On October 1, a 30% tariff was applied to distillery equipment imports from China to the United States (HS code 8419.40). Victoria, B.C.-based Specific Mechanical, a manufacturer of Canadian-made brewing and distilling equipment, was one supplier that shared information with its clients through e-newsletters about the new tariff. The 30% in additional costs could end up being paid by either the reseller or end user, depending on the supply chain and shipping. The U.S. requires complete documentation on country of origin, and infractions can be subject to penalties up to the value of the goods.
As Speicific Mechanical (which manufactures equipment in Canada that is not subject to the tariff) says, “Knowing the total cost of ownership is the best way to an informed buying decision.”