Chinese Tariffs Affecting Garage Door Industry

Written by Automated Garage Door Systems on . Posted in Blog

Can Chinese Tariffs Affect the Garage Door Industry?

(Disclaimer: Our company does not weigh-in on politics or policy. We respect any and all individuals opinions and perspectives. This article on our website has been created to explain to consumers how tariffs on Chinese goods will affect the cost of garage doors and garage door repair services)

Who we are and why we are writing about tariffs

We are a small garage door repair company in Riverside California. We’ve been in the garage door repair industry for over three decades and boy we have seen a lot of things change. Whether they’ve been changes in the garage door industry, our community, or the world. One of the things that has inevitabley changed is the price of garage doors. The cost of purchasing a garage door has steadily and understandably gone up over the years. A gradual increase in cost is to be expected due to inflation and manufacturing costs. However, a recent price-hike due to tariffs on Chinese steel and aluminum has caused us to write this article. We feel it is our responsibility to inform consumers of the changes to expect in the upcoming weeks, months, and possibly years.

What are Tariffs?

Tariffs are a tax or “duty” to be paid on certain imports or exports. If a tariff is placed upon Chinese steel and aluminum it means that the cost of steel and aluminum purchased from China will be higher.

Who do the new Tariffs Impact?

Simply put, the tariffs on Chinese aluminum and steel will effect the price you pay for any goods manufactured in China that contain steel or aluminum. Additionally, those same tariffs will affect the price you pay for goods that rely upon steel to make equipment to create products. All steel from China will have 25% added to the cost. Aluminum will have 10% added to the total cost. The cost of the tariffs gets passed along to the United States citizens who pay for goods containing that steel.

Why do tariffs impact the garage door industry?

Garage doors and garage door parts are certainly not immune to the new tariffs. As a matter of fact a vast majority of garage doors are made of steel. Additionally, garage door parts, such as garage door springs, also contain steel. A garage door spring is actually the part of your garage door that wears out the fastest and needs replacement the most often. When garage door suppliers charge more for garage doors or parts, this cost usually gets passed on to the customer (you). There are three primary methods garage door repair companies will pass the increased cost to you. We have briefly outlined them below.

  • Flat Fee – The garage door company will charge you the exact same additional amount they are getting charged. (Best Option)
  • Percentage– The garage door company charges an additional percentage based upon the increase in total cost they are being charged for doors or parts.
  • The Sky Is The Limit – The “we are going to see how much we can get away with charging” companies were a problem before steel and aluminum tariffs. It is likely we will start to see these same garage door repair companies use tariffs as an excuse to take advantage of consumers. The same bad actors are likely going to start working steel and aluminum tariffs into their pitch to justify their high fees.

Why we are likely to see higher prices in the near future?

The United States International Trade Commission has had procedures in place for decades to level the playing field when it comes to trading steel and aluminum. The procedures of the United States International Trade Commission are the key reason China has contributed less than 10% of the overall total amount of steel that the United States imports. The new tariffs place on Chinese aluminum and steel are outside the normal USITC protocol. The unusual method in which the tariffs were put into action creates panic and a great deal of uncertainty of what may happen to prices in the future. This fear and uncertainty causes the price of steel to rise regardless of whether the steel was imported from China.

When did the new Tariffs start to impact the price of garage doors and garage door parts?

Our garage door repair company has been working with the same garage door manufacturers for over 25 years. Historically, when we receive prices for garage door products, the manufacturers will let us know that the price we are quoted will remain the same for 30 days. Starting in July of 2018 we were told the prices will change daily on the garage doors. Therefore, we have to call the garage door manufacturer for each customer that needs a new garage door. Most garage door repair companies will simply charge a flat fee which is much higher than the average price to ensure they do not underbid a job. Our garage door company goes out of the way to give our customers the best price possible. Our dedication to providing the best price possible to each customer causes us to spend a great deal of additional time on the phone with manufacturers.

How much has the price of garage doors increased?

The average price increase of a garage door has increased by $16-$50. However, the price has increased much more for higher end garage doors. The higher the quality of the materials, the more the price will increase due to new tariffs.

Should I Wait to Buy a New Garage Door?

If you have been avoiding repairing or replacing a garage door, you may want to take care of the issue right away. Prices on garage doors and garage door parts just increased. So, why would we recommend servicing or replacing your garage door now? If you follow the long history of Chinese trade, you’ll find they have a history of adapting to tariffs quickly. China has been known to ship products to ports in other countries, then those other countries will ship the those Chinese products to the United States. Once it is discovered which countries are being used to relay Chinese products to the United States, those countries products usually get tariffed too. Basically, once China’s steel and aluminum was tarriffed, it will start a domino effect. The price of garage doors will most certainly continue to increase over the next couple of years. If you need a new garage door or even a simple garage door repair, now is the best time to make a make a move.

Automated Garage Door Systems

Automated Garage Door Systems is a garage door repair company located in Riverside California. Automated Garage Door Systems specializes in residential garage door repair and replacement.

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