W hen the Trump administration rolled out tariffs on imports — particularly from China — many MI business owners felt the same uncertainty they’d experienced during the early days of the COVID-19 pandemic. Each week brought a surge of emails from suppliers, setting off a chain of “What do we do now?” and “Let’s just wait and see” conversations for retailers. As we finalize this June issue in early May, the first boats carrying Chinese goods with newly imposed tariffs have begun to arrive at the Port of Los Angeles. “We are now beginning to see the flow of cargo to the Port of Los Angeles slow. It’s my prediction that in two weeks time, arrivals will drop by 35%,” PERSPECTIVE I BY KATIE KAILUS A CASE OF COVID DEJA VU
Eugene Seroka, Port of Los Angeles execu- tive director, said at a Los Angeles Board of Harbor Commissioners meeting on April 24. This type of news harkens back to the not-so-distant past when pandemic-induced supply chain disruptions rocked the MI and pro-audio industries, leading to empty store shelves and stressed business owners. So, in this month’s issue, we’ve taken the pulse of the tariffs’ effect on the MI industry with a special feature to lead off the Industry News section on page 16. Here, we speak with several manufacturers, all of whom asked to remain anonymous, as well as a few of the industry’s biggest brick-and-mortar retailers who have shared the effects they’re feeling in their own businesses.
Several school music retailers — including this month’s cover subject, Dietze Music, along with Robert M. Sides Family Music Centers and Menchey Music — reported receiving a barrage of supplier emails containing updated price lists and price increase warnings, heightening their concern for school music programs, as most beginner-level B&O instruments are produced overseas. However, a few retailers shared their “silver linings” with us. Anthony Mantova of Mantova’s Two Street Music in Eureka, California, said that tariffs are offering him a chance to process his overstock. “Tariffs are not directly affecting my business because we need to increase our ‘flip rate,’” Mantova told us. “Every year, Daniel Jobe at [industry CPA firm] Friedman Kannenberg tells me to increase our flips per year, and thanks to tariffs I can’t buy as much new stuff. I’m forced to get more aggressive with used goods. So, in an ironic way, this will help me process the mountain of used gear and the heavy overstock of accessories that I fattened up on during the COVID era.” Justin Sims, general manager of Sims Music in Columbia, South Carolina, said he’s seen several suppliers send over new pricing sheets while others have “hit the brakes while they figure some things out.” “We’re assuming we’ll see price changes from everyone and are just keeping an eye out,” Sims said. “Business has been really good lately, so we’re thinking the higher prices may benefit us with more dollars coming in. We’ll see.” Whether you’re sitting on a mountain of inventory like Mantova or worried about the ramifications for your local school music program, the tariff situation is constantly evolving, and Music Inc. will continue to bring you up-to-date insight in future issues of the magazine. MI
8 I MUSIC INC. I JUNE 2025
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