How Covid-19 Is Impacting The US Firearms Industry
Covid-19 is wreaking havoc across the US economy, and no one has been spared its effects. The firearms industry has been affected in various ways at every level. Here’s how the impacts of the pandemic breakdown by sector.
According to one gun manufacturer, business has been booming since the beginning of Covid-19, as demand for firearms has soared. This is backed up by data released by the FBI, indicating that there have been more than 1.5 million more applications for federal background checks for firearm purchases than the previous year.
As a result of this spike in demand, many gun manufacturers like Sturm Ruger are experiencing record highs in their stock price. There are a number of underlying explanations for the rise in firearm purchases. The increase predates the widespread civil unrest that followed the murder of George Floyd and appears to be, at least in part, a Covid phenomenon.
Distribution of firearms has been affected by Covid-19 in some respects and has carried on as normal in others. The problem here is that different states have had different lockdown policies, and while some states may have continued to manufacture and ship products, other states remain shut down.
For retailers already operating a significant online component, the shutdown has had less of an impact, and distributors still have orders to fill. However, distributors are less likely to sell online, especially if they are operating on a B2B basis.
As with all other retailers, the firearm retailers that have been forced to close their doors because of Covid-19 have faced a much greater challenge than those that have been able to continue operating largely as normal. Some retailers have a strong online component, whereas others have resisted going down that route in the past.
For online retailers, the uptick in sales due to Covid-19 has meant that business has remained strong for many. Unfortunately, this isn’t the case everywhere, and some retailers that were dependent upon in-store sales have been pushed to the brink.
Because the flow of firearms around the US has been impacted by Covid-19, just like every other type of product out there, there has been an increase in the number of people looking for handgun conversion kits. Accessories are easier to ship between states than guns and can be freely bought and sold online. As a result, kits from makers like CAA Gear Up are gaining traction amongst Americans looking for an effective self-defense solution.
Also, converting a Glock or similar handgun is also considerably cheaper than buying an SMG outright, even if you buy a used one. High-quality conversion kits are available for less than $400 and can enable you to get much better performance out of a handgun. Accessory manufacturers are definitely benefiting from the reach that selling online gives them.
Overall, Covid-19 isn’t posing a serious threat to the US firearms industry, and may even be benefiting it in some way. Whenever there is a national crisis, gun sales increase. This doesn’t seem to be an exception.