We just went through the long process of updating our online ordering system with the updated paper pricing, so we're really hoping they don't increase prices again so soon. I recently received this email from the president of the PIA:
UPDATE: Recent Questions on Tariffs
Owners –
I am not sure how best to describe the current business conditions … erratic, volatile, changing … none of these seem to quite describe our world. On Wednesday, we sent out a message that offer my thoughts on tariffs and referenced a conversation that I had with Damien Bradley, Kelly Spicers, regarding the impact of the recent tariffs imposed on imports from Mexico, Canada and China. My message and conversation with Damien are already obsolete with President Trump’s roll back announced yesterday. However, my conversation with Damien was focused on a couple of mills and was not intended to cover the entire field. I did a poor job of framing the conversation because, clearly, mills across the Americas are taking varying strategies from “wait and see” to implementing immediate price increases. I apologize for any confusion I may have created … as if there is not enough!
As much as I hate to say it, this should feel much like the early days of COVID and the supply chain problems … the point is that we have faced turbulent times. We are all feeling the whiplash of imposing tariffs one day and two days later rolling them back for 30 days. We know that the President believes and is willing to use tariffs as leverage in negotiating. He has acknowledged that such strategy will cause some level of short-term upheaval in the markets and economy which, he believes, will be good for the Country on the long run. All that is relatively certain is that change is coming. One of the better quotes that I have seen is:
“The can keeps getting pushed, kicked down the road, and we don’t know what that means,” said Chuck Dardas, president of AlphaUSA, an auto parts manufacturer in Livonia, Michigan. He later added: “To make investments and to do things we need to do, we need some certainty. Not that we can have perfect certainty — but not be on a constant diet of, well, we’ll wait till next month to see if the ax is going to fall.”
“The only thing, I guess, to be certain is that we’ve got 30 more days to worry about it,” Dardas said.
The COVID experience taught us:
- Communicating with vendors is critical to staying on top of the situation unique to your company.
- Communicating with your customers is critical to establish or, as needed, reset expectations.
- Staying as nimble as possible in order to react to changes.
- Patience is a virtue and will be key to weathering the times.
Business is a marathon with hills and valleys. PIA is working to stay current with changes. Please do not hesitate to reach out to our staff and I. We may not have answers but will do our best to find them.
Lou Caron, CPA (Inactive)
President/CEO