When Jared Fisher discovered the main supplier of electrical bikes to raise its prices by 10 %, he had an option to take: consuming the cost or passing it to his customers.
“If you reduce 10 % to a bike margin, you may also be preparing to get a strategy for your work because you will not be able to work,” Fischer, who owns many bicycle stores in Nevada and Utah. “There is no way.”
Instead, Fischer decided to be transparent with his customers about the reason for the high prices in some of his products. A new line element added directly to the signs of prices on bicycles suspended in its stores. On one bike he sells at $ 7,999, the price now shows “government tariff fees” at an additional $ 300.
“I have no problem where this tax comes from my products,” he said. “People need to know that, so I have a chance to fight at my end.”
On April 2, President Donald Trump imposed a 10 % primary tariff on all imports in the United States, as well as an additional tariff on dozens of commercial partners. Although some of the higher definitions – with the exception of those in China and some in Mexico and Canada – stop temporarily, the 10 % overdransis are still standing. And the prices began to rise.
From bricks and mortars to small companies online, many told many Business Insider that the customs tariff force them to pass the cost to consumers, not because they want it.
To provide matters worse for smaller operations, they do not have the same energy bargaining with suppliers or cash flow such as adult retailers like Walmart. Supports in some manufacturing centers, such as China, also sees reporting margins constantly to help absorb the trauma of customs tariffs.
“He is very transparent about the reason for raising prices.”
“They may lose customers because of the high rates, but at least it will be transparent will help reduce the damage,” Kohan added.
Big companies may also have looked at these transparency measures. After reports that Amazon will begin to display the amount of definitions that contribute to the price of goods on its platform, the White House press secretary Caroline Levit described the idea of ”hostile and political action”. The e -commerce giant denied planning to display the cost of definitions, saying that the low price section, the distances, had thought about some elements, but then abandoned the idea.
Chinese fast fashion giants, Shin and Timo-more affected by the 145 % definitions on China and canceled De Minimus exemptions-identical customer notifications on their websites, saying that there are “price amendments” because their “operating expenses” under “recent changes in global trade rules and tariffs”.
At the end of April, TEMU started adding “import fees” when the exit, which could double the element price. By May, the main TEMU site seemed to prevent US agents from seeing the products that are shipped from China, and the site is filled with “local” brand products to indicate that they are in a warehouse in the United States.
“The display of customs tariff costs on the product pages can provide strategic advantages for platforms like TEMU and Shein.” “By detailing the definitions, the price of this platform’s framework increases as a result of foreign policy instead of its pricing decisions.”
“This transparency can enhance customer confidence, enhance the image of the brand directed towards value, and enhance the perception that the platform is defending on behalf of the consumer,” Moussafi added.
According to a survey of 1850 American adult citizens, it was conducted between 2 and 5 May Economic and Yoshof75 % of those surveyed believe that the Trump tariff will increase its prices, and 61 % of companies would like to offer the amount of purchase that tends to pay the customs tariff.
“The clear reason for the White House’s unwillingness to show the costs of tariffs because it explains the cost of their consumer policy.” “This will reduce voting categories because consumers will be fully aware of the extent they pay and those who cause them to be paid.”
