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“25 to 30% of our turnover”: why Trump’s customs duties threaten the manufacturers of French music instruments

As a result of customs tasks, purchases of French musical instruments in the US market have returned in recent weeks. Professionals fear employment repercussions.

Clarifical, harps, cases: several French manufacturers of musical instruments, affected by 15% of customs duties imposed by the United States in European products, are concerned about the employment and maintenance of their knowledge.

The situation is “worrying,” he says, for orders books of his classic harps, sold between 3,000 and 4,000 euros, and his Celtic harps (15,000 to 30,000 euros). Since August 7 and the application of the commercial agreement signed at the end of July between Brussels and Washington, the sector, like others, has been subject to customs duties at a rate of 15%, much higher than the previous rates (almost nun or less than 5%).

A drop in purchases “15 to 20%” in the United States

The United States is also the first market of Craftsman Luthier Buffet-Fampon, almost 1,000 employees and worldwide in music. It is “about 30% of our annual turnover” (100 million euros), underlines Jérôme Perrod, president of this camera specialized in clarinets, oboe or trumpets. Its high -gas professional instruments are manufactured in France or Germany and study instruments in China.

The manufacturer, which offers professional clarinets between 3,000 and 8,000 euros (up to almost 27,000 euros for a contract), awaits a fall in sales volumes. Professionals, study instruments for students, US rental companies “will delay their purchases or use their current instruments for a longer period,” according to him. Since the arrival of Donald Trump to the White House, he has already observed “a fall of 15 to 20%” of purchases in the United States, where the music study is widespread for children between 9 and 12 years, remember.

A weak dollar that does not help

Double penalty, this customs measure is added to the weakness of the dollar compared to the euro. “By combining both, the prices of our harps increase by 22%,” says Jakez François. Hard blow, while its main competitors are in the United States. With respect to clarinets, the United States “does not manufacture this type of instruments”, which means that according to Jérôme Perrod, the country will not obtain any advantage.

Trump’s tax “very bad news for French manufacturers”, also alarmed in a press release, the Chamber of the Union of the Instrumental Invoice (CSFI, Craftsmen and Distributors). In addition to the manufacture of harps and wind instruments, France is also recognized by certain accessories (floors and reeds, strings and cases), among others. The US market, the first market of musical instruments worldwide, “represents between 5 and 40% of the turnover” of these manufacturers, specifies Fanny Reyre Ménard, president of CSFI.

More than one billion euros instead for the French sector in 2023

In 2023, the instrumental sector in France represented 2,400 companies, 6,500 people, with an accumulated turnover of companies, all activities combined for a value of 1,100 million euros, according to data from the Union Chamber. The key, therefore, are threats to employment. Buffet-Fampon had to establish partial unemployment measures in France and Germany in June (reduction in working time from 10 to 20%).

Jerome Perrod anticipates “the gradual departure from his staff”, which will not be renewed, that is, “one hundred people in the 18 months that come” in their French, German and Chinese sites. These are “unique knowledge that requests years of training, appreciated by great professionals, that we run the risk of losing for a history of rights,” worries Laurent Mnertot, vice president of the U2P, employers’ union that represents the sector. Is an exemption measure possible?

Unless the situation changed: last week, a US Federal Court of Appeals ruled that a large part of the customs duties imposed by Donald Trump were illegal. The latter asked the Supreme Court to decide quickly.

Author: PL with AFP
Source: BFM TV

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