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Tariffs on Promotional Products. How will it affect you and your business.

Promotional Product Tariffs

Tariffs on Promotional Products. How will it affect you and your business.

As of today, President Trump has ratcheted up the trade war with China. Love it or hate it there are real world consequences for you if you are a business marketer who uses promotional products.

As a supplier to the professional marketer we have a front row as to what wil happen. I think it’s important to get you looped in on this as it will affect business.

First off, what is a Tariff?

Tariff is a TAX on American businesses and consumers on goods imported in from China. It is not a TAX on China, China does NOT pay the tariff, we/you do.

Purpose of a Tariff?

The stated purpose of a tariff is to make it so expensive to import goods from China that the demand and the COST for American made goodsbecomes less expensive than the cost paid for Chinese goods plus the tariff.

This all sounds good but there are some real problems with this idea. Here are a few points to consider.

We don’t make this stuff here!

The U.S.A. is currently having the BEST economy in it’s history. Think of that.
The BEST economy in it’s history!

In 2019 with it’s best economy of all-time underway a quick look at the overall domestic manufacturing sector here shows very few tech hardware companies operating (ear buds, power banks, flash drives, BT speakers etc) , there is also very few garment companies still in existence ( hats, T’s, Sweats etc) and virtually no significant plastic injection companies ( think pop sockets, water bottles, lanyards etc).

It is safe to say that 90% of what you sell will go up in price by 25%!

We will not ever make this stuff here again!

Employment in the USA is also at an all time low. Basically anyone who wants a job can have a job. As an employer getting people to work for low wages is nearly impossible, to keep them for any length of time absolutely unlikely!

The people who make this stuff in China are LOW or Minimum Wage earners!

The jobs that we are trying to take away from China are not jobs American’s want. Jobs in the Chinese manufacturing sector are the McDonald’s jobs of their culture. It is often their first job away from their home town and its a job where they stay for a year, make some money and get some skills and move on.

We own part of 3 of these factories in China and I can tell you its hard to find people to work for low wages in China. The wages required to keep the cost of the made in China product low in price for American consumers is less than 1/3 of what you would need to pay a similar person/position here in the USA.

If we were to make these products here in the USA the average wholesale cost of a promotional product will have to rise 245% to meet USA wage demands.

One solution, allow in lots of immigrants in from the southern border to work super cheap?

Given the current climate in Washington that’s not going to happen nor do I personally think its the right thing to do.

Washington could incentivize American Industry with Tax Breaks to make Pop Sockets (and other swag) here.

Another option would be for Washington to take the billions from the Tariff/Tax and give it to fledgling plastic injection molders here (and other manufacturers) and SUBSIDIZE them to get up and running/offset wages etc. That is unlikely to happen.

What can we do?

I am not a political animal so I cannot go about yelling and screaming at the screen in front of me. It will do no good. You can however contact your congressman or Senator or email the office of the Trade Representative (not sure what good it will do?). Attention: United States Trade Representative Robert E. Lighthizer [email protected]

Can you get around the Tariffs?

You probably can’t, but we can!

As a direct importer we hate having to charge our customer a TAX that does not benefit you in any way. So we have come up with a creative solution that allows us to bring your promotional products in from China without any tariffs or duties being charged to you.

Does this interest you? It should!

Contact us [email protected]

Get These Great Products Factory Direct and Avoid the Tariffs!

Wholesale Coffee cup holder bulk promotional product and trade show swag

Wholesale Coffee cup holder bulk promotional product and trade show swag

Monet wallet and phone stand for bulk wholesale promotional product.

Monet wallet and phone stand for bulk wholesale promotional product.

foldiing moft laptop stand promotional product

foldiing moft laptop stand promotional product

Cheap bulk wholesale popsockets | Get your logo on it for less!| Promotional Popsockets| Trade show 8

Cheap bulk wholesale popsockets | Get your logo on it for less!| Promotional Popsockets| Trade show 8

Wholesale popsockets. Order your popsocket phone stands with your logo for less than you imagined. Get your logo on a popsocket for less.

