enabled them add casting facilities at a rate which would be impossible in the U.S which would face significant delays in permitting new foundries.
So, what do we say the next time a customer asks where the best price is to be found on cast steel valves? Like throwing a boomerang, it’s more complicated than it looks. The second it appears a country like India might have the advantage... boom, tariffs strike again.
In all likelihood, most U.S. companies, the same ones that once sourced from Mexico but shifted to China for cost reasons, will probably adopt a dual-source strategy. China didn't become China overnight and the countries aiming to take their manufacturing throne will have a daunting task trying to equal their production. Afterall, the factories that made China the leader in global production are still there, and even with tariffs, their prices are still hard to beat.
Or--my personal favorite option--distributors could buy a lot more inventory.
ABOUT THE AUTHOR
Kyle Nix is a PVF professional with over 20 years experience in the industry with roles ranging from business development, procurement, and sales leadership. He has been a member of the PVF Roundtable since 2004 and is currently a Regional Manager at Kitz Corporation.