Yup, it is the dollar. Thanks Wilson (worst president in US history). All these companies are blaming tariffs which have not even gone into effect for nearly all the countries the US imports steel and aluminum from.
Originally Posted by wallyuwl
All these companies are blaming tariffs which have not even gone into effect for nearly all the countries the US imports steel and aluminum from.
Why is only Wix raising their prices? Don't other filter manufacturers also have to deal with tariffs and rising cost of steel?
As an aside, an executive in our company reported that tariffs are affecting the product we make in China for sale in the US. Our buyers will not accept the price increases. They are telling us to make it in countries where there are no tariffs to import into the US.
These tariffs are China-specific. There are other countries that can make product cheaply for the US.
Originally Posted by Kestas
Why is only Wix raising their prices? Don't other filter manufacturers also have to deal with tariffs and rising cost of steel?
I would imagine just as it is with oil and base stock, steel is bought in contract bulk quantity lots and the pricing bubble increase does not roll at the same time with every oil filter manufacture.
Originally Posted by Kestas
They are telling us to make it in countries where there are no tariffs to import into the US.
These tariffs are China-specific. There are other countries that can make product cheaply for the US.
It's very possible that it's still cheaper to include the tariff costs into the product and the raw materials + labor + freight may still be cheaper to remain manufacturing in China. Companies look at all of these scenarios.
3.4% ? That will hardly be a deal breaker for something you buy maybe twice a year. You could always buy a cheap quick lube quality filter to protect your engine so you would have more money to buy a cheeseburger. Amazing how 3.4% matters
Looks like Mann & Hummel is trying to recoup their investment. Wix was always more expensive anyway, this will make the price differential even higher!