Tekton Tools, which has been making strides towards offering more USA-made products, released a new statement about the current tariffs situation and how it will impact their pricing.
To summarize the message, if the tariffs remain in effect, Tekton will have to raise prices on any tools that are manufactured in other countries.
They also provided an interesting update about the company’s USA manufacturing efforts.
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Here’s the full statement from Tekton CEO John Amash:
Hello,
I’m Tekton’s CEO and am writing today to keep you informed about how new tariffs could affect your future purchases from Tekton.
Right now, the United States has imposed an extra 10 percent tariff rate on products coming from most countries. Our products come almost entirely from Taiwan, the United States, Canada, or Germany. We put the country of origin at the bottom of every product page on Tekton.com. We try to be specific about origin, down to individual components like the webbing on a pouch or the tube on a six-in-one driver. When we say a product is USA-made, we mean that the whole product is made here and that the materials are sourced in the United States.
If the extra 10 percent tariff stays in effect, we’ll have to raise prices about 4 percent on most products made outside the United States. However, if tariffs go to higher rates, then higher increases are likely. Tariffs directly increase our product costs. When we receive a new shipment from Taiwan, for example, we will have to pay the tariff rate on top of the cost of the product. We will give you at least one week of notice on our website before we raise prices—like usual, we will show the new upcoming price and the date when it goes into effect.
As you may know, we are working very hard at Tekton to manufacture more of our products in the United States. We have growing CNC, plastic injection molding, electroless nickel plating, broaching, blasting, polishing, sewing, and assembly operations at Tekton. This manufacturing work started years before the new tariffs and it’s going great. We also work with other U.S. companies to complete some manufacturing steps or make whole products for us. We have hundreds of items made in the United States. However, it’s not easy or fast. Manufacturing things well with all the right people and equipment and figuring out all the best methods to make a highly refined tool repeatedly at an acceptable cost is a difficult process. We will keep going and we are succeeding at it. I strongly support making our tools ourselves. It’s good for our company, good for you, and good for our country. We are in my view going about as fast as we can with the resources we have.
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In the coming months, you will see us introduce new products made in the USA. Our new service wrench line, which will be entirely USA-made and mostly done in-house, is coming out in several weeks and it will be a more impressive service wrench than I believe has been made before by any tool company. In some cases, however, we aren’t ready or able to make the product we want here in the United States, and we have a great supply chain in Taiwan, Europe, or Canada that can do it. For example, having nothing to do with tariffs, we are about to move our screwdriver program to a premium supplier in Germany that makes drivers for the tool truck market. I don’t expect us to save costs moving the screwdrivers to this supplier. We are doing it because it will be a better screwdriver line overall and will free up resources to keep working on other projects, especially new USA production.
Thank you for your support. The new tariffs are not simple for us to navigate, but we have a strong company and a great user base. It’s our intention to use our growth to find better and faster ways to make even more products in the United States.
Broadly speaking, I have grown increasingly fond of Tekton as a company. As a consumer, I greatly appreciate their transparency. More than that, they’ve made promises and kept them.
Michael F
I own quite a few Tekton tools at this point – sockets and a torque wrench – and they’ve been absolutely stellar. I will be buying more Tekton in the future and can’t wait for more USA produced options.
fred
Kudos to the Amash family. They have come a long way – especially with the Tekton brand. Once they were known mostly for imports and brands that usually found their way to bargain bins at auto parts stores. But they seem to have listened to their more astute market base working to move their Tekton brand upmarket.
Adam P
I’m a technician at a full service independent shop. My entire daily driver set of tools is Tekton. I’ve only had an issue with a couple items, spanner jaws spreading, and their impact universal socket adapters fail me about once every 3-6 months of daily use. Everything else from drivers, sockets, ratchets, bits, picks, pliers, and punches, plus a few specialized tools here and there are phenomenal. Warranty was faster than my SO rep every time. If they go USA made on everything else I’m gonna be like Snap-who? I’ll gladly pay more for a great tool with a great warranty over the truck brand any day, because the truck warranty is slow and their costs most times boarder on the ridiculous.
PW
Tekton seems to have transparency as a brand value, which makes this statement unsurprising to me. They’re just stating obvious facts about the current US trade “policy”. Other companies are being cagey ahead of massive price hikes that will probably price in additional margin.
I was surprised to learn they’re offshoring their screwdrivers to Germany. I hope they’re keeping the same or similar handle designs. I like their handles. The shafts I find to be mediocre – they could swap suppliers for those and I would not be sad.