Wholesale popsockets. Order your popsocket phone stands with your logo for less than you imagined. Get your logo on a popsocket for less.

How To Import Promotional Products

Tips on Importing Promotional Products

Looking to import your promotional products direct from China?

Here are the best inside tips on how to import your businesses promotional products direct from China and save money.

China, the middle kingdom is where virtually all of the world’s promotional products are made. We have been importing promotional swag direct from the factory to our clients for over 20 years.

We thought that it was about time to reveal the insider details about how to import these products direct from the factory bypassing the supplier middleman. Beat the supplier at their own game.

Insider Info

Product Sourcing: Firstly you need to find the product you want to supply to your client. This can involve you going to the Mega Show in Hong Kong in either October or April and walk the show to find a supplier who will both ship smaller quantities and logo them for you. We have done this many times.

Alternatively you can go on Alibaba and make an inquiry there. Alibaba is China’s largest online source for all goods. Alibaba web site.

Once you have made a sourcing inquiry the tough parts come fast and furious.

Communication

Language and Communication Barriers. Part of the challenge in doing both of these sourcing forays is communication. Firstly, China starts work at about 8PM EST each day and ends at about 5AM EST. So talking to them on the phone is always a time challenge plus you probably don’t speak Mandarin? We do.

Meeting their Minimums. After doing this for 20 years one of the biggest challenges we have identified is meeting the factory’s minimum order size. Generally the factory will have an MOQ (Minimum Order Quantity) that will exceed your needs. The way to get around this is to promise you will do more orders in the future and then actually do more orders in the future. One of our toughest challenges has been getting the factories to reduce their MOQ to us so we can start doing business. It is an enormous challenge.

Got the Product. Now What?

Assuming you have gotten the factory to agree to a lower MOQ and arranged for your logo to be done, you approved the virtual proofs etc. You are now ready to ship these logo’d products to your destination stateside (or anywhere else in the world).

Shipping

All goods are usually quoted EXW (ex factory or ex works means the price quoted is at the factory door, you need to pay and arrange for it from that point). This basically means you will need to arrange freight to your door from theirs.

Air or Ocean Freight. Choosing which service is better is always a bit of a gamble and a lot of factors come into play.

What’s your in hands date? Basic rule of thumb, if you have 4 months go ocean, less time go air.

Which is more expensive? Air is almost always but not always more expensive. If your products are small/compact shipping by air can actually be less than consolidated ocean freight.

Which Carrier to use? Personally I like using FedEx but DHL and UPS are both great carriers. If you’re wishing to use FedEx use their FTN service.

The Border

HS Codes? HS Codes are the international code system designed to match your product (ie what is it?) to the import codes of the country you are shipping to. For instance the HS Code for your stainless steel water bottle is HS 7219. The current trade tariffs in each country vary widely from 0% for Canada to 25% for the USA.

Tariffs. Tariffs are the percentage charged for a particular product (HS CODE) to enter a country. They can also be called duties. The Tariffsand Duties are supposed to protect the USA (or other countires) domestic manufacturer of these or similar products. However, they are better described as a TAX. They may protect the domestic manufacturer but more often they simply are a TAX for the import countries government.

The price of your goods plus the Tarriff rate plus the cost of shipping and the cost of brokerage determine your final price.

Customs and Brokerage. C and B is basically the work done on this side of the ocean. A broker is the person or company on this side of the ocean who puts all of your paperwork together and runs it through US Customs. You can of course do this yourself and save the brokerage fee.

EIN. Your EIN ( Business or Enterprise Identity Number) is now required on all incoming product orders. This number must match the number of the final destination. For instance if you are having the factory drop ship to your clients location you will need to provide Customs and the broker the EIN of the destination (ie your clients EIN, not yours).

Final Delivery. Assuming you have gotten the goods through Customs then you can arrange a ground freight carrier (of which there are hundreds) to pick up at the brokers warehouse and truck to your final destination.

