Back in Q1 2026, Stanley Black & Decker’s earnings guidance flagged an expected Section 301 tariff reinstatement, and speculation at the time pointed to August as the likely inflection point. That guidance turned out to be close but not exact: Section 301 “forced labor” tariffs actually took effect July 24, 2026, about a week earlier than the August timeline this post originally predicted. Here’s what the Q1 numbers said, and what actually happened since.
Q1 Results Breakdown
SBD posted Q1 2026 adjusted EPS of $0.80, well ahead of the $0.59 consensus estimate. Revenue came in at $3.85 billion, up 3% year-over-year, but that growth was entirely driven by pricing. Organic volume was down 3%, offset by a 3% price increase. Translation: the company sold fewer tools and made up the difference by charging more.
That 3% price increase was already live at retail by spring. DeWalt and Craftsman buyers paid more than they would have a year earlier.
What Actually Happened With Section 301
Section 301 tariffs took effect July 24, 2026, replacing the flat 10% Section 122 tariff that expired the day before. The structure is two-tier: 10% for most trading partners, 12.5% for China, Vietnam, Thailand, Brazil, and Russia, layered on top of existing rates. For China-sourced tools, the net effect works out to roughly +2.5 percentage points at the border, about 1-1.5% at retail, a real but modest cost rather than the sharp spike some Q1 commentary implied.
There was no separate “August deadline.” The tariff change landed in late July, and nothing further is scheduled for August 1.
Impact on Tool Buyers
DeWalt and Craftsman remain the brands most directly exposed, SBD’s supply chain still runs through China for a meaningful portion of its volume, though the company is working to reduce that below 5% by end of 2026. Milwaukee manufactures more of its M18 FUEL lineup domestically (Brookfield, Wisconsin) and in Vietnam, giving it somewhat more insulation.
The tariff change is already in effect, so there’s no longer a specific window to “beat.” Buy on a sale you like rather than trying to time a purchase around tariff news; see our Power Tool Tariffs 2026 guide for the full current picture, brand by brand.
For the full background on what SBD confirmed in Q1, see our DeWalt price increase analysis. And if you’re weighing DeWalt versus Milwaukee specifically given the tariff exposure differences, our Milwaukee vs. DeWalt comparison has the platform details that inform that decision.