Blaming "Tariffs" for High Prices

[JoeWras]

Building is crazy around here. Contractors will give high estimates because they can. I know OP is saying this is the wholesale fixture price... but the same rule applies.

We need some house work. I'm waiting on a recession to do some, or a least a cool off a very hot housing market (central NC).

Question is will I have the guts to actually do it when stocks tank 40%?

[razztazz]

Except, that's not what I'm talking about.


We know all about econ 101. It's a model that might or might not apply whenever it's "applied". I'm talking about how businessmen operate.

Quote:

Originally Posted by Chuckanut Econ 101..... Price is a function of Supply and Demand. Note that Cost is not mentioned above. If the cost of making the shower head doubles, and people won't pay it, then the price can't go up much at all. Sure, they can ask for a higher price but the only price that counts is the one the consumer will pay. Or, the cost of that shower head could go down 50%, but if the demand for that make and model remains high, the price will not change. We can ask for a lower price, but if the manufacturer can sell them all for a higher price I'm sure they will.

[Hyper]

Tariffs....BS! It's called fleecing because they can. I put up a cpl 16' garage doors 2 yrs ago....Wowzer !$$! I went with the best I could get locally ordered in and installed them myself. I'd call them average as I've put much better in, in the past. I put up a nice Wayne Dalton 5 yrs ago that was way better quality @ half the price of the other doors. A year ago HD was selling 7/16 osb for $16 a sheet, dang! Now it's around $9. I bought a bunk of it when we built our house for 6.50 a sheet at Menards when HD was $16. The few building suppliers we have are 1 1/2 higher $ than HD, Menards with no better quality.

[Senator]

Quote:

Originally Posted by Amethyst Am I being scammed, do you think?

For whatever reason, they do not want to take the blame for higher prices.


An increase of 250% was not from the tariffs. If that is the case, switch to an american made product, that is not subject to any tariff here in the USA. Kohler is made in the USA. American Standard is also made in the USA. Moen is also mostly made here.

The tariff is only on wholesale prices, not retail prices. Maybe a 5% increase would be reasonable to expect from a tariff. I would google the product and see if you can get it cheaper elsewhere.

There is no way a company can raise prices 250% and expect to stay in business when you have competitors that do not raise prices.

[Teacher Terry]

We gutted our entire master bathroom 7 years ago and the cost was 4K. My husband did all the labor.

[Cobra9777]

I've remodeled 3 baths in the last 4 years. The first bath, we left the existing shower valve and just replaced the trim kit for under $100, IIRC. The other 2, we replaced the valve and trim kit. I just checked the prices... one was $228 (Luxart); the other was $275 (Delta). Both look fantastic and work great. The former was purchased at a local wholesale plumbing distribution warehouse. The latter was purchased from Amazon. The one from Amazon is now priced at $306 (small increase from 2 years ago).

I have no idea how one spends $2500, or even $1000, on shower fixtures. I'm a DIYer on these things. For baths, I generally just hire out tile work, drywall, and some of the more complex plumbing and electrical. I definitely purchase all material and fixtures myself.

[Amethyst]

Different house. We moved this year. Love the house, but the master bath is flat hideous, and not really functional. We knew we'd have to change it out.

By contrast, the kitchen is worn and looks its 15 years old, but it's such a great functional design I'm in no hurry to renovate.

Quote:

Originally Posted by donheff OK, I will bite. Why are you renovating the master bath for the second time in five years?

[Amethyst]

Correct. This is the price to buy the shower set, nothing to do with the installer's fee.

Quote:

Originally Posted by freedomatlast The increase from $1000 to $2500 was on the price of a fixture, not the contractor's labor due to a busy schedule.

[Just_Steve]

Remodeled master bath in 2015 with Kohler shower fixtures. Just checked, current prices are 31% higher as of today.

[NW-Bound]

It's the seller's prerogative to try to get as much as he can get away with.