Quality Control

Then comes the big reveal. Opening the boxes and crates of your product from China. Make sure your fingers are crossed and that the widgets you ordered are the widgets that were shipped to you. Hopefully they are. : )

Or you could consider the following.

Tradeshow8 is your 1 stop shop (they still haven’t come up with a catchier phrase) and we make it all very very simple.

  1. Email us a picture of what you want and tell us how many you want? Email Sloan
  2. Wait 24 hours for an answer.

Now…Isn’t that a whole lot easier?

Destination Management

Trade Show 8. The Destination Management Solutions Provider.

Trade Show 8 specializes in working directly with DMC’s from around the globe in providing them factory direct solutions for their promotional products and special needs. We deliver direct from the factory, logo’d products and special needs to DM events in over 100 countries.

In the 20 years we have been in business we have worked with dozens of DMC’s on major projects. Our Destination Management product solutions have shipped direct to event locales from Miami to Montenegro, Norway to Patagonia.

trade show 8 destination management supply service

trade show 8 destination management supply service

What is Trade Show 8?

TS8 is a US Based company that owns or has investments in over 10 factories in China. These factories produce over 1000 different trade show and event logo’d promotional products.

We also employ 4 full time sourcing experts. These “Sourcing Sorcerers” work for us to find just about anything.

Over the years we have sourced everything from scale model basketball courts for NBA team season ticket holders, customized tire pressure gages for the Paris- Dakar road rally, a fully custom built tent compound shipped to Dubai to 100’s of other stops and product ideas in between these.

Our corporate logo business has worked directly with The Oscars, Tiffany Jewelers, Facebook, Google and other marquis clients. Reference available upon request.

trade show 8 promotional products ellen socks

trade show 8 promotional products ellen socks

How We Work?

We make it really simple. Call us at 1-888-908-6932 or email [email protected]. That’s the first step.

The Process is Simple.

Tell us what you need or even pitch us a request for an idea with your clients event logo on it. Within about 3 minutes we can tell you if your request is in our wheelhouse. If it is in our wheelhouse (and it usually is) we will source it and provide you an all-inclusive price delivered to your event anywhere on the planet.

trade show 8 promotional products tiffany jewelers

trade show 8 promotional products tiffany jewelers

Logo’d Swag.

We specialize in identifying trends on social media and supplying these products with your event logo on it, delivered direct to the locale.  View our best sellers. Click to read…

trade show 8 promotional products la lakers

trade show 8 promotional products la lakers

Special Needs?

What are Special Needs? This is basically a catchall category that encompasses our ability to source and deliver just about anything and deliver it anywhere. Need a custom tent, basketballs and hoops with a logo on it, a custom made dance floor, dye sublimated t shirts, custom 3 D flash drives with your clients info preloaded! You name it, chances are we can find it and deliver it.

“We source just about anything and deliver it just about anywhere!”

Our Strategic Advantages.

We cut out the middleman. Simply put you are paying too much in this day and age if you are not going factory direct and using a specialized service such as Trade Show 8.

We are experts in our field. Just like you are an expert in Destination Management we are experts at what we do. We thrive on challenges and logistics. It’s what we love to do.

Next Step.

Call us at 1-888-908-6932 or email [email protected].

 

 

 

 

 

 

Folding Drinking Straw is Hot at Trade Shows!

Folding Drinking Straw is Hot at Trade Shows!

As we move into the trade show season we are often asked “what will be the next hot idea that will keep them coming to our trade show both?”

Each year our team of trend experts researches and sources world-wide to find the latest in trending promotional product swag. Stuff that our clients gave get their logo on to hand out at trade shows, b2b marketing events and customer recognition initiatives.

Without a doubt one of our top 2 or 3 products for spring 2019 is the folding final drinking straw.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

It all started on Kickstarter.

