Pricing Changes in response to the Tariff action under US Section 301 on products from China

Dear Customer,

As you are now aware, US Government confirmed their previously announced action to impose a new tariff of 10% effective September 24th for all shipments entering US Customs for a wide range of products coming from China, which could be increased to 25% on January 1st, 2019. From our review of the list of products affected by this action, DI AWWA Fittings, Accessories, Joint Restraints and Fabricator products including Threaded Flanges are affected by this action.

To reflect these additional tariff costs, we plan to take the following actions:

  • Effective September 24th, 2018, our multipliers to you for all new quotes and orders for AWWA Fittings, Accessories, Joint Restraints, and Fabricator Products will be increased by 10 -12% off our Price Lists effective April 16, 2018 (Fittings & Joint Restraints), April 23, 2018 (Accessories), and July 9, 2018 (Fabricator Products).
  • All previously received ‘Hold for Release’ Orders received prior to September 18th, 2018 and new Orders received before September 24th, 2018 will be honored for shipments by September 28th, subject to the availability of stocks. Any items not available will be honored at the above new pricing, to be shipped byDecember 31, 2018.
  • Any future ‘Hold for Release’ orders received after September 18th, 2018 at the above revised pricing will have to be shipped by December 31, 2018.
  • For Municipal and Annual Bids, we will work with customers on a case by case basis, subject to terms and conditions agreed to, including Force Majeure clause which may apply to the supply agreements.
  •  As per Government’s announcement, it is likely that the tariff may escalate to 25% after January 1st, 2019.  In any case, we have experienced significant changes in our product costs due to raw material, environmental regulations, currency fluctuations, freight costs and of course, now, additional tariffs. We plan to review our costs for each item and publish a new price list to be effective January 1st, 2019.

We are aware of the significant uncertainty and inconvenience caused to you and your customers this year of considerable changes in our costs and including the tariffs making changes to our pricing necessary. But, we request you to continue your patience and trust you have extended to SIGMA all these 33 years to treat you in a reliable and responsible manner.

As always, we thank you for your business and friendship and looking forward to servicing you for a long time.




Greg Fox
Vice President of Sales
SIGMA Corporation