U.S. President Donald Trump’s tariffs threaten to bring hardship to 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.

Germany Tariffs Nutcrackers

Two limited-edition nutcrackers titled “Resolute Desk of the President,” featuring a seated figure signing a “presidential proclamation,” are seen on a table at the Steinbach-Volkskunst nutcracker factory in Marienberg, Germany.AP

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.

Germany Tariffs Nutcrackers

The limited-edition nutcrackers titled “Resolute Desk of the President,” featuring a seated figure signing a “presidential proclamation,” is seen at the Steinbach-Volkskunst nutcracker factory.AP

Steinbach Volkskunst sells more than 90% of what it makes to the United States. It is looking at ways to lessen the effects of tariffs, but it 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.

Germany Tariffs Nutcrackers

A woman works on nutcrackers of a cowboy at the Steinbach-Volkskunst nutcracker factory in Marienberg, Germany.AP

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.”

Story by Markus Schreiber/ Associated Press