Final straw was a huge success on Kickstarter raising over 2 million dollars in its intial offering. This retail ready product sells for $25 which is obviously far too expensive to use as a trade show promotion.

Our bulk wholesale price is far more in line with the promotional product industry with minimum order price including shipping, free 4 color logo and all set up costs clocking in under $5.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

To Get More Information?

To find out how you can get this amazing promotional product, the folding drinking straw, for your next event email us or call

HELP IS HERE!  CALL US @ 1-888-908-6932 -We Ship World-Wide!
Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

 

Tradeshow8. Your source for trend savvy and unique promotional products and tradeshow swag. "Get Your Logo On It For Less!"

Top Trending Promotional Products. Spring 2019.

The Top 3 Trending Promotional Products for 2019!

Promotional products are oftem maligned as being cheap and trashy however promotional products (aka swag) plays an important part in the business world’s overall marketing strategy.

Clocking in at 27 Billion US dollars per year the promotional product business is no slouch in the advertising game.

In fact, promotional swag occupies a critical link in the marketing paradign of business from the smallest mom and pop to the largest international conglomerates.

Bulk promotional popsocket phone stands. Get your logo on it for less.

Bulk promotional popsocket phone stands. Get your logo on it for less.

What is Swag?

Swag is basically any product that has the clients logo on it. This logo’d product is then usually given away to customers and potential customers in an effort to make “impressions on the client of their logo”.

It take 7 impressions to make an impression.

There is an adage in the marketing world that “it takes 7 impression to make an impression!” In short this means that your eyeballs need to see your logo 7 times or more to have it imprinted in their mind.

There is a certain Pavlovian response about branding and response. The big brands do this religouly while smaller brands with a “loosely defined” brand indentity do it less rigidly. This needs to change if you own or market a business and want to succeed.

All brands need to imprint on their customers and their potential customers if the want to survive. The imprinting of their brand makes the customer/potential customer think of them before they think of someone else or some other brand. It is that simple.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

Wholesale bulk logo folding reusable drinking straw. Final straw folding drinking straw for promotional marketing.

The role of Swag.

Swag’s role is simple. It is to give the buyer something inexpensive, that can have their logo on it that the recipient will look at at least 7 times , getting the much vaunted 7 impression to make 1 impression logic.

In the past the best things were items such as pens and paper products. These “evergreen products” are now on the way out of favor due to issues such a new digital lifestyle etc.

What is now hot in promo are products found to be trending at retail and found on sites like Kickstarter.

These new products may seem less functional than in the past promotional product ideas but that is because we do not all think like the new millenial mindset.

The first real product to take the swag world by storm in this new way was the fidget spinner. We sold millions of logo’d fidget spinners over the course of about 9 months and our customers were ecstatic. We were able to give them a treending product with their logo on it that EVERYONE wanted. The 7 imprint/1 impression idea was firmly made.

Fidget Spinners are now dead!

Wholesale imprinted bulk popsocket phone stands. Get your logo on it.

Wholesale imprinted bulk popsocket phone stands. Get your logo on it.

So what is trending now?

Your smartphone is the next battleground for your eyeballs. Popsockets, Nuckees and a whole array of other stands, grips and non-digital phone accessories are hot.

Here are a few ideas……

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

 

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Bulk popsockets for business marketing. Wholesale factory direct promotional products. Get your logo on it for less.

Bulk popsockets for business marketing. Wholesale factory direct promotional products. Get your logo on it for less.

Cheap folding water bottle for promotional product and swag marketing. Factory direct promotional products, get your logo on it for less.

New Promo Ideas for Spring 2019

New Promo Ideas for Spring 2019.

In an effort to stay on point and on trend twice a year we do a new product launch of new and exciting promotional products for the tradeshow and b2b marketing world.

We concentrate on ideas that bring eyeballs to your logo and catch the imagination. Each year we take these ideas to some exotic location to photograph. This year we went to the island of Montserrat.

