Anybody know how tariffs work on model RR stuff imported into the US, especially from China? Do the importers pay the US gov’t the required percentage on the price they pay to the Chinese manufacturer and then build some or all of that into the price they charge us customers — or is the tariff based on the announced retail price of the item? Is the percentage on Chinese-made train stuff 54%? What if the stuff is shipped to Canada instead of the US and is then shipped by the Canadian importer to US dealers and customers? Does the Canadian tariff apply? I have three items on order, all made in China; two ($80 and $190) on order from US dealers; one ($470) maybe coming through Canada.
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Tariffs, on anything, are not based on retail prices. They are based on the price the US company pays the Chinese company for the product.
Do you pay retail for your model trains? No one knows what price a product will actually sell for.
There is already a lengthy discussion about the tariffs and the possible cost effects elsewhere on this forum. Can’t say I really know how to link you to it. Maybe this works:
https://forum.trains.com/t/current-tariffs-and-your-model-railroad/411659/72
But in simple terms, it will be up to the manufacturers and dealers to determine how much they will need to raise selling prices to cover this added expense.
Since you and I can only guess at what their “actual” cost is, we can only guess what the increases might be.
I suspect that all the tariffs are more complex than what we hear in the news. But the effect on selling prices could be as low as 7% or as high as 35%
If the manufacturers and dealers can afford to, they would be smart to just “pass thru” the tariff with no markup. That would keep price increases below 10%.
When you buy retail directly from Canada, that is a different set of rules that I do not know all the details of. But if that order is with Rapido, you might want to find a press release from them that explains their plans to keep US prices as low as possible.
Sheldon
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Well that’s what happens when we let our big companies go over seas! Oh my! Then we have to pay double if not triple! That’s why I stay with the old school stuff!!
Thanks, Sheldon. Very helpful reply. For the most part, I guess we’ll all just have to hide and watch. I sure wouldn’t want to be in the import business these days. What a headache!
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Fwiw, miniprints is NOT charging to do business with USA customers, and Fast tracks has on their page "orders under 800 dollars not affected by tariffs "
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I just had to lock the other thread that’s about model railroad tariffs due to items being flagged. We have no problem discussing this issue here, but PLEASE do not make political comments. As per our forum rules, we do not allow certain topics like political views.
Rene
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