Footwear Distributors and Retailers of America (FDRA), said the industry now pays nearly $5 billion annually in tariffs.
Manufacturing PMI ticks up in August but still shows contraction.
58% of businesses report that higher tariffs are negatively affecting their operations, with retail (70%) and manufacturing (69%) hit hardest.
U.S. companies on average expect to raise prices by 3.5% in the coming 12 months.
Rather than implementing across-the-board increases, Bay evaluates each product line based on tariff exposure and market conditions.
Here’s a recap on how the biggest public distributors of industrial supplies and MRO products are dealing with the ever-changing conditions of industry tariffs.
Lead times for capital expenditure fell to 173 days in July, while the average lead time for MRO supplies decreased to 44 days.
CEO D.G. Macpherson notes that Grainger’s global presence has been key to minimizing the risks associated with tariffs.
About 20% of the company’s U.S. auto parts are sourced from China, a figure CFO Bert Nappier said is in line with industry averages.
Distributors and other companies should plan on higher prices as a result of tariffs.