  1. The POPZ phone grips. Popularized by such ideas as the Popsocket, Nuckee and a whole host of other great ways to get your logo on the clients smartphone.

popz phone stand and pop socket style media grip promotional product

popz phone stand and pop socket style media grip promotional product

2. The folding reusable drinking straw. Save the planet, slurp like a pro.

folding drinking straw tradeshow 8 promotional product

folding drinking straw tradeshow 8 promotional product

3. Folding silicone coffee cup. Get fun, get weird, get eyebals on your logo with a folding coffee cup.

folding coffee cup promotional product tradeshow 8

folding coffee cup promotional product tradeshow 8

4. Folding water bottle. Folding stuff is hot, hot hot. Get your logo on a folding water bottle.

folding water bottle tradeshow8 promotional products

folding water bottle tradeshow8 promotional products

5. Custom Sunglasses. New to our little family the coolest in factory direct logo’d sunglasses.

custom promotional sunglasses tradeshow 8

custom promotional sunglasses tradeshow 8

For more information on prices, availability and samples please email Sloan or call her at 1-888-908-6932

Americas Top 3 promotional products and tradeshow swag.

3 Great Tradeshow Ideas Under 2 Dollars

Tradeshow Giveaways Under $2 Are Hard To Find.

Here’s 3 ideas under 2 Bucks that will make it work.

Tradeshows are a great way to up your brand game but you need a way to engage the customer and to keep your brand front and foremost in their minds.

Its easy to get people to come to your booth if you’re giving away something expensive. For instance if you gave everyone at your booth a leather jacket with your logo on it you would have a line up around the block. You’d also go broke.

So the trick to getting people to come to your booth and to leave your booth with something they remember you by is to give them something with your logo on it that is cheap and cheerful, fun and fabulous, inexpensive and interesting.

Here are 3 great ideas under 2 bucks.

Pop socket style phone grip

Everyone has a smart phone, why not give them the trending pop socket style phone grip with your logo on it. 500 pieces is $1.90 each.

pop out phone grips for your business logo or tradeshow giveaway

pop out phone grips for your business logo or tradeshow giveaway

Silicone Phone Wallets

Keeping on with the theme that your customers smart phone is a great way to get your logo out there how about the Phone Wallet. 500 units is $1.48 each.

adhesive cell phone silicone wallet for logo

adhesive cell phone silicone wallet for logo

Key Smarter

Everyone has keys that jingle, jangle and get caught up in your pockets and tear your clothes. Is this the way anyone should live in the 21st Century? Get rid of the ring.

promotional keysmart key system for your business logo

promotional keysmart key system for your business logo

Want to speak to us? Call  1-888-908-6932 -We Ship World-Wide!-or email us for info Email contact

 

Bulk wholesale factory direct promotional products. Get your logo on it for less.

Market Your Brand This Way.

Embrace your inner geek. It will bump up your brand identity.

Getting geeky may be the solution to amp up your B2b marketing. It worked BIG TIME for Portland.

Promotional Products are a great way to better your brand image but often promo swag gets a bad rap.

In fact, some of today’s less informed business to business marketers are of the opinion that the use of promo swag for marketing is an idea that is past its prime. I happen to strongly disagree.

In my expert opinion, it is not the idea or the effectiveness of using promotional swag to build your brand but there are 2 distinct problems with the current way promo is sold that affect their impact and usefulness in promoting your brand.

I cover the reasons for this problem and the possible solutions in the following article.

Problem 1.

The first is the average mind-set and challenges of the local promotional products person (oh boy…here comes the hate mail).

They are just not focused on what is trending and on point.

The average promo distributor has access to over 20,000 promo ideas, most of which have been around for decades and are a little tired and done to death. As well, the average age of the local ad specialty distributor is closing in on 58. This is a stat according to the Ad Specialty Institute (ASI), the promotional product industries guiding light.

