Dear Keystone Customers and Channel Partners,
As you may be aware, the Office of the United States Trade Representative (USTR) announced in August that all remaining imports from China will be assessed with punitive tariffs. The USTR planned to implement tariffs on some products (Tariff List #4a) at a 15% tariff rate beginning September 1, 2019 and the remaining products (Tariff List #4b) at a 15% tariff rate beginning December 15, 2019.
While trade talks progressed positively throughout the fall, we hoped that the USTR would rescind these 15% tariffs. Despite our optimism for a trade deal, unfortunately that has not been the case. Therefore, we find it necessary to pass on a portion of the 15% tariff for all Keystone products on List #4a. Beginning January 1, 2020, the pricing for all Fluorescent, HID, Sign and Emergency Fluorescent Ballasts affected by this tariff will rise by approximately 12.5%. Updated price sheets will be available on Keystone’s Portal at KeystoneTech.com beginning on December 2, 2019. All job quotes will be honored according to the terms and conditions set forth on the quote.
Please note that LED Tubes and LED Lamps are included in List #4b, which is set to incur a 15% tariff beginning December 15, 2019. We are closely monitoring the situation and will communicate with you after January 1st, 2020 about any potential effects on pricing should those tariffs come into effect.
We recognize that these price changes are disruptive to your business and we are here to make this transition as smooth as possible for you. We sincerely appreciate your loyalty, support, and trust as we navigate these turbulent times together.
Thank you for your continued partnership.
Chief Executive Officer