, port of London and East Anglia come to that.
 
H

highfigh

Seriously, I have no life.
All of the reference range speakers are totally manufactured at Tovil. I think they could quite easily gear up to produce for the US market. That is a large site and is just three or four miles from where one of my brothers lives. It is on the banks of the River Medway, and has close access to ports especially on the isle of Sheppey, Whitstable, port of London and East Anglia come to that.
I'm sure the manufacture of the upper models was part of the conditions of the sale of KEF, but the lower priced models will be hit hard just because 104% tariff, if we assume it's double the old number, could cause a price that makes them less competitive.

I'll get more info when I talk to my friend.
 
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TLS Guy

TLS Guy

Audioholic Jedi
In the for what it's worth department, Trump says tariffs on China are now 145%.

>>>Goods coming from China to the US are subject to at least a 145% tariff, the White House clarified today. Meanwhile, China’s own retaliatory tariffs of 84% on US goods has taken effect.<<<


And, of course, stocks are now crashing again.
Trump, his family and coconspirators need to be arrested pronto for insider trading. There is info circulating that Elon Musk made 20 billion yesterday on his deals.
Both parties in Congress now need to act fast and put a stop to this.
If you elect a criminal to high office of course you should expect criminality in said high office. This is not rocket science!
 
TLS Guy

TLS Guy

Audioholic Jedi
I'm sure the manufacture of the upper models was part of the conditions of the sale of KEF, but the lower priced models will be hit hard just because 104% tariff, if we assume it's double the old number, could cause a price that makes them less competitive.

I'll get more info when I talk to my friend.
I remember when Raymond Cooke bought the site of the Kent Engineering Factory at Tovil in 1961. It was a large bombed out steel works. Kent had a lot of active coal mines until the 1980s. So they have plenty of space. They are only 15 miles from the Medway Towns, which is a huge urban conurbation along the Medway. It has a long history of skilled manufacture. They built nuclear subs and large naval surface surface vessels until Chatham dockyard closed. There was also ship building at Rochester and Strood. They have Eliot automation and used to build heavy plant at the Winget and Blawknox plants. They were also the site of CAV diesel injector pumps which were on many American diesel engines. They also built Sea planes at Rochester.
So there is a long history of skilled labor in the area and there still is significant manufacturing going on. I don't think there will be any problem increasing the skilled labor force at Tovil, not at all. I am certain they can build to as high and probably a higher standard at Tovil than China.
 
Mikado463

Mikado463

Audioholic Spartan
Depending on the spread between the wholesale price and the msrp, the bloodshed may not be as bad as one thinks. I know, wishful thinking ............ :oops:
 
TLS Guy

TLS Guy

Audioholic Jedi
Depending on the spread between the wholesale price and the msrp, the bloodshed may not be as bad as one thinks. I know, wishful thinking ............ :oops:
It will be worse. Goods have to have the tariffs collected before they can leave the US port of entry. There are not nearly enough agents or customs brokers to inspect the manifests and collect the tax.
The importer will have to pay the storage.

What experts are saying is that it actually cuts off trade from China. Apparently it has already stopped. So there will be zero goods imported from China, at least legally, for the foreseeable future.

This is also would totally gum up shipping and the ports if done at scale.

So ships would be off anchor for days, waiting for goods to clear and make space.

Effectively these tariffs amount to an embargo. But like all criminals, Trump is very, very stupid, and can't think a situation or policy through from start to finish.

So firms like Perlisten will have two choices.

1). Close up shop.

2). Change designs quickly. Cabinets and crossovers could easily be made here and quickly. There is not much of a high quality driver industry in the US, but there is across Europe, in Scandinavia, the UK, France, Germany and Italy. Those would only face a 10% tariff at present.

Although Perlisten speakers seem to have excellent SQ, and be superbly crafted, they are in essence brute force designs at the usual high cost.

I actually think that with more intelligent design they could do as well or better at less cost. If they want to survive they need a time out and reboot.
 

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