This age is fine (58), I will be this age one day and some of our best friends are that age. The trouble is not being 58 the trouble comes with a willingness on the part of most 58 year olds and older to find, embrace, understand and sell new trending ideas. It is just not in the average 58-year olds DNA.

popsocket trade show promotional products and b2b swag

get your business logo on a pop socket for trade show promotional products and b2b swag. Popsockets are the top selling promotional product for tradeshows in 2018. Wholesale, imprinted and factory direct promotional popsockets are the perfect swag for conference giveaway, b2b marketing and trade show swag.

“Most new trends come to life from somewhere in our world’s youth culture!”

Without going into a ton of speculation on my part as to why a 58 year old does or does not embrace or search out new ideas I can firmly say that given decades of observation on my own generation and those who came before that 58 year olds simply do not look for new trends and embrace new ideas as readily as a Millennial!

So, why are you looking to a 58 year old for new trending ideas?

It is very common for the local ad specialty distributors to only sell and promote ideas that they are familiar with. In fact, common terms used by promo veterans include , “he’s a pen and mug guy” or “I specialize in wearables”. These translate into, “I am only comfortable selling a pen or a mug because I understand that idea!” or  “I like to sell clothes with your logo on it..things like t-shirts and golf polo’s”.

My observation. New ideas and trends are almost universally found and promoted by a culture of youth. It has always been this way and I think, it will likely always be this way.

fidget cubes for your promotional marketing logo

fidget cubes for your promotional marketing logo

Problem 2.

The second problem with the current promotional product sales paradigm is the idea of being on point and on trend with emerging ideas and products. “It takes a lot of energy and intelligence to spot a trend before it becomes outdated, you got to be quick and nimble”.

The big suppliers in the promo business are NOT quick or nimble and they certainly are not trend spotters.

They are experts at warehousing large quantities of pedestrian goods (pens and mugs). The business model of the big suppliers (the source where distributors buy the swag they sell to you ) is a 30 year old business model and predates by decades the internet.

The big supplier model is to sell to distributors products they make the most money on. These products are almost always long standing “evergreen” products such as 3M pads, pens, mugs, swivel usb’s etc, There is nothing interestng about them (IMO).

New Ideas Don’t Make Sense for Big Suppliers.

Big suppliers don’t embrace new ideaas until they have become established ideas. Simply put they do not need trending ideas as they have the boring swag portion of the market cornered.

New ideas and trending ideas take time to find, cultivate a supply chain and to create a bullet-proof delivery to you from the factory floor to your door.

At Tradeshow 8 we have a small team of trend enthusiasts who spend hours each day combing through Kickstarter, Etsy, YouTube and dozens of other sites and blogs looking to spot the next trend. They are, to say the least, a unique group of peeps.

Once a trend is spotted we then work on sourcing it to be made in one of our factories in China and deliver it with your logo on it all at a price you can afford. We are experts at trends!

“It takes a lot of energy and product intelligence to spot an emerging trend”.

folding stojo coffee cup for your business logo

folding stojo coffee cup for your business logo

What’s a Savvy B2b Marketer to Do?

As a friend of mine once told me , “When you want a different outcome, think differently!”

If you are looking to pump up the interest with your next tradeshow, b2b marketing initiative or customer appreciation event and if you want the outcome to improve over previous efforts you need to think a little differently. This means sourcing from someone other than your local “pen and mug guy”.

We would be more than happy to help.

Call- 1- 888-908-6932 or email [email protected]

 

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Cheap bulk wholesale popsockets | Get your logo on it for less!| Promotional Popsockets| Trade show 8

Cheap bulk wholesale popsockets | Get your logo on it for less!| Promotional Popsockets| Trade show 8

Wholesale Coffee cup holder bulk promotional product and trade show swag

Wholesale Coffee cup holder bulk promotional product and trade show swag

Bulk wholesale promotional RFID credit card holder and wallet. Get your logo on it for less.

Bulk wholesale promotional RFID credit card holder and wallet. Get your logo on it for less.

free shipping promotional products

free shipping promotional products

keep portland weirder

keep portland weirder

laptop pocket for accessories fillit. Get your logo on a laptop pocket

laptop pocket for accessories

folding coffee cup with your logo on it.

folding coffee cup with your logo on it.

