Company: SWAGW
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001213900-25-074995
Chunk: 364

Company: Stran & Company, Inc.
Filing Date: 2025-08-12
Form: 10-Q
Item: Part II, Item 8
Chunk 364
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 then amended additional tariffs on goods imported from other countries a number of times,
particularly with respect to tariffs on imports from China. As of July 31, 2025, the United States had announced that the previously-imposed
additional tariffs of up to 145% on most goods imported from China would remain reduced at a combined rate of 30% for a 90 day period
effective May 14, 2025. Unless further action is taken, these tariffs are scheduled to increase to a combined rate of 54% effective August
13, 2025. In addition, previously-imposed tariffs on certain low-value items imported from China are unchanged at either a temporary
90-day rate of 54%, and, unless further action is taken, are scheduled to revert to 120% effective August 13, 2025, or an alternative
$100 flat rate. In addition, duty-free de minimis treatment for all other countries is scheduled to end effective August 29, 2025. Reciprocal
tariff rates on most goods imported from other countries range from 10% to 41%. We have historically imported many of the goods or components
used in our promotional products business from China in particular and to some extent from other countries. As a result, we have had
to increase prices for certain products, and may be required to raise those prices further, which may result in the loss of customers.
We have also attempted to shift away from Chinese suppliers in particular, and other foreign suppliers in general, and may seek to increase
this shift due to U.S. tariffs or other aspects of U.S. trade policy, in an effort to reduce the effect of tariff increases on our product
prices. However, due to the limited availability of competitive pricing from suppliers whose goods are not currently subject to tariffs
or that are subject to relatively lower tariffs, and the possibility that some of the current or planned additional U.S. tariffs may
increase, decrease, or become subject to exceptions or suspensions, with little or no prior notice, our ability to cost-effectively mitigate
some of the effects of current and future scheduled U.S. tariffs may be significantly limited. These trends and uncertainties may result
in additional costs and disruption to our operations, which may have a significant negative effect on the Company’s sales and gross
margins in future periods. As a result, investors should not assume that any trends reflected in our past results, including those that
may be indicated below for the three and six months