To Our Valued Clients,
On September 17th, the U.S. government announced a 10% tariff would be applied to over $200B of Chinese imports, effective September 24, 2018. Those tariffs are now in effect, and they affect many products that we sell. Please see the announcement and tariff list posted online at ustr.gov by the U.S. Trade Representative for more information on this policy and its scope.
Many of our manufacturer partners have updated their prices on hardware products in the U.S. with price increases, effective from the date of this memorandum forward. While most manufacturers affected by this tariff have published price increase notices ranging from 5%-10%, some product categories will incur increases that are higher. Any existing quotes that Derive has presented to you will be honored through October 5th, 2018 after which affected products quoted will be updated accordingly.
The U.S. government has also announced it will raise the tariff further to 25% on January 1, 2019, which in turn may cause additional price increases. We are committed to communicating changes in pricing to our customers as early as possible and will be in touch with as we move forward. Derive remains closely engaged with our manufacturer partners and continues to monitor the situation closely and we are hopeful that the U.S. and China will find a negotiated solution that benefits both countries.
If you have questions about this policy, please contact your Derive sales representative, or call our general information numbers to be directed to a specialist at (212) 363-1111 [New York], (201) 299-9132 [New Jersey] or TOLL-FREE at (844) 363-1110. You may also reach us by completing the FORM ON THIS PAGE (please include "U.S. Tariffs on China Imports" in the form's comments).