Dan Florness

We will be doing some price increases in Q4.

I suspect we'll be doing some price increases as we move into 2026.

But again, our first discussion with the customer, they understand it.

They're willing to move on price.

Our first discussion is always, what are alternatives to this product?

that maybe doesn't mean we have to raise your prices 5%.

Maybe it means it only has to be two.

And we'd rather go to two because that's what a supply chain partner does.

Yeah, so for us, tariffs have been in the equation since the early part of the second quarter, a little bit of first quarter.

I think in the individual that handles pricing, historically, he'll provide us an update once a month.

He'd gotten to the point where he was not only providing us updates, he was up to video number 14 as of July that he was serving out to the field, giving them guidance into what we were seeing in our supply chain.

And so we've been adding price as we've gone through the year and these have been discussions with customers.

And I hope that answers your question.

We've been moving supply chain around the planet in earnest since 2017, 2018 timeframe.

As our name would imply, we sell a lot of fasters.

And most of the fasters in North America come from either mainland China or Taiwan.

And the automotive industry took the production there back in the 50s and 60s, actually took it to Japan and South Korea, and it migrated from there.

If I look at our resources, we now have a sourcing team in Shanghai, but we have a sourcing team in Bangkok.

We have a sourcing team in northern India, and we have worked to diversify our supplier base around the planet and a little bit more in North America, but really around the planet.

So to have diversity in supply, so you're not caught off guard by some price change or a tariff change.