{"id":45028,"date":"2026-09-07T10:21:17","date_gmt":"2026-09-07T05:21:17","guid":{"rendered":"https:\/\/www.my-equipment.com\/blog\/?p=45028"},"modified":"2026-09-07T10:24:49","modified_gmt":"2026-09-07T05:24:49","slug":"tariff-relief-gives-equipment-makers-a-break-but-it-wont-last","status":"publish","type":"post","link":"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/","title":{"rendered":"Tariff Relief Gives Equipment Makers a Break, But It Won&#8217;t Last"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The construction equipment industry has been dealing with rising production costs, supply chain disruptions and trade uncertainty over the last few years. But now for some good news. The US government has implemented temporary changes to Section 232 tariffs that may reduce the financial strain for many equipment manufacturers through the end of 2027.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Although this announcement is expected to lower costs for some agricultural and construction equipment, it does not address the issues facing the industry. Instead, it gives manufacturers a brief window to ramp up operations before the original tariff structure could snap back into place. Here\u2019s what the latest modifications mean for equipment manufacturers, dealers and buyers.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_87 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#What_Has_Changed_with_the_New_Tariff_Rules\" >What Has Changed with the New Tariff Rules?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#Why_These_Changes_Are_Important_to_Equipment_Makers\" >Why These Changes Are Important to Equipment Makers<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#Big_Equipment_Brands_Are_Still_Feeling_the_Heat\" >Big Equipment Brands Are Still Feeling the Heat<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#Which_equipment_categories_are_benefited\" >Which equipment categories are benefited?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#What_this_could_mean_for_buyers_of_equipment\" >What this could mean for buyers of equipment<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#Industry_Groups_Applaud_the_Choice\" >Industry Groups Applaud the Choice<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/#Temporary_win_but_not_a_permanent_solution\" >Temporary win, but not a permanent solution<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_Has_Changed_with_the_New_Tariff_Rules\"><\/span><b>What Has Changed with the New Tariff Rules?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The latest proclamation by the Trump administration makes temporary changes to Section 232 tariffs on steel, aluminium, and copper. These changes took effect on June 8, 2026, and will remain in effect until the end of 2027.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One of the biggest changes is the reduction of tariffs from 25% to 15% for certain agricultural, construction, and mobile industrial equipment imported from qualifying trade partners. At the same time, the government has relaxed the rules for products claiming U.S.-made steel content, lowering the threshold from 95% to 85%. Products made abroad with at least 85% U.S. steel or aluminum will also be eligible for lower duties. Products governed by the USMCA agreement will get extra flexibility through lower duties on their non-U.S. content.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_These_Changes_Are_Important_to_Equipment_Makers\"><\/span><b>Why These Changes Are Important to Equipment Makers<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Steel and aluminium remain among the most important materials used in the manufacture of construction equipment. Whether it is <\/span><a href=\"https:\/\/www.my-equipment.com\/track-excavators\"><span style=\"font-weight: 400;\">excavators<\/span><\/a><span style=\"font-weight: 400;\">, <\/span><a href=\"https:\/\/www.my-equipment.com\/wheel-loaders\"><span style=\"font-weight: 400;\">wheel loaders<\/span><\/a><span style=\"font-weight: 400;\">, <\/span><a href=\"https:\/\/www.my-equipment.com\/crawler-dozers\"><span style=\"font-weight: 400;\">bulldozers<\/span><\/a><span style=\"font-weight: 400;\">, <\/span><a href=\"https:\/\/www.my-equipment.com\/cranes\"><span style=\"font-weight: 400;\">cranes<\/span><\/a><span style=\"font-weight: 400;\">, or<\/span><a href=\"https:\/\/www.my-equipment.com\/motor-graders\"><span style=\"font-weight: 400;\"> motor graders<\/span><\/a><span style=\"font-weight: 400;\">, the rising metal prices directly increase the production cost.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Cutting tariffs on some equipment and materials could save manufacturers that rely on global supply chains a bundle over the next 18 months. These savings could help companies manage inflation, improve production planning, and ease some of the financial pressure that has built up since higher tariffs were introduced.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But these are temporary measures, and it is unlikely that manufacturers will make long-term business decisions based solely on this relief. Many firms will continue to emphasize supplier diversification and increased domestic production where feasible.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Big_Equipment_Brands_Are_Still_Feeling_the_Heat\"><\/span><b>Big Equipment Brands Are Still Feeling the Heat<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Some global manufacturers reported good sales in parts of their business, but tariffs remain a drag on profitability.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Caterpillar, for example, reported good demand for equipment and higher operating profits, but also reported hundreds of millions of dollars in extra manufacturing costs related to tariffs. The costs of tariffs are expected to be more than $2 billion in 2026.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CNH Industrial, the parent of Case Construction Equipment and New Holland Construction, also reported weaker construction equipment earnings. Lower sales in North and South America, higher tariffs, and higher labor costs led to lower profitability even with improved pricing.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Komatsu reported flat global equipment sales, but operating income fell as rising costs offset revenue gains. Kubota reported strong top-line and profit gains, but management acknowledged that U.S. tariffs added about $150 million in costs in the quarter.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Volvo Construction Equipment had an even tougher challenge. Rising operating costs, supply-chain issues, and continued global trade uncertainty were major factors in the company\u2019s decision to close its Rokbak articulated hauler business, it said.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Taken together, these results point to an important fact: high demand for equipment is not enough to protect manufacturers when production costs keep increasing.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Which_equipment_categories_are_benefited\"><\/span><b>Which equipment categories are benefited?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The temporary tariff reduction applies to a broad range of heavy equipment used in construction, mining, logistics, and infrastructure projects.