The reciprocal tariffs announced in President Trump’s April 2 Executive Order will have serious and devastating consequences for the music products industry, which is already facing challenges from the previous tariffs imposed on products imported from China, Canada, and Mexico, as well as the additional tariffs on imported materials. 

NAMM president John Mlynczak

Mlynczak went on to say “The unique supply chains of the music products industry are also unfairly impacted by these tariffs. For example, while the share of all U.S. imports from China is 13.4%, the music products industry’s China imports are 43%. Vietnam is 4.2% overall, while the music products industry is 26%.  “

As tariffs continue to trigger shockwaves in markets across the globe, the musical instrument market is requesting an exemption in an effort to sustain the U.S. music products industry, which largely depends on instrument production and manufacturing in other countries, as well as sourcing raw materials that aren’t available in the United States.

The President and CEO of The National Association of Music Merchants (NAMM), John Mlynczak, has since responded to Trump’s tariffs, urging the administration to “exempt musical instruments and accessories, along with materials used to manufacture musical products”.

Large guitar vendors such as Sam Ash, Fender Musical Instruments Corporation and Guitar Center have all been in the news over financial difficulties. You just have to wonder how these tariffs are affecting their supply chains.

I’ve seen Reddit posts saying that Sweetwater has cancelled orders due to lack of availability. Other industries are also being affected. Walmart has projected empty shelves within a few weeks. Harbor Freight has reduced employee hours and suspended sales in many, if not all, locations.

The Used Guitar Market

Many people suspect that used guitar prices will rise. But if the economy overall takes a hit, the used guitar market may first be flooded since people may need cash, and for many, offloading a guitar is more painless than losing a car or cutting back on other items.

If the used guitar market becomes flooded (supply much greater than demand), those with wealth or job stability may have “good pickings” but those guitars usually need some work – at least a good setup – to be at their best. So higher parts costs, and higher wages due to the inevitable inflation, may even out the apparent savings.

Small Guitar Shops

Small guitar shops are feeling the effects too. Many loaded up on small tools, supplies, and parts before the tariffs took effect. Imports less than $800 value were previously allowed through customs tariff-free due to the de minimis provision. But imports from China and Hong Kong will no longer qualify for that exemption as of May 2, 2025, and a 145% tariff makes most of those items unaffordable.

Interesting Times

It seems we are living in “interesting times”, as the (supposive, and somewhat ironic) Chinese curse goes!