The Sources Behind
"The REAL Reason Tool Prices
Are Changing FOREVER"

China's VAT export rebate on battery products was cut from 9% to 6% effective April 1, 2026, and is already scheduled to hit 0% on January 1, 2027. This is the single biggest economic event driving cordless tool price increases right now. When manufacturers lose that rebate, they have two choices: make a cheaper product or raise the price.

The specific section of the SEKO report that names battery products directly in the rebate elimination schedule. The January 1, 2027 phase-out date is confirmed in writing. This is the passage I referenced when I said "the manufacturers will not absorb that second cut."

TTI — the Hong Kong-based company that owns Milwaukee and Ryobi — officially announced the discontinuation of the HART brand at Walmart in December 2025. This is not a news article summarizing the announcement. This is the actual HKEX stock exchange filing. The CEO cited profitability objectives and rising tariffs as driving factors. That's the guy who runs Milwaukee telling you the math for budget cordless tools is broken.

Tungsten carbide powder prices have surged dramatically in 2025–2026, directly impacting the cost of quality saw blades and carbide-tipped bits. The brands that refuse to cut corners on carbide quality — Diablo, CMT, Freud, DeWalt — will feel this pressure before cheaper brands do. If you see quality blades at 2025 prices, that window is closing.

TTI's official 2025 Annual Report confirms the company's manufacturing network rebalancing strategy — moving production away from high-tariff regions. This is the "Made in Mexico" response I referenced in the video. It also confirms these cost pressures are real enough that the parent company of Milwaukee and Ryobi is restructuring its entire global manufacturing footprint in response. When a company this size starts moving factories, the economic pressure is not temporary.