The following is the specific contents of the notification letter: At present, the lighting industry continues to face several key areas of cost growth, including electronics, metals and other commodities, transport and wage inflation.
In addition, the U.S. Department of Commerce and the U.S. Trade Representative (USTR) have announced tariffs that have affected the cost of many products and components. Therefore, we announce the following: The price of most lighting and lighting control products rose by an average of 6%, effective October 1, 2018. Orders placed on or before September 30, 2018 will be invoiced at the current price. Previously quoted items are valid until September 30, 2018.
Quotations received after October 1, 2018 will be quoted at the new price.
The U.S. government's tariff on parts and finished goods from China has forced us to respond to the affected products at the corresponding rate of rising prices. ★ July 6, 2018, the United States imposed a 25% tariff on US $34 billion of Chinese products, and August 23, 2018, the United States imposed a 25% tariff on US $16 billion in Chinese products.
These tariffs are expected to affect the cost of future material supplies. ★ The US is planning to impose tariffs on $200 billion worth of Chinese goods.
If implemented, it will have a significant impact on costs. We are currently evaluating the impact of these tariffs on our products. We will continue to notify you of additional tariff-related charges in the coming weeks. We are committed to serving our business partners and will continue to invest in the development and delivery of innovative, cost-effective lighting solutions. We value your business and thank you for continuing to support us in meeting these market challenges.