The "cost" of an axe from China

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Aug 28, 2010
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Although this data is from 1991, it gives a glimpse into the costs of axe production in China.

These costs include the costs of importing axe components into Canada (including freight and brokerage) for a documented example:

3 pound axe head (China) -- $1.46
Handle (USA) -- $2.42 (more than the cost of the axe head)
Wooden Wedge (USA) -- $0.09
Steel Wedge (USA) -- $0.01
Labels (Taiwan) -- $0.07
Packaging (Canada) -- $0.18
Labor (Canada) -- $0.65

Adding these costs gives $4.88

The content from the USA and Canada adds up to $3.35 which is greater than 50%, so this axe can be "treated as goods originating in the territory of Canada and/or the United States".


Information source:
United States International Trade Commision Rulings And Harmonized Tariff Schedule
http://www.faqs.org/rulings/rulings1991NY0862781.html
 
Yup ;-((( And unfortunately for American axe makers the smart Chinese companies do some very nice work. Some of the knives coming out of China are pretty amazing, even at 5 times the cost.

Regards

Robin
 
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It looks they're putting the heads on upside down too. :rolleyes:
http://www.alibaba.com/catalogs/--14200301------------6-100016844,100006018-6965
Birch_Wood_Handle_Russian_type_axe_v0.jpg_200x200.jpg
axe_with_wooden_handle_v0.jpg_200x200.jpg
 
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