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Increased Tariffs Driving Silhouette CAMEO and Craft Supply Prices Up

The price of the Silhouette CAMEO and Portrait machines - along with other craft machines, supplies and accessories - is going up.

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The price increase is due to increased tariffs - an import tax - imposed on imported goods from China.

The current $229 and $249 Silhouette CAMEO machine and bundle pricing will likely soon be a thing of the past. That means if you're holding off til Black Friday for a Silhouette CAMEO bundle deal it may not happen.

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Some Silhouette distributors are trying to get ahead of the tariffs by stocking up now in hopes of being able to offer customers the deals they're used to longer - but they're warning the prices will go up.

One distributors tells me each Silhouette machine now costs $20 more than it did previous - direct from the manufacturer. With tight margins already, the only way to stay in business is to raise prices for customers. 
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The tariff increases have a trickle down effect from the manufacturer to the customer. The tariff increases range from 10-25% which means it's costing more to import cutting machines since paper cutting machines are one of the hundreds of items subject to the new import tax. That price increase is passed along to distributors and retailers and then of course customers, as well.

Of course, the tariffs aren't just impacting the price of Silhouette machines - but also other cutting machines such as Cricut and lots of other craft supplies. That means the craft industry in general is preparing to take a hit.  There is a long list of craft items that will be subject to the tariffs including yarn, beads, fleece, fabrics, paper cutting machines, tapes, washi tape, silk, dye, and thread.

We talked with other Silhouette School partners as well who sell blanks and heat presses. While heat presses are currently not designated under the list of items to be subject to the new import tax, it could change as the government works through the products imported from China.  

The owner of Pro World Inc, who sells a large number and variety of heat presses along with other craft supplies tells me, "As a supplier we have no choice but to increase prices as our costs rise. I would certainly make your readers aware of potential price changes and if they can purchase at current prices they may be able to save if the tariffs are increased in the next few months." 

You may also see an increase on craft blanks as many of them are imported from China. "We have started sourcing some of the products in other countries, but we are still drastically affected by the cost of transportation," Susan Mars from All About Blanks tells me. "The cost of getting goods from the docks to our facility has risen.  Our wholesale customers pay the actual shipping charges we incur (shipping is not a profit item for us), and we’re seeing significant increases in the cost of delivering goods to the customers, despite heated negotiations with our carriers. 

Mars suggests small business owners consider renting a box at Mailboxes Etc or the like to have a commercial shipping address which qualifies for reduced shipping rates. She also urges crafters to consider making their holiday craft supply purchases sooner than later.  "In my opinion, the sooner businesses get their inventory in and stocked for the holiday season, the better off they will be.  Rather than doing several small orders throughout the season, receiving in supplies “just in time”, they would have better profitability by investing $$ up front now and reducing freight costs."

Joann Fabrics - which sells Silhouette, Cricut and thousands of other craft supplies - emailed their customers twice in August regarding the "Made in America tax."

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The email from Joann's President and CEO came with the subject line "We Need Your Help" and reads in part: 
I’m writing to you today to let you know that your ability to continue creating at an affordable cost is in jeopardy. Proposed tariffs on many of the items we sell will inadvertently place a tax on the “Made in America” products you make, which will hurt millions of individual crafters along with charitable organizations and small businesses.
The concern is not only for hobby crafters, but small business owners who purchase craft supplies in the U.S. to make and sell their crafts.  The hit is expected to be felt on both sides for small businesses as their costs will increase which means their prices will have to go up (or their margins slim) likely resulting in fewer sales during the busy holiday buying season when many crafters typically sell substanttially more than the rest of the year. 

I have found a few Silhouette CAMEO deals and other craft deals for you right now so you can grab the best deals before they're gone..likely in October.

$219 Pink Silhouette CAMEO 3 Bundles
$199 Black Silhouette CAMEO 3
$229 Silhouette CAMEO 3 Bundles
Heat Press Deals from Pro World - Registered businesses can receive free shipping on one order between now and Oct 31st, 2018 by using code SSBFS200.  Customers must have a Tax ID or business license to be eligible to shop our wholesale line.  

Want to learn more about the import tariff that will impact the craft industry? This is a great article and includes a list of all items subject to the new tariffs

Note: This post may contain affiliate links. By clicking on them and purchasing products through my links, I receive a small commission. That's what helps fund Silhouette School so I can keep buying new Silhouette-related products to show you how to get the most out of your machine!

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