Tariffs hitting Leica May 1st

[Bugger]

Just a non-political heads up to buy your Euro stuff now. Any guesses what the % increases are gonna be?

 

[TandKHunting]

I'm still waiting for a company to make glass in the United States. They could compete in pricing with the higher end stuff. Someone out there needs to get motivated. I want it.

 

[Poser]

Black Diamond announced similar price increases:

[td]

[td] To Our Black Diamond Community, Since day one, Black Diamond has been built on a foundation of honesty, transparency, and dedication to our community. Today, we want to share an important update regarding upcoming tariff-related price increases—and reaffirm our commitment to deliver uncompromising quality. Beginning May 5th, prices on most of our products will increase 10–25% due to the recent wave of global tariffs introduced by the Trump Administration. These tariffs include a base tariff of 10% on all imports, 25% on steel and aluminum products, and steep surcharges on products from China. These tariffs have dramatically increased the cost of producing our gear - by more than double in some cases. Every outdoor brand operating on a global supply chain is experiencing similar issues. We’ve absorbed as much of this impact as we can, but to continue delivering the high-performance equipment you count on, a price adjustment has become necessary. This isn’t a decision we’ve taken lightly. We build technical, protective, and often life-saving equipment. Our global supply chain is built on long-standing, trusted partnerships, operating 41 factories in 17 countries in a tightly managed network built around safety, reliability, and performance - things we aren’t willing to compromise to chase cheaper suppliers. We’re navigating an unprecedented and uncertain global economic environment, and like many of you, we’re doing our best to adapt. Our goal is to be transparent, and we’re sharing this now to allow for some period of transition at current price levels. We’ll continue to communicate openly, act responsibly, and stay true to what matters most: designing world-class gear that earns your trust every time you head into the mountains. These are the actions we’re taking today. Additional country-specific “reciprocal tariffs” have been paused for now, subject to further trade negotiations. Depending on how these additional tariffs unfold in the coming weeks, further adjustments may unfortunately be necessary. As always, we’ll keep you informed every step of the way. We’re deeply grateful for your continued support and for being part of the Black Diamond community. See you out there,​ ​ ​

[td] Your fellow climbers, skiers, and adventurers at Black Diamond Equipment ​ ​

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[StuckInTheEast]

Damn it....guess I gotta buy the geovids sooner than I planned.
They are about as much as a $hitbox beater car now...wonder if I should finance them and invest my cash vs buying outright...decisions decisions
But seriously, that's a good heads up. Appreciate the info.

 

[Bugger]

Damn it....guess I gotta buy the geovids sooner than I planned.
They are about as much as a $hitbox beater car now...wonder if I should finance them and invest my cash vs buying outright...decisions decisions
But seriously, that's a good heads up. Appreciate the info.

No prob, used geovids usually go for reasonable prices in the classifieds here. I’ve been tempted a few times.

 

[IDVortex]

I'll be curious to see how much of a percent the consumer is going on be seeing on products.

 

[roadrunner]

I'm still waiting for a company to make glass in the United States. They could compete in pricing with the higher end stuff. Someone out there needs to get motivated. I want it.

They couldn't compete. Americans like a good salary...

 

[Steve O]

interesting. I thought the E.U. had proposed zero for zero tariffs.

 

[IDVortex]

I'm still waiting for a company to make glass in the United States. They could compete in pricing with the higher end stuff. Someone out there needs to get motivated. I want it.

But wouldn't they still rely on like Japanese glass? Isn't that technically the issue is any good glass isn't from the US?

 

[HairyScandinavian]

interesting. I thought the E.U. had proposed zero for zero tariffs.

"Shop now to lock in current pricing" is pretty universal in all these company's emails they're sending out. Seems like a big mattress sale with the warehouse always going out of business, trying to take advantage of the panic buying or at least leverage it. Obviously things may go up but there sure are a lot of Buy Now emails trying to sell current inventory.

 

[TandKHunting]

But wouldn't they still rely on like Japanese glass? Isn't that technically the issue is any good glass isn't from the US?

I'm not sure to be honest, but I have heard that argument. I do know Leupold does that with their scopes the last I checked. Not sure if it's a quality thing or there just isn't a US based manufacturer for the specific glass they need for optics.

 

[TandKHunting]

They couldn't compete. Americans like a good salary...

Well, I wouldn't say they couldn't compete. There are several rifle and tripod companies that machine and assemble their own products in the USA and do well. Leupold machines and assembles most of their scopes here using Japanese glass.

 

[z987k]

They couldn't compete. Americans like a good salary...

At the high end they could. I think all the German/Austrian companies use Schott for blanks and those are made in Germany. Swaro is mostly assembled in Austria, but they have a factory here as well.
If you think the Germans work for nothing, I'd invite you to go visit a German factory and talk to them about their wages and time off. American's work for nothing and no quality of life in comparison.

Also the markup on these Chinese scopes is insane. If a company was willing to do it on lower margins, they'd have no issue putting out the absolute garbage people gobble up from China.

 

[IDVortex]

So Americans want a high wage, but Americans also have no value in quailty. We only care about quantity and money.

Americans also chase the dollar, and not learn how to make money, but to chase it.

 

[TandKHunting]

So Americans want a high wage, but Americans also have no value in quailty. We only care about quantity and money.

Americans also chase the dollar, and not learn how to make money, but to chase it.

All of my employees care about the quality of product they put out. I think most folks in manufacturing jobs in the USA probably care about the products they help bring to life.

The government does a lot of harmful things to the work force though. I have had single mother's work for me that were rock stars. But, they can't make over a certain amount without fear of losing the government assistance they need.

Basically punishing the working class, while shipping billions off to foreign countries. It's pretty insane.

 

[roadrunner]

At the high end they could. I think all the German/Austrian companies use Schott for blanks and those are made in Germany. Swaro is mostly assembled in Austria, but they have a factory here as well.
If you think the Germans work for nothing, I'd invite you to go visit a German factory and talk to them about their wages and time off. American's work for nothing and no quality of life in comparison.

Also the markup on these Chinese scopes is insane. If a company was willing to do it on lower margins, they'd have no issue putting out the absolute garbage people gobble up from China.

Never said they work for free...

No matter how bad you don't want it to be, the price of labor is high in the USA.

 

[mostlybirch]

If tariffs work then this will generate a homegrown optics industry in the US that is comparable in price to Europeans/Japanese. Or we just pay 20% on top to the government for more Leica.

 

[z987k]

Never said they work for free...

No matter how bad you don't want it to be, the price of labor is high in the USA.

I didn't say it wasn't. But it's not even close to as high as German labor.
But it doesn't matter, this isn't going to move manufacturing that requires a massive capitol expenditure to the US for short term economics.

 

[z987k]

If tariffs work then this will generate a homegrown optics industry in the US that is comparable in price to Europeans/Japanese. Or we just pay 20% on top to the government for more Leica.

If people actually though this would be long term, that would happen, but literally no one thinks that. At most it'll be ~3.5 years.
The capitol expenditure to do that has to look at a much longer term than presidential cycles. And what capitol absolutely abhors is instability. This is the definition of instability. If we start having wildly different economic policies every 4 to 8 years we'll eventually get capitol flight to safer places, unless no safer places exist, but I'd argue at the moment they do.

 

[roadrunner]

Most glass manufacturers have another market they're in to help cost share. Zeiss, for instance, is also in eyewear.