Tariff Policy (2025)

Subject: Implementation of Tariff Surcharge on Imported Goods

April 2025

In light of the ongoing and rapidly evolving global tariff environment, AAR Electronics has revised its policy regarding tariffs on imported goods. The volatility and unpredictability of current tariff rates have rendered it increasingly difficult to absorb the resulting incremental costs without adjustment.

Accordingly, effective immediately, AAR Electronics will implement a Tariff Surcharge on all goods subject to applicable tariffs. This surcharge will appear as a distinct line item on our invoices and is intended to reflect the net increase in costs incurred as a result of tariff charges passed through to us by our suppliers.

As you are aware, tariff rates are subject to variation based on numerous factors, including the classification and composition of goods, country of origin, and date of importation. Furthermore, as many of our suppliers operate across multiple international locations, the country of origin—and consequently, the applicable tariff—may vary between shipments.

The decision to list the Tariff Surcharge as a separate line item on invoices serves several important purposes. It enables AAR Electronics to ensure transparency and accuracy in all customer invoicing, while enhancing cost tracking and analysis for our customers.

Please note, however, that in cases where AAR Electronics’ suppliers incorporate the applicable tariff directly into the product price—without itemizing it separately—AAR Electronics will reflect this adjustment through updated product pricing rather than a distinct Tariff Surcharge line item. Customers will be advised accordingly.

We appreciate your understanding and cooperation as we adapt to these external economic conditions. Should you have any questions or require additional information, please do not hesitate to contact your AAR Electronics representative.