SUPPLY CHAIN Reshoring and nearshoring are already having
a material impact on the US crane and hoist supply chain, but the change is selective rather than universal. The industry is localising the activities for which proximity creates the greatest advantage – among them structural fabrication, control panel building, final assembly, installation, service and spare parts support – while continuing to source many precision components internationally. Fortunately, cranes naturally favour regional
production and were already more localised than many types of industrial equipment. Bridge girders, runways and supporting structures are large and expensive to transport. Each system must also be engineered around a particular building, production process, electrical supply and applicable US standards. Consequently, a common model is to fabricate
US protectionist trade policies are having an impact on localising the supply chain.
Approved components, precise motion control, quality records, cybersecurity and change control restrict the freedom to make last-minute substitutions. Their wider supply chains also remain under
pressure. Boeing, for example, reports continuing supply constraints and labour instability; RTX identifies difficulties involving microelectronics, commodities, inflation and labour; and GE Aerospace says material availability, labour shortages and geopolitical pressures continued through 2025. Overall, availability has improved, but certainty of supply has not recovered to the same degree. Large users are less worried about a repeat of the universal shortages of 2021–22 and more concerned about a single specialised component, engineering approval or shortage of qualified labour delaying an entire project.
Tariffs and trade wars
US trade policy is pushing the overhead crane supply chain toward greater domestic and North American content, but the short-term effect is higher cost, more administrative work and less pricing certainty. An important consideration is that an overhead crane is not a single-tariff item. It is an assembly of many structural materials and components that may originate overseas. Tariff treatment can therefore differ by component, country of origin, metal content and Harmonized Tariff Schedule classification. Steel and aluminium measures perhaps have the most direct effect on crane procurement. The present Section 232 regime applies different rates to base metal products, metal-intensive derivative products and certain industrial equipment. Changes introduced in 2026 included a 50% rate for designated metal products, 25% for predominantly metal derivatives and a temporary 15% category for specified machinery and power equipment. Treatment remains product-specific,
54 Fall 2026 |
ochmagazine.com
however, so these figures should not be read as a universal tariff on every crane. Tariffs not only result in higher imported equipment costs, but also higher domestic prices. A crane fabricated in the US avoids some direct import duties, but its steel, aluminium, copper, motor, drive or control suppliers may increase prices in response to tariffs, constrained domestic capacity or higher replacement costs. Customs complexity also increases with tariffs, as importers may need evidence of where steel was melted and poured, where aluminium was smelted and cast, the value of the metal content and who is legally responsible for the duty. Uncertainty over how tariffs will change can also be disruptive, as a buyer may budget a crane eighteen months before delivery only for tariff coverage or valuation rules to change between quotation, purchase order, fabrication and entry into the US.
Nevertheless, there are those who feel the tariff policy may have some potential benefits for the US crane sector. It might improve the competitive position of domestic steelmakers, fabricators and crane builders, and also provide an incentive to expand US capacity. It may also shorten physical supply chains over time and make critical parts easier to support locally. “On one hand, there are cost increases and competitiveness challenges,” Robledo adds. “On the other, there are new opportunities for domestic manufacturing and investment. The US market has always been resilient, and I believe it will continue to adapt and find ways to remain competitive.” The 2026 policy expressly encourages
greater use of American metal: qualifying capital equipment containing at least 85% US melted-and-poured steel or US smelted-and-cast aluminium by weight can receive more favourable treatment in some categories. However, it should be remembered that reshoring is a medium to long-term process, not an overnight fix.
girders and runway steel close to the customer; build electrical panels and integrate controls in the US; source hoists, motors, gearboxes, brakes, drives and radios from a mixture of US, European, Mexican, Canadian and Asian plants; and complete installation, testing and commissioning through a regional crane company.
Time will tell on tariffs Tariffs and reshoring could ultimately strengthen the US supply chain or potentially create new cost and competitiveness challenges. The prevailing view is that the US supply chain will improve, but only conditionally. “Build strong, long-term partnerships with suppliers and maintain open and transparent communication with customers,” Robledo advises. “Flexibility, planning ahead, and trust throughout the supply chain will be key to successfully navigating future uncertainty.” Reshoring can create genuine resilience, but tariffs do not, unless they are accompanied by investment in capacity, automation, workforce skills and competitive domestic suppliers. If they serve only to make imported equipment more expensive without creating viable alternatives, they simply bring additional cost for US manufacturers. Domestic steelmakers, for example, stand
to benefit from measures that discourage low- priced steel imports and encourage material that is melted and poured domestically. Greater domestic steel capacity is positive for the structural portion of an overhead crane and for the long-term security of bridge and runway material. However, even a steel mill purchasing a domestically fabricated crane may still pay more for imported components such as drives, motors, brakes and bearings. Downstream manufacturers seem more cautious. GM, for example, estimated that tariffs would impose several billion dollars of gross costs during 2025, even after mitigation. This illustrates the central concern for crane users: tariffs intended to strengthen an upstream industry can raise the cost of the factories and equipment needed to keep downstream US production internationally competitive.
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91
