Trends

Keeping the foodservice equipment marketplace up to date with the latest menu and concept trends.

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Prepping Your Kitchen for Tariffs

Tariffs threaten to raise prices across the economy and professional kitchen equipment is no exception. A significant amount of equipment is built overseas and shipped to the U.S., and domestic manufacturers often rely on components from other countries.

top achiever cfesa tj coker 0009TJ CokerAccording to Thomas “TJ” Coker, director of operations with Chicago-based Coker Service, planned maintenance is key to hedging against these rising costs.

The basic logic of planned maintenance is well known. Paying a company a few hundred dollars to handle tasks like cleaning refrigerator coils and swapping out filters can help prevent the need for replacements and repairs that cost thousands of dollars.

That logic will likely become more compelling in the near term as component pricing goes up. In the last month alone, Coker says he has received half a dozen price list increases. One included jumps as high as 60%, though that was rolled back when the United States and China called a tariff pause in mid-May.

With this likely spike in pricing, Coker recommends foodservice operators who don’t have a planned maintenance agreement get one; those that do should reevaluate their needs, as there may be higher levels of service, such as deeper cleanings or mechanical inspections, that can do more to protect kitchens against price increases.

Coker also recommends operators talk to their service agent about purchasing parts their planned maintenance agreements cover, such as filters, for the full term of the deal. “Have a conversation about maybe preordering all the planned maintenance parts you're going to use for the year and maybe avoid instability in pricing. That’s something you can project forward because you know what the price is that day. The service provider is going to want that because it's revenue up front, but also it saves the operator in the long term because you're buying it at that lower price.”

Beyond the actual service, says Coker, service agencies can also help operators learn how to take better care of their kitchen equipment, day in and day out. If an operator has a strong relationship with its service agency, that partner can provide services like refresher training during planned maintenance visits and writing training and maintenance protocols for kitchen staff.

Filling this role benefits service agents by strengthening their customer relationships, Coker says. It also reduces minor repair calls, opening room in the company’s schedule for urgent emergency repairs.

Writing protocols and ensuring those protocols are followed are two separate tasks, though. Here, Coker recommends operators be straightforward with their staff about the challenges posed by the macroeconomic environment.

“If you can, say, ‘Hey guys we're in a rough situation with unknown tariff costs. Our repair costs are going to be ballooning. We really need to make sure that this equipment stays up to snuff. Just doing your regular checklist and making sure you are focusing on those things is going to help carry us forward.’ If they can rally their teams like that, they are going to see, for no cost at all, an improvement in maintenance on their equipment.”

Though tariffs and related inflation could weigh on operator’s results, these simple steps — review planned maintenance, purchase components early and focus on operations — can help professional kitchens manage their finances. Operators should take the time now to prepare for what’s likely to come.

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