It's my right to shop around for a lower price.

If everyone charges what I think is outrageous, then that's the way it is, and there's not much I can do other than trying to do the work myself.

But I would still wonder about how the price is not lower. There might be some economic explanation for it that I am not aware of. That's what the OP was wondering about.

[Amethyst]

useful info, thanks. Was looking at Hansgrohe and will check Kohler.

30% was about what I'd expected, not 100%+!

Quote:

Originally Posted by Just_Steve Remodeled master bath in 2015 with Kohler shower fixtures. Just checked, current prices are 31% higher as of today.

[foxfirev5]

Couple of points here from the peanut gallery. Ten year ago prices aren't worth much since we were in the midst of a depression. Prices today reflect a lack of manpower as well as other factors such as tariffs, which for the uneducated, raise the prices for both overseas and US products.

DS is currently looking at building a new home. The developer is willing to sell him a lot at a good price. I asked him what this means as far as building costs are going. As a former builder this means to me he can not make a buck by completing the chain of developing/building/selling with a profit. IMHO everything is out of wack.

Glad I'm retired.

[Senator]

Quote:

Originally Posted by foxfirev5 Prices today reflect a lack of manpower as well as other factors such as tariffs, which for the uneducated, raise the prices for both overseas and US products.

I think it is a much more complicated issue than that. And you do not have to be too educated to understand that Chinese Tariffs prevent US goods from being sold there. Or understanding that importing Chinese goods depress wages here in the USA.

It means less money for US workers to to spend, less money going to taxes, more people not working. Currency manipulation, rather than free floating the currency, labor laws, environmental laws, etc. all have an effect to move manufacturing offshore.

If the Tariffs were called a Workers Rights surcharge, or an environmental surcharge, it may be more accurate.

Some people would say that Unions priced themselves out of the market, and forced US companies to do business elsewhere. Some blame regulations and labor laws. Some blame Chinese subsidies of their businesses, which are in reality owed by the Chinese government.

Trade imbalances are a much more complex issue, but since we are in the early stages of global wage equalization, there is a lot more to play out.

[foxfirev5]

Global wage equalization kind of sums it up. Tariffs are simply a means to shift the balance in ones favor. It's really not as complicated as some would like us to believe.
We have a shrinking work force and slow growing productivity gains. Net loss.

[joeea]

Quote:

Originally Posted by Senator If the Tariffs were called a Workers Rights surcharge, or an environmental surcharge, it may be more accurate.

Maybe they should be called a National Security tax.

I have other names, but they are too political in nature.

[Senator]

Quote:

Originally Posted by foxfirev5 Global wage equalization kind of sums it up. Tariffs are simply a means to shift the balance in ones favor. It's really not as complicated as some would like us to believe. We have a shrinking work force and slow growing productivity gains. Net loss.

100% correct. We have a shrinking workforce and yet a growing population...

[MarieIG]

Quote:

Originally Posted by Senator 100% correct. We have a shrinking workforce and yet a growing population...

That explains - a lot.

[Chuckanut]

Quote:

Originally Posted by razztazz Except, that's not what I'm talking about. We know all about econ 101. It's a model that might or might not apply whenever it's "applied". I'm talking about how businessmen operate.

Agreed, that is how many business men operate. As consumers we can choose how we operate in this time of tariff threats. IOW, we don't have to buy.

Like my old grand-pappy used to say, "He can keep his fill-in-the-blank, and I will keep my money."

[razztazz]

Quote:

Originally Posted by Chuckanut Agreed, that is how many business men operate. As consumers we can choose how we operate in this time of tariff threats. IOW, we don't have to buy. Like my old grand-pappy used to say, "He can keep his fill-in-the-blank, and I will keep my money."

Thank you.

[joeea]

Quote:

Originally Posted by Senator 100% correct. We have a shrinking workforce and yet a growing population...

If only there were a way to get people into the country who want to work...