Aram
Yeah, this was definitely an unusually straightforward message, which is appreciated these days.
…I mean, I don’t currently have any of their tools (I have minimal requirements at present) but frankly this kind of thing puts them on my radar now.
ITCD
They hint at it being the same manufacturer as a truck brand, in Germany. Snap-on makes their own here, Mac I believed has transitioned to France (used to be the Cheraw SC facility I believe), Cornwell comes from Taiwan except their bespoke color Vessels, which leaves Matco who sources from Witte in Germany.
So my assumption is they’ll be Witte drivers and we’ll have to see if it’s just a badge job or something bespoke, but you’re right it would be great to have say Witte shanks with the current Tekton handles, could be doing the assembly here too but as they said this plan is freeing up some of their resources for other stuff.
So now the question is what exciting new things will they pivot those resources toward?
Nathan
I like most tekton things I buy and have gotten. Knowing some is rebranded but still well made useful product and tekton ordering and delivery is fairly consistent. I’m mostly convinced their Taiwan factory supplier is whoever makes the gearwrench items. Seems very similar and I like that mostly
It’s gotten to where when I need a think I shop them first. New impact sockets I didn’t even cross shop anyone else.
The German screwdriver thing has me worried and intrigued. I like the current hard grip 6 in 1 and I mostly like the current high torque more I like the price for relative quality. Not sure I want to pay more otherwise I’d look at stahlehile hazet or mac. But again curious too.
Scott F
Kudos to Tekton for transparency. Seems like one of few companies to embrace customer service/communication in the last 20 years, feels like most companies stopped caring about the customer the further we creep through the 2000s. I think that will do them well, especially as the cost centric buyer will be shopping in a tighter price range if the tariffs hold up.
Never interacted with the brand in their “darker” days, but I have been happy with the few purchases I have made there in the last few years. Never any issues to warrant using their good customer service – but given a lifetime warranty I bet one day I will!
And I will continue to buy tools from them going forward. Not often that I buy hand tools, most of late have been HD SBOTD impulse buys, but I should cross shop more.
S
To date, is this the first official communication from any tool brand regarding tariff effects?
Stuart
Maybe? My inbox is full of other emails like this.
There were a couple of corporate statements ahead of the tariffs, such as from TTI and SBD, but not a peep since announcements were made and the new tariffs were put into effect.
Harry
Good Job Tekton!!! Service Wrench? is that one of those short single size open end wrenches with a bit of a handle? I too am slightly worried about the screwdriver move. I really like the hard red handles but, the blade tips are soft. I always wanted Tekton to release a line of full-sized hooks/picks using those red handles with trim tools and hose picks as well. I’m also worried that the Tariffs will slow down new product releases.
John
Yeah typically service wrenches are used for things like hydraulic fittings, so larger fasteners with low torque. That’s why they’ll usually be larger sizes (often 1″ and larger) with short handles.
fred
Almost all of the service wrenches we had in our fabrication shop came from Martin – the largest was a BLK1264S (2-9/16). Not sure who chose Martin for these – since most of the other maintenance wrenches in the shop were Willams and some Proto.
Amazon sells Martin ones singly and in sets:
https://www.amazon.com/Piece-30%C2%B0-Service-Wrench-Set/dp/B00DHKAF96
Oarman
I went looking for some new screwdrivers recently and ended up with made-in-USA Tektons. I’ve been pretty pleased with them. Having COO clearly listed was a big plus in picking them.
Chris M
Would love to see Tekton expand its Rousseau partnership, offer maybe some larger storage cabinets, like a multi-use garage locker. Either way, it’s nice to see a Michigan based company like Tekton grow!
Stuart
Agreed! I think it’s a tough proposition, as Rousseau is as premium as steel storage can get, pricing a lot of their products out of the reach of many tool users.
Stuart
NO POLITICS.
Badger12345
Thanks for sharing the CEO message. I love the candor and transparency.
I started buying Tekton tools just last year after reading about them here. I wish I had known about them earlier. They’re good quality with competitive pricing. They remind me of my US made Craftsman tools of the early ’80’s. I also appreciate their efforts to manufacture more in the US. I am willing to pay a premium for US made tools as long as quality remains the same or better.
mark w
I’ve never been disappointed with a tekton tool I’ve owned point blank. And couldn’t be happier reading that statement.
Bob
This was a better response than what I’ve heard from others. I don’t own any Tekton products, but they will be on my radar from now on.