tariffs

Growing up in Virginia, John Mlynczak, now president/CEO of the National Association of Music Merchants (NAMM), didn’t have much money to spare, but he always dreamed about the day he could take home a Martin guitar. In college, he says his now-wife and mom “plotted and saved up to both go in together” to buy him one as a gift. “I still have it,” he recalls with pride. “It was made in Mexico. I didn’t care. I would not have been able to hold that brand and that signature square headstock in my hand if it wasn’t for the affordability and quality” of what Martin was making in its Mexican factories.
Mlynczak’s story is a common one. Many musicians, whether they know it or not, are playing instruments that were made entirely (or in part) in Mexico, Canada or China. For example, 989,621 acoustic guitars were imported from China and 187,722 acoustic guitars were imported from Mexico in 2024, according to data from the U.S. International Trade Commission. Top guitar brands like Fender, Martin, Taylor and more create many of their moderately priced products in Mexico; popular drum kit manufacturers like PDP, Yamaha and Pearl all list instruments made in China on their sites. While Mlynczak says instrument brands “have so much strong manufacturing in the U.S.” already — more than most other industries — those American-made products are cost-prohibitive for a lot of musicians.

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So when the Trump administration enacted a new 25% tariff on imports from Mexico and Canada and added an additional 10% tariff for Chinese goods on Tuesday (March 4), Mlynczak and NAMM sprung into action to help members weather the storm — though really, the trade organization has been helping members with storm after storm over the last decade, which has been especially turbulent for the instrument market. Whether it was the tariffs during Trump’s first term in 2018, the stress on the supply chain during COVID-19, or this week’s latest action, NAMM has engaged in a never-ending effort to make the voice of music manufacturers heard.

Though there’s not much anyone can do to stop the tariffs, NAMM is creating working groups for its members to come together and share tips, including providing essential information straight from Washington, D.C.; encouraging members to submit comments to Congress about how tariffs affect business; and building alliances with other impacted industries.

“The global supply chain has allowed us to make high-quality, affordable products, and it’s taken decades to do that,” says Mlynczak. “When you start raising the price everywhere of what it costs to import goods, it’s challenging, and it really threatens everything we’ve learned to do as an industry.”

Now that these tariffs have taken effect, what is NAMM’s role in helping its members?

NAMM’s first job as a trade association is to represent our industry on anything that affects them, and research and get the facts and help our industry navigate any policy. NAMM has been involved in tariffs, especially since the 2018 tariffs were imposed. We did a lot of work on that, and we were monitoring all the pre-election coverage on tariffs last year. We were fully ready for this and have been heavily involved, not only with our NAMM members but also building alliances with other associations and industries that were also impacted. 

What are the key differences about the tariffs in 2025 versus those during Trump’s first term in 2018?

There was a different mechanism used by President Trump at the time, and there was an exception process. So after the tariffs were imposed, we led efforts to try to get exceptions from tariffs for music product categories. It was a long process that we worked through with many associations. This round, however, the tariffs so far have been implemented with no exceptions and no process for exceptions.

Were you able to get any exceptions last time? If so, for what product categories?

In 2018, very few exceptions were granted for musical instruments — those typically were granted to larger industries. We are actually a very small industry overall. While we work really hard for exceptions for music-making equipment, concerns about the furniture industry or the lumber industry, for example, can dominate the conversation… Unfortunately, we fought the good fight, but few exceptions were granted – but really that’s true for most industries. 

What country or region is most popular for the manufacturing of musical instruments? 

China is the largest manufacturing hub for products worldwide. Secondarily, there is a lot of instrument manufacturing in Mexico, U.S., Canada, Indonesia. We have lots of manufacturing in Europe too. But I think the thing to keep in mind is that this is important for the affordability of products and the level of musicians that can afford them. As an industry, you have people who are starting out playing music for the first time. They don’t know how much to invest, but they want a quality product and a price that is reasonable. They’re not ready to get a customized mahogany-backed instrument right away, right? As you progress as a musician, then you start spending more. 

We have lots of companies that make musical products in the U.S. We are proud to have a substantial amount of high quality music products made in the U.S. — it’s an impressive number compared to other industries — but the way it works is you have your highest level custom products made in the U.S., then your mid level and entry level products are made by partners in Mexico, China and other countries. 

One thing we’d like people to understand is the reason why we have companies that can afford to build their highest-end products in the U.S. is because they have the revenue from the mid-to-entry level products from overseas. Our supply chain is deeply interconnected. It’s not like an instrument is solely made in China or Mexico. What happens is you have certain components that are made really well in China that are then imported for final assembly. Or you have a factory in Mexico that has a specialty in making certain components that are imported. Then they are assembled in the U.S. This happens because this work is highly specialized. 

