The raging trade war that has rocked the country may derail a beloved business in Northeastern Pennsylvania.
With costs from their suppliers set to spike, several model train and hobby shop owners in the region said the tariffs are leaving them on unsure footing and putting them on track for an uncertain future.
Dave Bealla, the eponymous owner of Dave’s Train Corner & More in Edwardsville, said the cost of much of his inventory is currently increasing substantially. The price of rolling stock, for example, has risen by $4 to $35.98, or 12.51%, within only the last month.
“It’s hurting already,” Bealla, a 56-year-old resident of Edwardsville, said.
Bealla said his shop of 12 years is especially vulnerable owing to how much of its supply chain runs through China, the chief target of the Trump administrations’ tariffs. He estimated around four-fifths of the parts he buys and sells are ultimately Chinese sourced, leaving him struggling to manage his costs as tariffs ramp-up on Beijing.
Though he will try to limit the impact it has on customers, Bealla said his shop had just handled a move to its current location in the Gateway Shopping Center last month. As costs mount on the shop, some kind of price hike may be inevitable.
“We’re eating a little bit of it, but can only do so much,” Bealla said.
Edward Roche, the owner of the C&E Branchline Railroad Shop of West Grove Street in Dunmore, said there has been no appreciable increase in costs, though he cautioned that his experiences could change as he orders more as business picks up in the fall.
“I don’t order a lot (or) preorder, so it’s kind of hard to call right now,” Roche said. “I really haven’t noticed it, yet.”
Roche said the extent of a shop’s exposure to the tariffs will vary by the types of gauges it buys, some of which more heavily concentrate their production in China. He said in his experience, more suppliers are diversifying their operations and moving some of their production to other countries in East and Southeast Asia, such as South Korea and Vietnam — something that could help mitigate the strain on shops if tariffs stay focused on Chinese goods.
“The old saying is ‘don’t keep all your eggs in one basket,’” Roche said.
Roche, 66 of Dunmore, said he opened the C&E Branchline Railroad Shop in 1994 and has been a hobbyist his “entire life.” He inherited the passion from his father who had been taken with model trains when he was a child and carried it into adulthood.
The business he has come to love is exceedingly seasonal, with business not set to pick up again until the fall. Roche said if the tariffs do have a significant impact on prices, it could add more strain in these less busy times.
“Between repairs and custom painting…it does get tough,” Roche said. “Money gets tight, especially now at this time of year, it slows down. I just deal with it.”
Edward Roche , owner of the C&E Branchline Railroad Shop of West Grove Street in Dunmore operates his model-train set (CHRISTOPHER DOYLE/STAFF PHOTOGRAPHER)
Bernie Macavage, a 45-year-old North Scranton resident who owns Bernie’s Model Railroad Shop on Church Street in Jessup, said he expected the tariffs to have an impact on the industry. Like Roche, Macavage said he is making relatively few purchases now given it is a quiet season for hobbyists and so has yet to be impacted by higher costs — but there was some evidence the tariffs were already having an effect. Macavage said several model-train manufacturers were warning hobby shops about higher prices, with some manufacturers even suspending their future projects.
“Once I start going into season, by that point in time I suspect that some of the tariff pricing will catch up to me by then,” Macavage said. “The tariffs haven’t directly impacted me yet, but I do see it on the horizon.”
Macavage said his start as a hobbyist began at just three months old, when his father gave him a train set for Christmas. He opened his namesake shop five years ago on Black Friday, 2020 and started working at the shop full time in November, eager to spread his passion to other hobbyists and families.
“Somewhere along the way, there was something that just kind of sparked with me for the model trains and it’s been with me ever since,” Macavage said. “And that’s also what strikes a chord for me. Seeing other people enjoy the same thing that I enjoy and being able to share that together.”
Bernie Macavage owns Bernie’s Model Railroad Shop on Church Street in Jessup. (CHRISTOPHER DOYLE/STAFF PHOTOGRAPHER)
Families can only share in the joy of hobby shops when they can afford it. Macavage said he was concerned about an impact the tariffs could have on hobbyists if the duties raise prices on necessities and other goods customers need to buy before model trains.
“If the prices are higher on those items that leaves less money for them to spend on their hobbies,” Macavage said. “That’s an indirect way that I think that the tariffs will impact the business as well.”
Jim Hoegg, the president of the Anthracite Model Railroad Society, understands the importance of hobby clubs and shops to families. An 80-year-old resident of Hazle Twp., Hoegg took an interest in model trains when his grandparents, one of whom worked on the Lehigh Valley Railroad, introduced him to the hobby as a child. The Anthracite club, which has its clubhouse in Hazle Twp. off Hanover Court, works to model the trains that historically ran across the Hazleton area, as well as other locations throughout Pennsylvania, such as Bethlehem and Jim Thorpe.
“It’s pretty well ingrained,” Hoegg said of his passion for the hobby. “I spend a lot of time being involved in the club and doing things with my own stuff at home.”
Hoegg said the large majority of set materials his club members buy come from China and elsewhere in Asia. The club, however, has not made any recent purchases and Hoegg said it was too early to assess what the total impact of the tariffs will be. Hoegg noted that there was still much uncertainty about the future of the tariffs and how long they will stay in effect.
President Donald Trump imposed a minimum 10% tariff on imports coming from almost every country on April 2. He placed additional, customized tariffs raised in proportion to the United States’ trade deficit with individual countries. A week later, Trump suspended the customized, country-specific tariffs for about three months, although the tariffs specifically targeting China have only risen amidst an escalating trade war. Chinese tariffs on U.S. imports now stand at 125% with U.S. tariffs on Chinese imports at a minimum of 145%.
Despite his reservations about their initial impact on hobbyists, Macavage was cautiously optimistic about the tariffs’ broader economic effects. He said he hoped the revenue the tariffs generate could allow Congress to lower income taxes, while creating more jobs.
“On the backside, if you’re able to get more money in your pocket, I think that helps everyone,” Macavage said.
A display at Bernie’s Model Railroad Shop in Jessup. (CHRISTOPHER DOYLE/STAFF PHOTOGRAPHER)
Trump and the White House maintain the tariffs will protect domestic, American industry from unfair foreign competition and reduce U.S. dependence on foreign countries for critical minerals. Critics of the administration argue the tariffs amount to a gargantuan tax hike that will raise prices and spell disaster for American households and businesses.
If the tariffs do disturb the hobby shop business, people’s livelihoods and family legacies could be at stake.
Bealla, while stressing he never talks politics in his store, said he was anxious to see the trade dispute between China and the U.S. settled and tariffs lowered. He said he believed it was urgent that a resolution to the dispute come within six to eight months. And if it doesn’t?
“I don’t even want to think about that,” Bealla said.
While Roche is apprehensive about the impact of tariffs on his business, he said he is tepidly hopeful that they could restore work in the U.S. that had previously been offshored. Roche said he voted for Trump and is supportive of some of the administration’s efforts. With respect to the tariffs specifically, Roche said he is unsure what awaits him at the end of the line.
“I’d like to see more jobs come back, more higher paying jobs,” Roche said. “I don’t know if they will…we’ll see what happens. We don’t know where tomorrow’s going.”