Tariffs & Model Airliner Prices

[UALFan1994]

So far distributors have said that they will absorb a small part of the bill and pass the same amount to the retailers. There is no way they can handle like that with bigger tariffs.

I do buy my models directly with no middle man, so I have to handle all my imports and pay UPS a lot of import duties and I do sell directly to customers.

If I get my items from Gemini, I will have to pay the tariff just like you guys because the US government is not exempting this fee on exports of Chinese goods. Most countries do exempt the tariff and sales tax when exporting them.

Tariffs didnt kill the hobby here in Brazil buy made models so expensive that demand is very low compared to US. Salaries are way lower here too.

Someone said that the hobby as whole will suffer because of US demand over models going down. I don't think that this is entirely true. There is still a huge market in China, which will be the focus of Chinese brands. But brands that do a lot of American airlines will suffer a lot. We will see if the US will back down, I dont think China will back down. But that is my opinion.

Seems to explain why NG’s latest hints are all B regs again minus the long wait Delta 100 year liveries

 

[Phantom]

The US is a very big market but so China is. Some people might say that the Chinese have less money than US. But they usually pay less on models than everyone because they are in the same place the models are made.

The tariffs will damage everywhere. But some countries will benefit from it. If China keeps rates on soybeans, Brazil will be able to sell the output US normally sells to China. So it a chess game after all.

Yes, that's why I think that at least some brands may survive if they manage to grow in other markets (outside US and domestically)

However I agree with what has been said above. Let's wait what and how tariffs really are going to be after all this saber-rattling.

 

[DTcustoms]

I don't think the US is the biggest market, Chinese and Southeast/East Asia are. The US only has the biggest media coverage and presence for the hobby

 

[pedrominiaturas]

I don't think the US is the biggest market, Chinese and Southeast/East Asia are. The US only has the biggest media coverage and presence for the hobby

For Gemini, for sure US is the biggest market. Herpa has Europe as their biggest market. However, all of the Chinese brands have Asia as their biggest market. And there a lot of brands in China, so I agree on your statement.

 

[Jazajia]

Okay, so just got some stock in from China, I was expecting this shipment to be held by customs as the freight costs were “normal.” But no, they showed up at my doorstep in record time and regular costs.

I give up trying to figure out the tariff situation.

 

[pedrominiaturas]

Okay, so just got some stock in from China, I was expecting this shipment to be held by customs as the freight costs were “normal.” But no, they showed up at my doorstep in record time and regular costs.

I give up trying to figure out the tariff situation.

Who was the carrier?

 

[Jazajia]

Who was the carrier?

FedEx

 

[vsr]

Okay, so just got some stock in from China, I was expecting this shipment to be held by customs as the freight costs were “normal.” But no, they showed up at my doorstep in record time and regular costs.

I give up trying to figure out the tariff situation.

I read somewhere that the tariff collection is completely disorganized, so it’s possible your shipment slipped through. Also, if you used De Minimis, that change doesn’t kick in until May 2.

 

[Jazajia]

I read somewhere that the tariff collection is completely disorganized, so it’s possible your shipment slipped through. Also, if you used De Minimis, that change doesn’t kick in until May 2.

This shipment should not be covered by the de minimis exemption. I have seen other retailers also saying that shipments coming directly from China are arriving as usual. It is only the distributors who are charging a tariff surcharge.

 

[squatchys_diecast_hangar]

This shipment should not be covered by the de minimis exemption. I have seen other retailers also saying that shipments coming directly from China are arriving as usual. It is only the distributors who are charging a tariff surcharge.

We will get NG next week as it is inbound. Be curious to see if it's caught up or not. I suspect next month, once everyone has been given direction(couriers) it might hit.

 

[pedrominiaturas]

Just received an email from Gemini stating the new release will be delayed until there is a end of the trade war between US and China. This impact all sellers that buy models from Gemini Las Vegas warehouse. When models are picked up in China, there is no delay.

 

[Aircrafter93]

Just saw this from one of my go-to shops in China, Future Wings. This is a real shame, and not really sure how this is going to play out for other retailers and if we will be able to even get models shipped to us in the US. I understand the idea behind tarrifs, but for the love of god, these are model planes and I don’t see how doing this will drive US production. Punishing the American consumer because corporations found the lowest bidder in China for production is not our fault, and it certainly is not China’s. It’s the fault of our greedy corporations.

 

[MIAv8Diecast]

Just saw this from one of my go-to shops in China, Future Wings. This is a real shame, and not really sure how this is going to play out for other retailers and if we will be able to even get models shipped to us in the US. I understand the idea behind tarrifs, but for the love of god, these are model planes and I don’t see how doing this will drive US production. Punishing the American consumer because corporations found the lowest bidder in China for production is not our fault, and it certainly is not China’s. It’s the fault of our greedy corporations.

Unfortunately, this was a predictable outcome that didn't need to happen. It's a shame but a good time to look at older releases that people may have not been able to prioritize.

 

[Phantom]

Punishing the American consumer because corporations found the lowest bidder in China for production is not our fault, and it certainly is not China’s. It’s the fault of our greedy corporations.

Is it really? Or is it the consumer in the end who's looking for the cheapest product?
What's the profit margins in this business?