Canon USA Price Increases Have Taken Effect

[mhnamba]

I manage an authorized Canon service center in Brazil and I can say this tariff is directly affecting photographers here. The price of parts went up 35% in June, causing a huge increase in the cost of repairing photographic equipment. Since the products and parts are distributed by Canon USA throughout Latin America, we have to pay Trump's tariff even though our country has nothing to do with this trade war.

 

[Askeladden]

I manage an authorized Canon service center in Brazil and I can say this tariff is directly affecting photographers here. The price of parts went up 35% in June, causing a huge increase in the cost of repairing photographic equipment. Since the products and parts are distributed by Canon USA throughout Latin America, we have to pay Trump's tariff even though our country has nothing to do with this trade war.

This is the problem with international trade in general. Too many middle-men and parasites.

 

[David - Sydney]

I manage an authorized Canon service center in Brazil and I can say this tariff is directly affecting photographers here. The price of parts went up 35% in June, causing a huge increase in the cost of repairing photographic equipment. Since the products and parts are distributed by Canon USA throughout Latin America, we have to pay Trump's tariff even though our country has nothing to do with this trade war.

I can understand the reasons for Canon USA to distribute for Latin America in the past but that type of business model should be reviewed by Canon Japan and changed to avoid Trump's tariffs. OEMs have change distribution channels given macro issues like this so I will be surprised if the model doesn't change in the future.

The classic one at the moment is Apple looking to import phones made in India instead of China for the US market. It will probably still be cheaper for Apple/US buyers to pay the flat 25% tariff on Apple as a corporation rather than try to manufacture within the US. Weird times as Trump tries to get federal revenue to pay for tax cuts disguised as making a country great.

The only other way is to use a trade free zone/FTZ) where Canon USA has an physical area for stock within the US that hasn't actually entered the US from a customs perspective ie tariffs aren't paid as the stock if the stock is then shipped to other countries. If the stock is moved into the US then duties etc are payable. California has a number of FTZ for instance.
This is also common when manufacturing for export and China has large areas in Shanghai and ShenZhen.

 

[Daniel Lindblom]

Pour souls! In the meantime, we in Europe have paid premium prices for decades.

For example, the EOS R1 is 91.290 SEK in Sweden which equals 9500 USD!!! And without VAT (25%) the price is still 73.032 SEK which is around 7700 USD.

 

[Amingo]

Guess you guys now know how it feels to buy Canon Gear in Europe. Sorry, not sorry.

 

[rombe3jr]

Canon lenses are so expensive to start with. This is going to really hurt.

 

[rombe3jr]

This is the problem with international trade in general. Too many middle-men and parasites

I manage an authorized Canon service center in Brazil and I can say this tariff is directly affecting photographers here. The price of parts went up 35% in June, causing a huge increase in the cost of repairing photographic equipment. Since the products and parts are distributed by Canon USA throughout Latin America, we have to pay Trump's tariff even though our country has nothing to do with this trade war.

Interesting... so even places that do not have a tarrif are getting price increases. What is going on?

 

[CanonGrunt]

What is this going to do to the used market?

 

[Askeladden]

What is this going to do to the used market?

There has not been much innovation in the camera space that necessitates the newest model for the average consumer, in fact previous gen might still be overkill for what they intend to do with it. The market was trailing upwards before the trade war.

 

[John Wilde]

(USA) An indirect impact of tariffs is that it damages consumer confidence, so people are less likely to buy nonessential items.

 

[David - Sydney]

(USA) An indirect impact of tariffs is that it damages consumer confidence, so people are less likely to buy nonessential items.

indeed, inflation is a lagging indicator which explains why the Fed is reluctant to reduce rates. Lots of pre-loading of orders in the US to avoid tariffs will eventually hit consumers and business owners once the inventory has been exhausted.
Given the global events at the moment, our prime minister can't even get a sidelines discussion about tariffs. Only 2 weeks to go before the current pause ends. Will the pause be extended??

 

[dcisive]

Kind of sad to see the R1 pricing rise so high even past the price of a new Sony A1. The A1 has been a complaint of many for it's excessive price making what was the R1's price more attractive for a top line camera. Now Canon is the excessively priced one. Oh well.

 

[dcisive]

Looks like Canon is beginning a push for sell offs of their reconditioned stuff. The R5MkII now for $3500

 

[Del Paso]

Big Beautiful Tariffs + Big Beautiful Bill: One easy way to ruin an economy and to make the rest of the world hope for a new more intelligent leading world power.

 

[Del Paso]

Interesting. The R3 was on sale here in Norway just now for about $2900.

Which is the average price of a bottle of wine in a Norwegian restaurant.

 

[Del Paso]

What is this going to do to the used market?

Look at MPB Germany, for instance.
Quite often, sought after lenses and cameras -I'm not speaking of collector's items- cost as much or more than the same product in a store. I wonder who would pay 2-3% less for a used R5 II instead of buying it new with an international 2 year Canon warranty.
Used lenses can be even bought brand-new from reputed grey market companies up to 25% cheaper, with a reliable 2 or 3 year warranty.

 

[Del Paso]

indeed, inflation is a lagging indicator which explains why the Fed is reluctant to reduce rates. Lots of pre-loading of orders in the US to avoid tariffs will eventually hit consumers and business owners once the inventory has been exhausted.
Given the global events at the moment, our prime minister can't even get a sidelines discussion about tariffs. Only 2 weeks to go before the current pause ends. Will the pause be extended??

TACO?

 

[David - Sydney]

TACO?

we will see. His popularity went up with the bombing (whether effective or not) as a decisive move so maybe not TACO.
The Fed may even increase rates if the increased tariffs come into effect but he has to pay for the big beautiful bill somehow.
The dodgy accounting method will change the way bills are calculated in the future but they will still hit the debt ceiling issues.
At least a tariff is a consumption-based tax although it will hurt lower income people disproportionately.

Be prepared for market volatility either way although the markets seem to be shrugging off the war(s) somehow. Maybe they are banking in the increase in defense related spend being mandated across the world as US based companies will benefit mostly.

 

[CanonGrunt]

Hmmm. They announced another 25% tariff on Japan today… That’s gonna pinch.

 

[meywd]

Trump sets 25% tariffs on Japan and South Korea, and new import taxes on 12 other nations

President Donald Trump on Monday set a 25% tax on goods imported from Japan and South Korea, as well as new tariff rates on a dozen other countries.

apnews.com