How tariffs affect the eyeglass industry

MAFO: President Trump announced a 90-day mutual tariff reduction agreement with China. Do you think this is good news for the optical industry? If so, why?

Elkhatib: Any time the industry can find relief from increased tariffs, it is certainly good news. This specific reduction is more favorable than the previous rates, however there are still challenges the industry faces even at the current temporary reduced rates. Outside of the “reciprocal” tariffs, which this reduction agreement addresses, our industry continues to be impacted by the regular “Most Favored Nation” duties (which vary by product), the Section 301 duties (ranges from 7.5% to 25%), and the IEEPA or fentanyl duties (imposed at 20% and intended to address national security concerns related to the fentanyl crisis).

MAFO: Overall, tariffs remain high in many areas. How will this affect the price of eyeglasses in the US?

Elkhatib: At the end of the day, any price increases are up to individual companies and will depend on the market conditions like consumer demand and competition among retailers. It is probable that importers will pay more to bring their goods into the country. Previous efforts to mitigate tariffs, like diversifying production across different countries, should be carefully considered with the new reciprocal tariffs in mind.

There is always the potential for some political resolutions to occur on a country-by-country basis that may lessen or alleviate the proposed reciprocal tariffs, especially for countries where the Trump administration has friendly relationships, like Japan or India.

MAFO: Which of the following three product groups will be most severely affected by the conflict: frames, spectacle lenses, or machinery?

Elkhatib: Plastic eyeglass frames from China are likely to be one of the most affected optical product impacted by the tariffs, with the current tariff rates totaling 40%. This 40% duty combines the ”regular“ customs duty of 2.5%, the China 301 duty of 7.5%, the IEEPA/fentanyl 2025 duty at 20%, and the reciprocal duty at 10%. Eyeglass cases, various types of lens grinding and finishing equipment, and other related machinery of Chinese origin will also be greatly affected, with total duty rates for these machines ranging from 57% to 83%.

An example below compares what importers will pay now for some popular optical imports, compared to 2024 rates (Table 1).

MAFO: How exactly will the high tariffs affect lens manufacturers, frame manufacturers, and machinery manufacturers who want to import products from Europe to the US?

Elkhatib: Manufacturers in these spaces, like others, will have to stay tuned for any changes that might happen as negotiations continue. Specifically for imports coming into the United States from the European Union, total duty rates are calculated from combining the “regular” customs duty, which ranges by product from 2% to 17.6%, with the 10% reciprocal tariff. The Trump Administration has recently announced that they will delay the imposition of a 50% tariff on all European goods, but negotiations are continuing.

MAFO: The Vision Council is holding talks at the White House to advocate for the optical industry. What exactly are they hoping to achieve?

Elkhatib: Our Government and Regulatory Affairs Team recently met with the Deputy Assistant to the President and Deputy Director of the National Economic Council at the White House to share the challenges facing the optical industry and offer collaborative, practical solutions. Along with a few industry leaders representing different segments of the industry, our team emphasized how tariffs are increasing the cost of eyewear and vision products, many of which are classified as Class I medical devices and are essential to children, seniors, veterans, and low-income individuals. These products are often supported through public programs such as Medicare, Medicaid, and Veterans Affairs as well, meaning increased costs also affect taxpayers.

Overall, we wanted to bring the concerns of the industry forward at the highest level. In addition to tariffs, we also discussed ongoing advocacy efforts such as revisiting “Made in USA” labeling standards for products assembled domestically with imported products, regulatory parity with other Class I medical devices for many of our products, and incentives to support domestic manufacturing and supply chain development.

The Vision Council will continue to advocate on behalf of our members and promote policies that support access to vision care and a strong domestic industry, and look for more opportunities like this to share our industry’s story.

MAFO: Do you have any advice on how companies should use the time until the tariffs are finally resolved?

Elkhatib: I would urge companies to continue to monitor the ever-changing landscape so they are aware of what is happening. The Vision Council offers several resources for our members to stay up to date, including a Tariff Dashboard and simulator that models the financial implications of tariffs on imports. It’s important to remember these are ongoing trade negotiations, so the situation is fluid and can change fairly quickly.

MAFO: If you had one important tip for decision-makers on how to deal with the tariff conflict, what would it be?

Elkhatib: We have been visiting Capitol Hill regularly to get our industry concerns in front of the policymakers and committees. I would say the best thing right now is for decision makers to hear the concerns of those affected by current policies, and do their part to advocate on their behalf.

MAFO: Thank you for the interview.