What’s really devastating about this idea of “Oh, we’ll just move manufacturing elsewhere” is that it’s actually not that easy. What we’re building are not generic widgets that come off a line. These workers around the world are trained to understand how to test musical products, to buff the bell of a brass instrument perfectly, to tune the strings on a violin. There are handmade components to these instruments that take — in some cases — decades to do right. These factories often have multi-generational workers. This isn’t a skill set you pick up overnight. 

Now that you know Trump’s tariffs are being enacted — and that there are no exceptions — what course of action do you take from here as a trade organization? 

Our members are looking for the most factual information, so we have a lobbying firm and law firm in D.C. that allows us to get vetted, factual information. With all the news coming out, it’s difficult to get down to the actual nitty-gritty information that a brand needs. So we are a source for our members to come to. What we try to do is save them time — there’s thousands of companies impacted right now. We’re also creating a working group of members specifically who are impacted by tariffs and bringing them together every two weeks so we can feed them what we’re hearing, anything like “We think this might happen” or “There’s talks of this…”’ and they can share advice with each other. 

I know this is not a support group, this is business, but in a tough time that impacts the whole industry, it almost feels like that.

Yeah, these are groups of competitors coming together, but they all are actually concerned for each other and their product categories. They’re concerned for music-making in general. It’s really sweet to see that, as an industry, people are literally sitting across from their number one competitor and saying, “What are you hearing? How can we work together?”

I know, as a trade organization, you can’t speak to individual companies and how they are reacting, but have you heard of any solutions that companies are turning to that seem helpful?

The challenge is that these tariffs are intentionally punitive, intentionally non-exemptible. The retaliatory tariffs actually make the impact harsher because we have so much strong manufacturing in the U.S., so not only do import tariffs cause problems, but export tariffs do too. American-made instruments are really coveted by musicians around the world. It’s a double whammy. The squeeze is really real.

Given tariffs often lead to an increase in the price of products, do you think this will lead to a surge in the used instrument market?

It could… we’re actually in a surge of used products right now because of COVID. In the pandemic lockdown, we saw a really big boom of musical product sales, and our industry is at the tail end of that now. Lots of instruments are being re-sold on the used market. So I don’t know how much more surging it can do, but that’s a perfectly good idea. 

The instrument market has been hit with so many challenges over the last decade. From the 2018 tariffs, the supply chain disruption and surge in sales during COVID-19, and now this. Has this been a uniquely challenging decade for this market or has this market experienced this level of ups and downs before? 

You’re right. It’s been a wild seven years. From NAMM’s perspective, there’s never been a more important time for us to be there as a trade association, to double down on policy work, and double down on working groups. I feel like now we are probably more united as an industry than ever. 

We’re a 124-year-old organization. Historically, musical products are seen as a luxury good. Of course, I would argue music is essential to life, but we are a luxury, unlike bread or gas or housing. Luxury industries historically struggle with high inflation and rising costs… When that happens, traditionally, it becomes harder for us because people don’t buy a seventh guitar — they are trying to figure out how to feed their family. In these times, we as an industry have to come together because the last thing we want to see is companies going out of business. 

NAMM members are resilient — we are very used to contracting businesses or experiencing booms, like during COVID. We have a lot of multi-generational companies and incredibly resilient people. This is probably a weather-the-storm situation, and our job is to help companies do that. 

If there are less affordable, high-quality options for American families to help their children get interested in playing an instrument, what ripple effect could that have on the market long-term?

Every company recognizes that a user’s first touch point, when they buy an instrument at an affordable price, that if it’s not a quality instrument or the user has a bad experience, then we’ve lost a customer for life.

It’s important to remember that these truly are quality instruments coming from these overseas suppliers. In the instrument market, you need options at every level. Our customers’ buying habits are like a pyramid. There is a very, very small market for the highest tier, custom instrument models, but it is very wide at the bottom. You can’t have that custom shop model at the top without the support of a very wide entry-level bottom. 

I understand the reasoning given for being “America First,” but we’re not an industry that builds only in America and only for Americans, and every musical brand wants to sell in the United States. We are global and interconnected. It’s very hard to disrupt that. Our companies say that any change will take about three to five years to implement. We’re talking years of planning. The biggest issue right now is that this administration has been predictably unpredictable. 

We need to remember that there’s an executive order that was signed that required departments to research tariffs on every other country by April, so we could see more and more and more of these. So even though the guidance is to stop making in China, Mexico and Canada, our companies don’t know where to move to because we don’t know where the tariffs could be imposed next.