As has been highly publicized, the US government has announced a 25% tariff on approximately $34 billion worth of Chinese import items. The list of items scheduled to be affected is more than 800 product categories, which includes multiple bearing and power transmission products. Some of what we currently supply to you may be impacted by this action.
For background information on the situation and a full list of affected categories, click here.
The scheduled tariff will go into effect on July 6, 2018 if there is no resolution before that date. Due to this government mandate, AST will have no other option but to increase prices on all existing and new purchase orders by up to 25% for affected product under the provision of Force Majeure. Also, current quotes for items coming from China cannot be honored until we see if the tariffs actually go into effect.
We will do our best to keep you informed and mitigate the effect of the government action. In the meantime, if you have any additional questions concerning the tariff, please contact your AST salesperson.