 

 

 

 

 

 

folding reusable drinking straw last straw final straw for promotional products and logo

Easy DIY Importing from China to the USA are Over!

Easy DIY Importing from China to the USA are Over!

Prepare to get ready to be buried under paperwork, have your goods caught in customs and possibly returned to China, this will not be pretty.

We have been an importer from China to the US since 2005.

Back in 1992 (The Dark Ages), I was one of the first US importers to go directly to China (and other countries) to source finished goods for the North American and European markets.

My job was to be the head of the import hammer for a very large denim factory that produced goods for Levi’s, Lee, Wrangler plus our ad specialty division called ID Wear. At that time there was numerous tariffs, duties etc in place which made importing finished goods from China to the US very very dificult.

get your logo on the coolest trade show and b2b promo swag.

get your logo on the coolest trade show and b2b promo swag.

Why did we have tarrifs in the first place?

Originally there were T&D (Tariffifs and Duties) in place to protect the American manufacturing market not because China was an economic threat, but because China was a Communist country and a global political threat.

As you will remember, China, in 1993 was just emerging from the Tiananmen Square Massacre of 3000 of their own citizens.

In 1993 their economy was just slightly ahead of Afghanistan/Pakistan region and just below that of Italy. See below.

“Since 1993 a lot has changed!”

china in 1993

china in 1993

During the Period 1993-2005

Sometime in the early 2000’s, China received “most favored nation status” from the USA. This basically meant we in the west no longer cared that they were/are Communist and instead we wanted to do business with them. Basically we all went crazy in an effort to do business with China….”It was Belly up to the bar boys lets make money, who cares if they’re Commies! ? ”

“As the years ticked by, 93, 96, 98, 2000 etc… all T&D’s slowly got to be less costly and required way less paperwork.”

This slow rollback of T&D was an intentional move by the US Gov’t to allow American manufacturers who made products for our domestic wholesale and retail markets (such as goods for the Promotional Products industry) to have a long time to get their factory’s more lean and competitive.

or…alternatively…to turn get those same American Manufactuers (circa 1993-2005) to become an American Importer of the same finished goods.

“Wanna read something interesting..? Check out the Fortune 500 TOP list of American Business in 1999, How many of these are long gone? Click Here” 

get your business logo on amazing pop socket phone holders.

get your business logo on amazing pop socket phone holders.

Meanwhile…

During this period (circa 1993-2005) virtually all of the large USA based promotional product factories that made everything at that time from molded custo products to keychains to lanyards, stainless steel waterbottles, clothing, et etc etc.. here in the USA, all but dissapeared.

Along with the US promo factories closings we also lost all the skilled laborers who made these goods. They either retired or went on to a new career.

“In short…Most people who worked in American factories from 1993-2005 are now doing something completely different. They are working elsewhere, the unemployment rate today is at historic lows, they have to be”

paper tyvek wallet for your promo logo

paper tyvek wallet for your promo logo

My Story

Our denim factory employed nearly 400 denim sewers and cutters. Since 2006 it is fully closed.

These skilled positions often employed multi-generations of the same family (mostly immigrants) all working at low wages. We paid low wages so that the jeans and denim goods we made were affordable to the American consumer. If we paid more we were not competitive and they went to Turkey, Eastern Europe, Asia..etc.

 

“It is now almost 2019, these formerly skilled low wage domestic factory workers have not laid denim to Juki in 14 years. They no longer are skilled in that field of manufacturing and are making more money”

 

fidget cubes for your promotional marketing logo

fidget cubes for your promotional marketing logo

Think About It This Way. If I could open a jeans factory and hire them all back at their old jobs they would A) not know what to do as they have long lost those skills or B) Have succesfully gone on to other careers.

