Those choosing to spend their Fourth of July this year gazing over a firework display might have to pay significantly more to do so.
According to theHill.com, the APA released a report that stated overall costs of fireworks are up more than 35% higher from the costs reported last year- posing a great challenge for sellers. Some distributers made statements in regards to this increase of price, such as Bruce Zoldan who is the head of distribution for Phantom Fireworks. Zoldan told USA Today, “I would say from 2019 till ’22, [costs] have at least doubled.”
Specifically, it has been the cost of shipping that has skyrocketed in recent years. In 2019, research has shown that shipping costs ranged from $8,000-$10,000 per container, where today these shipping costs are averaging to be around $45,000. Relatively, labor and transportation costs and supply chain issues continue to increase as well.
With these prices steadily increasing from year to year, what made the jump in cost so drastic this year?
Significant disruptions in the supply chain this year have led to a nationwide shortage of truck drivers, a lack of space in warehouses, all while amidst an increase in consumer demand. These issues in the supply chain and the increase in overall costs have led to inflation rates that our country has not seen in many decades- and the firework industry is one of many to be experiencing the effects of such.
Fortune gives us some hope however, as they write that many firework distributors are projected to have more inventory than they did last year, and that the high prices are not stopping customers from continuing their beloved Independence Day traditions with the projection of $2.3 billion to be spent on fireworks this year. As scary, personally, as that is to consider- what’s even scarier is thinking about what the number will be next year.
This blog post is part of the CIMA Law Group blog. If you are located in Arizona and are seeking legal services, CIMA Law Group specializes in Immigration Law, Criminal Defense, Personal Injury, and Government Relations.
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