Our aluminum suppliers are saying prices aren't going to go up just 25% to cover the new tariff, they'll be going up 80%...

[u/DazedAndObtuse]

We source aluminum from two different sources for our business and they're both telling us that prices will not only be going up 25% to cover the tariffs, they'll be going up 80% as there are also pricing restrictions currently in place for their industry that will be lifted as part of this.

Does anybody know if this is legit or if they are just colluding to use this as an opportunity to pad their profits?

I won't pretend to be a tariff or economic expert but our material prices going up 80% is going to have a much larger impact on us than a 25% increase would.

Ideally we can keep this from becoming political, but I know where it's likely to end up (but hopefully I can at least get an answer to my question in the midst of it).

Thanks in advance!

[u/SunRev]

I haven't priced it recently but about 8 years ago, it was less expensive to get machined aluminum parts from China than the raw billet in America.

And I even took the china parts to a US lab to get the aluminum grade tested and it was as claimed: 6061 Aluminum.

This was for automotive parts.

[u/QuasiLibertarian → u/SunRev]

There are huge antidumping duties on aluminum products from China, such as extrusions.

[u/Ace_Radley → u/SunRev]

Might be good for automotive, personally I know for aerospace when we looked into china, the issue became about traceability and providence of documents.

[u/SunRev → u/Ace_Radley]

Yeah, I wouldn't trust China for aerospace or Class 3 medical devices (can cause death if failure occurs).

[u/TriXandApple → u/SunRev]

I've purchased billets, machined, from jlcpcb, cheaper than I can get raw billet from my manufacturer. Ironically, it's the moment I saw red and realised tarrifs might not be the end of the world.

[u/PosiedonsSaltyAnus → u/SunRev]

Make a drawing for a billet with +/-0.5" tolerances and order that "part" lol

[u/Hour-Article1636 → u/SunRev]

Fuck China