Athearn Announcement

[John]

mportant Notice Regarding Upcoming Price Adjustments
At Athearn, we value transparency and open communication with our customers. We’d like to inform you of an important update regarding our pricing structure. For over 20 years, Athearn has produced our Roundhouse, Athearn, and Genesis HO and N scale models at factories in China. During that time, we’ve faced increased costs from raw materials and shipping but have largely been able to absorb those expenses without significant changes to pricing. However, recent tariffs imposed on all imports from China have created new challenges. Unlike previous increases, these tariffs have had a substantial impact, and unfortunately, we are no longer able to absorb the added costs.
Effective Monday, March 24th, we will implement a price increase to help offset the effects of these tariffs. This adjustment will apply to:
• All current open pre-orders
• Items in the April 2025 pre-order packet and beyond
• In-stock items shipping from Horizon Hobby
We understand this may come as disappointing news, and this was not an easy decision. Our hope is that this is a temporary measure. Athearn and Horizon Hobby will continue to closely monitor the situation and make adjustments as necessary.
We truly appreciate your continued support and understanding.
— The Athearn Team

[mu26aeh]

Once prices go up, they rarely come down on items in this hobby.

And of note, during his first term, model trains were not included in announced tariffs.  This time around, it was blanket

[Dave V]

I have a pre-order in with BLI for the new run of PRR M1s. I wonder if BLI will have to follow suit and raise prices. Well, technically my pre-order is through Train World. So... Who knows.

[Maletrain]

I have 3 pre-orders that should have been delivered already, but are not yet "available".  I expect those are going to be increased in price, too.

Just one more reason to not pre-order anything.  You commit, but the vendor commits to nothing - not price, date, or even actual production.  I guess I could cancel, but I will wait, watch - and learn.

The tariffs are probably already killing any vendor plans for new North American prototype models at this point, anyway.

I think Turbowhiz is using U.S. manufactured parts, so maybe a lack of new models from abroad will free up my wallet for a massive coupler swap - assuming he eventually gets the Npossible couplers to market.

[garethashenden]

I think Turbowhiz is using U.S. manufactured parts, so maybe a lack of new models from abroad will free up my wallet for a massive coupler swap - assuming he eventually gets the Npossible couplers to market.

The source of the parts doesn't matter. If the complete coupler comes from Canada it will get whatever the relevant tariff is. If some of the parts come from the US and then go to Canada they will get the tariff twice, assuming Canada has a tariff on incoming US products. This is the problem the auto industry has been facing, with components crossing the border regularly during the production process and having a tariff added every time. Its far more than just one charge added at the end.

[wcfn100]

You guys are forgetting that with these model trains tariffs, we're going to become so rich, we're not even going to know where to spend all the money.

Jason

[Dave V]

Just one more reason to not pre-order anything.  You commit, but the vendor commits to nothing - not price, date, or even actual production.  I guess I could cancel, but I will wait, watch - and learn.

I don't think any modeler really likes the pre-order process, but oft times it's the only way to ensure you get one. Fortunately many online stores don't require deposits for pre-orders.

[Albert in N]

   I suppose both VAT plus tariffs will apply to some international shipments. 

[turbowhiz]

The source of the parts doesn't matter. If the complete coupler comes from Canada it will get whatever the relevant tariff is. If some of the parts come from the US and then go to Canada they will get the tariff twice, assuming Canada has a tariff on incoming US products. This is the problem the auto industry has been facing, with components crossing the border regularly during the production process and having a tariff added every time. Its far more than just one charge added at the end.

This. And to pull even further, my US supplier sourced base material for the stampings is from Germany. So my supplier input costs will likely go up as well, and everything gets passed along.

I hope that things settle down and some amount of certainty can be established, but probably the only thing that’s certain at this point is that prices are going nowhere but up, substantially.

[spookshow]

I think I may switch over to collecting Fabergé eggs. Model trains are getting awfully pricey 

-Mark

[jdcolombo]

Not sure why prices should go up on in-stock items - presumably these are not subject to the tariff increase.  But I'm assuming that everything I buy from here on out will be 10% - 25% higher.  Fortunately, the only thing on my pre-order list is the new run of LifeLike Berkshires courtesy of Atlas, which probably won't be available for a year or more, so I'll deal with it when the time comes.  By then, we'll probably be in a recession, so maybe prices will drop to compensate!  Ah!  Now I get it!

John C.

[pmpexpress]

mportant Notice Regarding Upcoming Price Adjustments
At Athearn, we value transparency and open communication with our customers. We’d like to inform you of an important update regarding our pricing structure. For over 20 years, Athearn has produced our Roundhouse, Athearn, and Genesis HO and N scale models at factories in China. During that time, we’ve faced increased costs from raw materials and shipping but have largely been able to absorb those expenses without significant changes to pricing. However, recent tariffs imposed on all imports from China have created new challenges. Unlike previous increases, these tariffs have had a substantial impact, and unfortunately, we are no longer able to absorb the added costs.
Effective Monday, March 24th, we will implement a price increase to help offset the effects of these tariffs. This adjustment will apply to:
• All current open pre-orders
• Items in the April 2025 pre-order packet and beyond
• In-stock items shipping from Horizon Hobby
We understand this may come as disappointing news, and this was not an easy decision. Our hope is that this is a temporary measure. Athearn and Horizon Hobby will continue to closely monitor the situation and make adjustments as necessary.
We truly appreciate your continued support and understanding.
— The Athearn Team

Although "In-Stock items" were not subject to the upcoming tariffs, the price of these items will be increased anyway!

Wonder how many other US firms will use this opportunity to increase their net profits on pre-tariff purchased goods?

[Pizzaparty]

I haven’t paid close enough attention, because I feel like the whole deal keeps getting changed around -

But are things from Japan (Kato) affected by the tariffs?

[up1950s]

Look fellow modelers , we need to dig deeper . If demand dries up so does our sources . Buy a different car , tool , or whatever , but keep the hobby alive . With the tariffs there is more opportunity for made in the USA , but the manufacturers here needs to stay alive long enough to seek other sources , methods , or whatever . Hmmm ..... black market trains .... train busts at the border .... drone drops .... locked up by the Feds for 10-20 in a girly doll factory .

[lock4244]

I think I may switch over to collecting Fabergé eggs. Model trains are getting awfully pricey 

-Mark

This