Moog says Chinese tariffs could force overseas move: NPR

Moog, the legendary designer and synthesizer manufacturer based in North Carolina, is the latest American company to sound the alarm on the increase in operating costs.

The next round of tariffs on Chinese products is expected to begin Friday, 34 billion dollars worth of goods imported from China. In exchange, China announced that it would charge $ 34 billion worth of US goods

which prompted customers to contact Republican lawmakers in North Carolina, Mark Meadows and Patrick McHenry, and Richard Burr and Thom Tillis. , in an email to his customers. The company warned that the rates "would immediately and dramatically increase the cost of building our instruments, and would have the real potential to force us to lay off workers and could (in the worst case) force us to move, if not all, of our manufacture abroad. "

The company has provided a template letter to North Carolina officials, asking customers to sign and send in. In the letter template, Moog explains that he is trying to manufacture his cards. printed circuits from US suppliers when this is possible, sometimes paying up to 30% more than it would cost to buy the same cards abroad. When Moog buys from domestic suppliers, most of the raw components still come from China, which is why Moog warns that it can not avoid "this substantial cost increase."

None of the four legislators has responded to a request for comment on Moog's letter Moog says he does not comment further

Moog Music was founded in 1967 as RA Moog, Inc. by its namesake, Robert Moog, an inventor and engineer who has become indissociably related to electronic music his regular production of material during the last half of the 20th century helped facilitate. Moog has always been a handyman, however: "The musicians always invent things that I could not imagine, using my instruments," he once said

in 2002 – decades after he founded, sold, and left his business. Robert Moog regained the right to use his name, which he immediately did, renaming his company based in Asheville, North Carolina, Big Briar. Moog died three years later.

Three years ago, his CEO, Mike Adams, announced that he was selling part of the business to his employees.

Moog is not the only American company to be affected by the recent changes. International exchange. On June 25, the iconic American motorbike manufacturer Harley – Davidson announced plans to transfer some of its production overseas in response to tariffs on US products set up by the United States. European Union. merchandise.