Tariffs trip up the all-American RV industry

2112 wrote:

troubledwaters wrote:
The fact of the matter is, if you are satisfied with the cost of the product your buying, buy it; if not, don't buy it.

My 325gal home propane tank started to leak last week. All the suppliers had in stock for a replacement were 500 and 1000gals. I needed a new tank right then. All three companies I called said 8 months ago the price of a 500 gal US made tanks jumped from $1400 to $2000 overnight. I didn't have a choice, I had to buy it. The tariff cost ME $600.

Or, the retailer changed suppliers. Or the wholesaler changed suppliers. Or the manufacturer had a new labor contract go into effect this year and had to increase prices to cover the additional labor costs. Or maybe propane tanks are in short supply because there is a push for people to convert their homes from Fuel oil to propane because it is cleaner and cheaper, proving Adam Smith's theory of supply and demand once again.
A 500 gallon propane tank weights around 1000 pounds. Steel is currently priced around $570 per ton. So the steel in a tank is about $285. A 25% tariff would add only about $75 to prices. The other $525.00 is likely spread over an increase in the costs of transportation, manufacturing costs, and yes the profits of the manufacturer, wholesaler, retailer and everyone else who touches a tank from manufacturing to final delivery.