Forklift tariffs are now set at 15%A proclamation by US President Donald Trump expanding the mobile industrial equipment category for tariffs to now include materials handling equipment, has offered the sector some much-needed certainty.
Under his June 1 proclamation, Trump announced the tariffs on mobile industrial equipment imported into the US would drop from 25% to 15% - when imported from specific countries.
Materials handling equipment previously incurred tariffs as high 50% by some estimates.
The White House says the reduction in tariffs for mobile industrial equipment is the result of adjusting certain metals tariffs “to more effectively address national security threats, spur investment in American agriculture, housing, and manufacturing, and facilitate US production of related products”.
“The Proclamation adjusts the tariffs on agricultural equipment, like combines and harvesters, as well as certain other equipment, from 25% to 15%,” the White House statement reads.
“The Proclamation also expands the existing category of industrial equipment subject to a 15% tariff to include mobile industrial equipment, like bulldozers and forklifts, when imported from trade deal countries that are entitled to such treatment.”
The White House adds the June 1 proclamation encourages foreign companies to use more US steel and aluminium by allowing them to qualify for a 10% duty rate, if their capital equipment include at least 85% US melted and poured or smelted and cast steel or aluminium by weight.
“These tariff changes are temporary, lasting until December 31, 2027, to spur near–term investments that will rebuild the Nation’s industrial base,” it continues.