Tariff News Update

July 24, 2018

See update from December 3rd, 2018

See update from October 1st, 2018

To All Nortek Security & Control Customers,

This letter is a follow up to our July 9, 2018 letter regarding the US Government’s imposition of a 25% tariff on certain categories of products imported from the People’s Republic of China.  Important to note, these tariffs are from the initial round and don’t include those most recently threatened.   As indicated in our previous letter, these tariffs are so significant, they will necessitate several actions on our part, including price increases on several product categories we supply to the market.

These increases cover some of the increased tariff costs we will incur, and our goal is to mitigate the cost increase as much as is possible. However, a 25% increase is extraordinary.  In addition to looking for more supply chain efficiencies, steps we are taking include exploring changes in the way we assemble our products. This may include some assembly in the US and moving manufacturing of certain products to other locations.  We are also submitting an application to the US Trade Office for certain products to be exempted from the tariffs.  However, these actions will take time, and unfortunately, the tariffs are already in place.

Because of the cost impact due to the tariffs, we are implementing increases for the following product categories for all orders received after August 17, 2018:

These are necessary steps we must take to protect our ability to continue developing compelling new product offerings, and they cover only part of the total impact of the tariffs.  Additionally, we are concerned that the US Government may announce additional increases that will affect more product categories, and this will have greater impact on both our business and yours.  We are helping petition the US Government to find other means of resolving trade issues and hope additional tariffs do not impact us all.

We very much appreciate your business and look forward to serving you with the industry’s best solutions for years to come.

Thank you for your ongoing support and business.

Mike O’Neal


The US Trade Representative website provides information on the rules that govern the tariffs, and links to the list of affected products.


October 1st, 2018

Nortek Security & Control Customers,

As we notified you by email in July, the series of extraordinary tariffs imposed by the US Government on numerous classifications of products imported from the People’s Republic of China necessitates that we increase prices on a number of categories of products. While we continue to look for supply chain efficiencies and are absorbing the majority of the tariff costs, we have identified the items for which we must raise prices and are sharing them with you in this email. Please note, none of these current items were impacted by the previous price change effective September 15th.

This round of tariffs impacts several categories of Security and Access Control products. These tariffs became effective September 24th, and the US Government has announced a dramatic increase to these tariffs effective January 1, 2019. In an effort to minimize the immediate impact of these tariffs, we have decided to effectuate price changes on the impacted products in two rounds, on October 28, 2018, and January 1, 2019, respectively. The Pricing Updates will show pricing on these items for both dates. We remain hopeful that the US Government will find resolution prior to next year, and that the second price change will be unnecessary, but deem it appropriate to provide you with advanced notice given the recent history of tariff implementation.

Security customers should note that some relief from tariff increases can be obtained by purchasing system kits until the end of the year. Again, these new prices will be effective on orders placed on or after October 28, 2018, with the additional increase effective January 1, 2019 if required. We will notify you prior to that time if the second round will not be implemented, and if any additional items become impacted by any additional tariffs announced by the US Government.

All of us at Nortek Security & Control appreciate your business, and we look forward to serving you with the industry’s best solutions for years to come.

As always, we thank you for your business.

The Team at Nortek Security & Control