The United States’ ongoing trade dispute with China has finally reached the cigar industry, as JetLine has begun notifying retailers that as of Sept. 1, the cigar accessories company will be adding a 10 percent surcharge onto the wholesale prices of their entire catalog due to the tariffs that are being imposed on goods imported from across the Pacific Ocean.
The date coincides with when the Trump administration will begin imposing a 10 percent tariff on a large number of Chinese-made goods, including clothing, electronics, toys, jewelry and many more consumer goods.
How much of that added cost gets passed onto consumers remains to be seen, as a representative of the company told halfwheel that JetLine structures its pricing in such a way that could allow retailers to absorb the fee, at least on some products. However, some retailers could choose to pass along the cost to customers.
There is good news, however. Should the tariff be lowered or eliminated, JetLine has said it will stop charging the additional fee.
Update: JetLine issued a clarification on the fee today, noting that it will only be applied to items imported into the United States after Sept. 1 and not any products that the company already had on hand. That means the products already in the country as of Aug. 31 will not be subject to the fee being added.