As May begins and Americans get set to cut their lawns, edge their garden beds and do other yardwork, Stanley Black & Decker announced it is raising its prices. The maker of well-known tools and products such as Craftsman and DeWalt said the higher prices are a result of tariffs.
When will price increases go into effect?
The company said customers can expect to see another price increase when they go shopping this summer. It initially hiked prices in April.
Investopedia reported Stanley Black & Decker is also shifting its supply chain in response to President Donald Trump’s tariffs.
“In light of the current environment, we are accelerating adjustments to our supply chain and exploring all options as we seek to minimize the impact of tariffs on end users while balancing the need to protect our business and our ability to innovate for years to come,” CEO Donald Allan said.
How is shipping affected by the tariffs?
The Wall Street Journal reported that the volume of containers loaded with Chinese goods headed for the United States continues to decrease as tariffs take a toll on demand.
Bookings for the world’s five biggest containership operators for trans-Pacific shipments have fallen by one-third or more, according to the Wall Street Journal. Those shipments are also smaller in terms of number of containers.
Port of Los Angeles Executive Director Gene Seroka told the Journal he expected container arrivals to be down by about 30% at the beginning of May. So far, Seroka said, 17 sailings scheduled for May were canceled.
The report said the United States imported around 11 million containers from China last year, or about 38% of all imports. Tariffs have so far reduced that volume by about 300,000 boxes, shipping executives said. They said they hope the Trump administration and China can negotiate a deal that would lead to demand going back up.
Trump levied tariffs of 145% on China in April. As a result, Chinese manufacturers are reportedly shifting production to factories in Vietnam, Cambodia and Indonesia.
The founder and CEO of San Francisco company Flexport, which assists companies in shipping around the world, said after Trump announced the tariffs in early April, ocean container bookings from China to the United States dropped 60% and stayed there.
