GSP Expiration Increases Costs for Replacement Tractor Parts

Reliance Parts Corporation supplies new and remanufactured parts for John Deere and other types of heavy-duty diesel engines.  Headquartered in Minden, Nevada, Reliance’s 62,000 square foot facility hosts its sales, marketing, purchasing, and materials management functions, in addition to its largest selection of parts.  Reliance also operates warehouses in South Dakota, Tennessee, and several foreign countries.

Reliance imports rubber gasket sets from India.  GSP waived the 2.5 percent tariff on the nearly $40 million worth of rubber gasket sets imported under GSP in 2010.  Surprisingly, Reliance isn’t even the only Nevada company importing gasket sets from GSP countries.Dynamic Seal & Gasket (the website is worth checking out), located in Sparks, has imported rubber gaskets from both India and the Philippines.

Without GSP, companies like Reliance and DSG face a difficult decision: raise prices and risk losing business to competitors that import from places like China and Japan (whose tariffs didn’t go up) or keep prices the same and cut into profit margins.

This entry was posted in India, Nevada, Philippines, South Dakota, Tennessee. Bookmark the permalink.

One Response to GSP Expiration Increases Costs for Replacement Tractor Parts

  1. Pingback: Digging Deeper into the 2010 GSP Import Data | Renew GSP Today

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