AP PHOTOS: Trump’s tariffs could be tough to crack for a German nutcracker maker focused on the US

MARIENBERG, Germany (AP) — U.S. President Donald Trump’s tariffs threaten to become a tough nut to crack in an unlikely place — a small Germany company producing painstakingly hand-crafted nutcrackers that are snapped up by American collectors.

In a factory nestled deep in the hills of eastern Germany, craftspeople put together classic fare such as a variety of Santas, Scrooge and the Mad Hatter — as well as American-themed items like Uncle Sam, the Statue of Liberty and Mickey Mouse. The company, Steinbach Volkskunst, also makes collectibles like a coronation-themed tribute to Britain’s King Charles III.

This week, a limited-edition creation titled “Resolute Desk of the President,” featuring a seated Trump-like figure signing a “presidential proclamation,” is taking shape at Steinbach’s factory on the edge of the small town of Marienberg, near the Czech border.

Steinbach Volkskunst sells more than 90% of what it makes to the United States. It is looking at ways to lessen the impact of tariffs, but can only change so much. The U.S. initially imposed a 20% tariff on goods from the European Union, but the administration suspended that for 90 days while leaving a baseline 10% tariff in place.

The “made in Germany” label is important to the company’s appeal and the focus on the U.S. market is deeply embedded in the company’s history. Its manager says it will “keep faith with America.”