What LCI Industries told the SEC could break it.

LCI imports a significant portion of its raw materials and the components it sells, so changes in U.S. and global tariff frameworks have directly raised its sourcing costs. The impact is realized: higher material costs related to tariffs plus higher freight collectively cut Aftermarket Segment operating profit by $22.7 million versus 2024, and the company took tariff-related selling-price increases to offset some impact (a tariff-mitigation/supply-diversification strategy). As a subsequent event, on February 20, 2026 the U.S. Supreme Court ruled certain IEEPA tariffs unlawful, leaving the availability, timing and amount of any refunds of IEEPA tariffs LCI previously paid uncertain. Continued tariff changes and port/trade disruptions (including China-Taiwan tensions) remain a material supply-chain and margin risk.

“Higher material costs related to tariffs and higher freight costs, which collectively negatively impacted operating profit by $22.7 million compared to 2024.”

LCI's RV and adjacent-industry products — steel chassis, axles, suspension systems, aluminum and frameless windows, etc. — are built primarily from steel (coil, sheet, tube and I-beam), extruded aluminum, glass, wood, fabric and foam. These metal-heavy inputs make margins sensitive to steel and aluminum prices, and are the channel through which Section 232 and other metals tariffs flow into its cost base. While available from multiple domestic and foreign sources, price increases or supply tightness in steel/aluminum directly pressure profitability across its OEM and Aftermarket segments.

“Raw materials used across our RV and adjacent industry businesses consist primarily of steel (coil, sheet, tube, and I-beam), extruded aluminum, glass, wood, fabric, and foam, and are available from a number of sources, both domestic and foreign.”

Following its 2021 acquisition of Furrion (RV/marine appliances and electronics), LCI depends on a small group of suppliers principally located in China for the raw materials and components used to manufacture Furrion products. It warns that if those materials or components become unavailable or their supply is interrupted or delayed, it may not be able to identify alternative sources in a timely or cost-effective manner, or at all. This concentrated China sourcing exposes the Furrion line to tariffs, export controls, port/logistics disruptions and China-Taiwan geopolitical risk.

“The raw materials and components used in the manufacture of Furrion Holdings Limited ("Furrion") products are provided by a small group of suppliers that are principally located in China.”