How much will tariffs affect this hobby?

[soze]

Looks like Spektrum products will be raised in the near future due to tariffs on Horizon.

https://www.horizonhobby.com/pdf/601...ss-Release.pdf

I wonder what other brands will be affected.

[Sneetches]

I have a hard time imagining anything less than the whole RC hobby being affected, and I imagine worst off will be the LHS that can't absorb the costs like a bigger business like Horizon could. Literally all parts we use are affected like batteries, motors, ESCs, receivers, etc.

[mikemcE]

If it’s made in China, it will cost more. I hope that will spike a return to US mainland manufacturing. Source all the chi com parts you want, assemble it here, Hey wait a sec, ProModeler and Holmes already do that !!!! See how that’s gonna work? I will pay the few bits more.


Hang up and Drive

[scithera]

Futaba already raised their prices a few weeks ago stating it was due to tariffs. I'm sure others will follow suit soon.

[Ditchrat]

yep my can of coke went up a whopping $.01


But my paycheck went up about $120.00 from the reduced taxes.


I really doubt it will even remotely effect me. Besides that tariffs don't effect ebay.

[mikemcE]

Originally Posted by Ditchrat

I really doubt it will even remotely effect me. Besides that tariffs don't effect ebay.

Half the vendors on eBay are from China .
If it comes from China, it’s gonna cost more. Period, simple, no excuses.
Now all the companies that routinely export manufacturing will re analyze and might shift assembly or mandate back here to remain competitive.


Hang up and Drive

[scithera]

Originally Posted by mikemcE

Half the vendors on eBay are from China .
If it comes from China, it’s gonna cost more. Period, simple, no excuses.
Now all the companies that routinely export manufacturing will re analyze and might shift assembly or mandate back here to remain competitive.


Hang up and Drive

Not necessarily true. For example, you can spend $699 for a Futaba 7PX from a US retailer or buy one for $599 from RCmart right now. Will it stay that way or will RCmart and other international retailers increase prices is still to be seen though. They may do so to increase profits and use the tariffs as an excuse although it doesn't apply to them.

[vonclod]

Originally Posted by scithera

Not necessarily true. For example, you can spend $699 for a Futaba 7PX from a US retailer or buy one for $599 from RCmart right now. Will it stay that way or will RCmart and other international retailers increase prices is still to be seen though. They may do so to increase profits and use the tariffs as an excuse although it doesn't apply to them.

When your trinket from RCmart arrives at customs, I imagine there will be duty/tariffs applied at that point..just a guess.

[scithera]

Originally Posted by vonclod

When your trinket from RCmart arrives at customs, I imagine there will be duty/tariffs applied at that point..just a guess.

Nope. Actually received it a couple weeks ago. May be different if you're in Canada though as they seem to be a bit more strict with customs duties.

[mikemcE]

Originally Posted by scithera

Nope. Actually received it a couple weeks ago. May be different if you're in Canada though as they seem to be a bit more strict with customs duties.

Read your shipper, it’s the buyers responsibility to pay all fees and tariffs . On small shipments that’s rarely enforced , subject to change.
Also a couple of weeks back, tariffs were just enforced ..... time


Hang up and Drive

[scithera]

Originally Posted by mikemcE

Read your shipper, it’s the buyers responsibility to pay all fees and tariffs . On small shipments that’s rarely enforced , subject to change.
Also a couple of weeks back, tariffs were just enforced ..... time


Hang up and Drive

I literally got the radio 1.5 weeks ago. . .so the tariffs were already in place. And as you state, they rarely enforce on small shipments. RCmart listed the value as only $50 and I seriously doubt a customs agent is going to know the actual value.



My point is that they are not capturing everything and rarely do. They are focused more on the large shipping containers. Can you get hit with a tariff/import duty, sure. But it's not a flat 25% for everything.



Let's assume it was. That 7PX came with 2 receivers versus the ones sold in the US that come with 1. Even if I had to pay 25% duty on the $599 price, that would be $750. That extra receiver sells for about $90 so you're still ahead by $40. Plus, I bought it when Ebay was running their 15% coupon which means I paid only $510 for the radio.


Is there a risk, yes, so it's up to each person to evaluate how much risk they want to assume.

[jrayers]

I received this email (partial screenshot) from Tower today:

[vonclod]

Originally Posted by scithera

Nope. Actually received it a couple weeks ago. May be different if you're in Canada though as they seem to be a bit more strict with customs duties.

Up here it's hit or miss, sometimes get dinged..more often if the value is $200 and up.
I suspect you guys will be feeling the pinch soon..again, just a guess.

[scithera]

Originally Posted by vonclod

Up here it's hit or miss, sometimes get dinged..more often if the value is $200 and up.
I suspect you guys will be feeling the pinch soon..again, just a guess.

Yeah. . no one knows. That's why I jumped on the radio as I was debating between the 7PX and M17. But with the M17 having some issues early on, I went with the 7PX.



I made the mistake of not buying the Tamiya kits I wanted prior to the MAP pricing policy. Wasn't going to make the same mistake with the tariffs and radio.

[Rekreant]

Well thankfully Castle ESCs are made in Kansas, and Holmes motors are assembled in Missouri. I say stock up on transmitters and receivers, but think of it this way; a 10$ receiver with a 20% tariff is 12$. Other than that, I see this breathing new life into the second hand market.

[Rekreant]

Also Amazon still gets a lot of tax subsidies so there is that market as well.

[JatoTheRipper]

Tariffs may increase pricing a little, but look what Tamiya did before the tariffs.

The RC companies are going to cry "but tariffs" as their excuse for raising prices drastically. Really that's just a nice marketing twist.

[Greatscott]

Originally Posted by JatoTheRipper

Tariffs may increase pricing a little, but look what Tamiya did before the tariffs.

The RC companies are going to cry "but tariffs" as their excuse for raising prices drastically. Really that's just a nice marketing twist.

Even if the price bump is due to tariffs, when the tariffs are lifted the prices will likely not go back down.

[smog]

Originally Posted by vonclod

When your trinket from RCmart arrives at customs, I imagine there will be duty/tariffs applied at that point..just a guess.

It used to be like that here. Tariffs, or duty, as we call it is Almost unheard of. We generally just get charged the tax on the item that we would have have paid if it were bought here. Exceptionally large and select items are still regularly charged duty(tariff)

Originally Posted by scithera

Nope. Actually received it a couple weeks ago. May be different if you're in Canada though as they seem to be a bit more strict with customs duties.

Again, we basically just have to pay sales taxes. Our Feds want their cut

[smog]

Originally Posted by JatoTheRipper

Tariffs may increase pricing a little, but look what Tamiya did before the tariffs.

The RC companies are going to cry "but tariffs" as their excuse for raising prices drastically. Really that's just a nice marketing twist.

Reminds of how gasoline prices fluctuate. It seems to reflect human fear and greed more than economics.