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Eligible categories include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Motor graders<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bulldozers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Wheel loaders<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Track loaders<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Hydraulic excavators<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Backhoes<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Road rollers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Scrapers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Forklifts<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Mobile cranes<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Track-type tractors<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Various replacement parts and attachments<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\"><br \/>\nFor companies that import or distribute these machines, the temporary reduction may help with purchasing flexibility and inventory planning.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_this_could_mean_for_buyers_of_equipment\"><\/span><b>What this could mean for buyers of equipment<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Lower manufacturing costs don\u2019t always translate into immediate price cuts, but they can help slow price increases in the future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">More stable dealer inventory costs and better equipment availability for buyers could be realized with increased manufacturer production during the relief period. Contractors looking to upgrade their fleets may find the next 18 months to be a more buyer-friendly market than the industry has seen in recent years.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That said, don\u2019t expect buyers to get dramatic price cuts. Equipment prices will continue to be affected by tariff policies, material costs, labor costs, shipping rates and global economic conditions.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Industry_Groups_Applaud_the_Choice\"><\/span><b>Industry Groups Applaud the Choice<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Construction equipment groups have welcomed the temporary changes.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Industry leaders say the reduced tariffs will help lower manufacturing costs, strengthen supply chains and provide companies with more time to scale up domestic production. Trade certainty remains critical for long-term investment and infrastructure development, said organizations representing equipment manufacturers and distributors.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Many companies are still pressing policymakers to establish steady trade policies that enable manufacturers to plan years ahead, rather than respond to short-term tariff shifts.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Temporary_win_but_not_a_permanent_solution\"><\/span><b>Temporary win, but not a permanent solution<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The latest tariff changes provide meaningful relief to construction equipment manufacturers but should be viewed as a temporary opportunity rather than a permanent fix.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Most of the big manufacturers are still dealing with higher production costs, supply chains that are moving around, and unclear global trade conditions. While the lower tariffs could help financial performance over the next year and a half, in the longer term competitiveness will still be a function of efficient manufacturing, resilient sourcing strategies, and stable international trade policies.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Contractors, dealers and equipment buyers will continue to need to monitor these policy changes closely as government decisions continue to impact equipment availability, production costs, and market pricing throughout the heavy equipment industry.<\/span><\/p>\n<blockquote><p><span style=\"font-weight: 400;\">Looking to invest in reliable heavy equipment while market conditions remain favorable? <a href=\"https:\/\/www.my-equipment.com\/\">MY Equipment<\/a> offers a wide selection of quality used construction machinery from leading global brands. Explore <\/span><a href=\"https:\/\/www.my-equipment.com\/stock-list\"><span style=\"font-weight: 400;\">our inventory<\/span><\/a><span style=\"font-weight: 400;\"> today and let our team help you find the right machine for your next project at a competitive price.<\/span><\/p><\/blockquote>\n<p style=\"text-align: center;\"><span style=\"font-size: 18pt;\"><strong>Don\u2019t forget to subscribe to our YouTube channel for more equipment offers and insights into the industry. <\/strong><\/span><\/p>\n<p><center><iframe loading=\"lazy\" title=\"YouTube video player\" src=\"https:\/\/www.youtube.com\/embed\/Nni3IEZSDA8?si=CS9_zGu-m450s0I5\" width=\"560\" height=\"315\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe>\u00a0 \u00a0 \u00a0 \u00a0<\/center><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The construction equipment industry has been dealing with rising production costs, supply chain disruptions and &hellip; <a href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Tariff Relief Gives Equipment Makers a Break, But It Won&#8217;t Last&#8221;<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":45030,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1155,126],"tags":[5508,4026,1086,5478,5091,2443,147,5504,2400,391,5498,1080,2063,29,5502,5505,5507,5497,5501,5500,5506,5499,5503,1027,5496],"class_list":["post-45028","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-feature","category-news","tag-2027-equipment-prices","tag-construction-equipment-manufacturers","tag-construction-equipment-market","tag-construction-equipment-oems","tag-construction-equipment-prices","tag-construction-equipment-tariffs","tag-construction-machinery","tag-equipment-costs","tag-equipment-industry-trends","tag-equipment-manufacturing","tag-equipment-tariffs-2027","tag-heavy-equipment-manufacturers","tag-heavy-equipment-prices","tag-heavy-machinery","tag-import-tariffs","tag-manufacturing-supply-chain","tag-oem-supply-chain","tag-oem-tariffs","tag-supply-chain","tag-tariff-changes","tag-tariff-impact","tag-tariff-relief","tag-trade-tariffs","tag-u-s-construction-industry","tag-u-s-tariffs"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Tariff Relief Gives Equipment Makers a Break, But It Won&#039;t Last<\/title>\n<meta name=\"description\" content=\"Learn how the latest U.S. tariff changes could impact construction equipment manufacturers, major OEMs, supply chains, and heavy equipment prices through 2027.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Tariff Relief Gives Equipment Makers a Break, But It Won&#039;t Last\" \/>\n<meta property=\"og:description\" content=\"Learn how the latest U.S. tariff changes could impact construction equipment manufacturers, major OEMs, supply chains, and heavy equipment prices through 2027.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.my-equipment.com\/blog\/2026\/09\/tariff-relief-gives-equipment-makers-a-break-but-it-wont-last\/\" \/>\n<meta property=\"og:site_name\" content=\"Heavy Equipment Market Insights | News | Guides &amp; 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