Ryan Petersen

I haven't met anyone who said, oh, because of these tariffs, I'm going to start doing production in the U.S.

I've read some headlines on it, and they've done some White House announcements and things, but those aren't my customer base.

And my customer base met at least a half a dozen companies that said stop production in the U.S.

because of the cost of the components coming in.

Oh, interesting.

And there's kind of like three categories of these two or three.

One is people.

For example, we have a bicycle company that makes bicycles in the US kids bikes.

And for some reason, they made an exemption for importing bikes.

They're duty free, but not bike components.

So their costs went way up and their competitors from overseas didn't.

So they're cheaper to manufacture overseas.

So they're moving their factory that has been a well-known brand, reasonably well-known brand known for being made in America.

And they're like, it doesn't work anymore.

So that's one example.

Two is if you're doing it for export, you're exporting goods, you're paying, your costs have gone up on the import.

of the goods, of the components, doing assembly in the U.S.

and then exporting, you're better off setting up that factory now somewhere else where you don't have the cost on the imported components.

Third would be machinery costs.

So, like, a friend of mine was setting up a line for a fab, like a semiconductor fab, and just decided, like, the machines are made in Germany for that particular line.