“My best guess is that if you are directly importing as of January 1. 2019 you should expect paperwork, more paperwork, money, extra costs and assorted other BS. T&D, they’re back!”

mini tactical super bright flashlight for your logo

mini tactical super bright flashlight for your logo

How do I know?

I have imported since 1993 and during the period 93/2005 we had to fill in HS codes, arrange to pay duties and brokerage everytime we imported a sample or a boatload of goods (read more) 

The paperwork was the worst as in1993 there were over 14,000 of these codes each one specifically link to a specific product. Each code triggering a different tax/duty rate.

Think of it this way, a 100% stainless steel waterbottle is one code (ie HS 18112XXXX) and has a tariff rate as of January 2019 of 25%.

However a plastic lined stainless steel waterbottle (75% stainless steel, 25% plastic) has a different HS code (ie.HS 18332XXX)…this code has a lower tariff/duty of 12% as of January. If you don’t know the new codes you will likely pay the highest tax, not the correct tax!

 

get your business logo on a pop socket for trade show promotional products and b2b swag. Popsockets are the top selling promotional product for tradeshows in 2018. Wholesale, imprinted and factory direct promotional popsockets are the perfect swag for conference giveaway, b2b marketing and trade show swag.

get your business logo on a pop socket for trade show promotional products and b2b swag. Popsockets are the top selling promotional product for tradeshows in 2018. Wholesale, imprinted and factory direct promotional popsockets are the perfect swag for conference giveaway, b2b marketing and trade show swag.

There are 3 main problems that you need to be on the lookout for as a Distributor.

  1. Be very very careful to do your paperwork properly as part of problem is now with the  US Customs end of the process. US Custom agents who have not dealt with T&D’s since 2005 (or who never dealt with them if they have been hired since 2005) now have to deal with over 12,000 NEW HS Codes that help them determine the cost/tax to charge you.
  2. As well, on the Chinese factory side, the people there have never had to deal with HS codes etc. The current paperwork is dead simple. The new paperwork is not.
  3. Promo suppliers in the US now have a golden opportunity to raise all of their inventory product prices for 2019 to their highest level and simply blame it all on the new Tarrifs & Duties.

 

“I expect that the promo companies that import and warehouse goods in the States will raise their prices to the highest possible amount in a profit grab and blame it all on the new Tariffs!”

bottle cap shooter for your logo or promotional marketing

bottle cap shooter for your logo or promotional marketing

What do we see happening now?

As a direct promo supplier/importer, we are already seeing a growing storm of problems, barriers. Thankfully, we have prepared for this eventuality as we saw this possibly coming over the past 12 months.

We are already seeing US customs requiring more precise documents, accurate HS coding and tons of paperwork. So much so that we have hired 2 extra people, one here in the USA and one in China to deal specifically with these issues.

Prices are going to go up, get used to it!

Unfortunately there are NO DOMESTIC manufacturers to take up the slack and fill in the supply chain as prices and products from China go up as a result of the new tax.

No USA factories are coming to rescue.

 

custom wholesale bulk logo knit socks for promotional product giveaway

custom wholesale bulk logo knit socks for promotional product giveaway

Think about TV’sTV’s have not been made in America for over 20 years.

In 2019, no business investor/entrepreneur in their right mind will ever start a USA made TV factory here. Why you ask?

Firstly way too much capital outlay,  Secondly, no skilled workforce!

TV’s and just about everything else are not about to be manufactured here!

The bit above about TV’s can be applied to tons of other industries, many that affect our promo business.

T shirts, wearables, backpacks, tools, coffee mugs etc etc are NOT GOING TO BE MADE IN THE USA and even if were to make them THEY WILL STILL BE MORE EXPENSIVE THAN THE IMPORT INCLUDING T&D, BY A LONGSHOT.

The occasional importer is doomed. Do you do your own importing?

If all of this is confusing better call Sloan

Trade Show 8.
Factory Direct Promotional Swag.
Call Toll-Free 1-888-908-6932 or [email protected]w8.com