re: So, about that tariff: Just got hit with $11K adder notice

quote:

---

- We did place an order for 12 machines, but these are for 12 different customers. They are not rental units, but gold star for whoever raised the issue. You do have some idea how this works. These are not impulse buys. It takes weeks to get a deal done sometimes. Going to them now and telling them the price is now 11K more goes over like a turd in a punch bowl, and can start the whole process over. Legally, I am not on the hook for anything right now, but I just spent 2 hours arguing with someone (not the manufacturer) over the difference between what you CAN do and what you SHOULD do.

---

This is what isn't making any sense.

You're a DEALER who supplies a product you stamp your company name on and then afford customer service for that product.

You are selling this finished product to an end-customer for approximately $440,000.

You have to purchase this product from a manufacturer.

This manufacturer is currently paying around $2,400 per ton for the steel needed to make one of these machines.

This manufacturer is incorporating an $11,000 surcharge into this to account for what he apparently believes the tariff will do to increase the cost of steel.

You said each machine uses around 50,000 lbs of steel. That's approximately $60,000 in material costs. $71,000 if we include the $11,000 surcharge.


My question is, how much is the manufacturer selling the unit to you for?

And then the biggest question is, why in the blue frick are YOU absorbing the $11,000 instead of the customer you're selling it to?


I've never heard of a retail dealer working deals like this. It makes zero sense.

So you're letting the manufacturer charge you X+$11,000 for a product, and you're turning around and selling that product for just X+10% markup?

That's retarded.