Just got word that our incoming shipments from China are being slapped with a 25% tariff. We'll have to pass some of that on to the customer if we can't get relief.
Any FC's on this incoming shipment? ;-)Just got word that our incoming shipments from China are being slapped with a 25% tariff. We'll have to pass some of that on to the customer if we can't get relief.
Bad. This will also hit the FC-6 and FC-12.
Yep, as amazing as the III is, I don't think they'll have any problem selling them at whatever the price will be. I was surprised that the price was as low as it was to begin with. To me, that just shows that Fractal ain't in it just for the buck.I think most FAS users, particularly those who bought the III, represent a fairly ineleastic demand curve with regards to price.
In all honesty I would of bought the III if it was $3000 as soon as I did with it being $2499, and I think most people are the same. I mean heck, look at all the people who paid $3500 just to skip the waiting list.
If they have to raise the price say $100, I can’t see more than a few people changing their mind on buying. If your willing to spend $2500 your probably okay with spending $2600, right ? If $100 was a significant difference your probably not in a position to be spending $2499.
I think it’s a bad situation overall as FAS isnt making more profit, and customers are still likely going to have to pay more. I’d rather anything extra I pay go to Cliff getting a new boat than to some absurd govt trade war.
Axe III is still the best product on the market though, regardless of price. It will continue to sell quite well I’m sure. Plus side on the used market is sellers maybe be able to get what was list price if the new retail price is higher. Not that anyone would ever consider selling one though right ? Lol
I think most FAS users, particularly those who bought the III, represent a fairly ineleastic demand curve with regards to price.
In all honesty I would of bought the III if it was $3000 as soon as I did with it being $2499, and I think most people are the same. I mean heck, look at all the people who paid $3500 just to skip the waiting list.
If they have to raise the price say $100, I can’t see more than a few people changing their mind on buying. If your willing to spend $2500 your probably okay with spending $2600, right ? If $100 was a significant difference your probably not in a position to be spending $2499.
I think it’s a bad situation overall as FAS isnt making more profit, and customers are still likely going to have to pay more. I’d rather anything extra I pay go to Cliff getting a new boat than to some absurd govt trade war.
Axe III is still the best product on the market though, regardless of price. It will continue to sell quite well I’m sure. Plus side on the used market is sellers maybe be able to get what was list price if the new retail price is higher. Not that anyone would ever consider selling one though right ? Lol
No, it'll make them more expensive to build in China and import. COMPARATIVELY cheaper, yes - but that's not the same as objectively cheaper.will that make it cheaper to build them in the USA again?
No, it'll make them more expensive to build in China and import. COMPARATIVELY cheaper, yes - but that's not the same as objectively cheaper.
The part I've marked bold is the perfect encapsulation of the economics of tariffs. However in Trump's case he's made it clear they're a means not an ends, and whispers are that the Chinese Govt are going to give up the bluff soon... so we'll see how long it lasts. I would put money on it being a temporary state of trouble in order to secure a better long-term arrangement for trade.I would guess that since so many of the parts would still be MIC, the result is the cost of parts would still become higher, so even with US labor and assembly, the overall materials cost would increase, which when combined with the cost of skilled US labor, would result in a net cost still higher than mostly foreign assembly. Kind of a no win situation as it stands
Guess I will be the one to ask. 25% on Fractals cost per unit or 25% tacked on to the retail selling price your going to charge customers.