Tariffs to Cause Costs of Bikes and Bike Products to Rise Soon

Art imagery/Mark Searcy

9-20-18

https://cyclingindustry.news/trump-chinese-goods-tariffs-bike-produ...

The upcoming import tariffs that President Trump will impose on Chinese goods is going to include $1Billion in bike products. This ultimately will cause many bicycles and many bicycle-related products to rise soon. It is yet to be known if they will improve competitive conditions for any remaining U.S. bike/products manufacturer's. 

"The tariffs come into effect on Monday September 24, 2018 starting at 10%. The tariffs will then increase in the new year to 25% from January 1st on top of current duties on bike Imports. Suppliers that have goods already in transit will also face a 10% charge on imports that arrived after next Sunday."

This is the third wave of tariffs that have affected bike/bike products. (Steel, aluminum, E-bikes/E-bike motors.)

Some in the US industry welcome the tariffs on imports and believe they will level the playing field of American bike manufacturing. Others say manufacturing will just shift to another Asian-based country. Hopefully some worthwhile change will come from all of this.

https://www.bloomberg.com/news/articles/2018-07-30/u-s-bike-industr...

https://www.cnbc.com/2018/08/20/reuters-america-update-1-u-s-firms-...

"This propsed tariff is too little, too late, Bill Smith, CEO of Huffy Corp. wrote, now a higher tariff would only create problems and cost jobs at independent U.S. bicycle dealers"

Zak Pashak, owner of Detroit Bikes said, "we've already killed and destroyed our bike industry, it's not like it comes back overnight."

Get ready to pay more for your next bike and/or bicycle related products. 

 

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Permalink Reply by mike w. on September 20, 2018 at 1:57am

"The upcoming import tariffs that President Trump will impose on Chinese goods is going to include $1Billion in bike products. This ultimately will cause many bicycles and many bicycle-related products to rise soon."

"Get ready to pay more for your next bike and/or bicycle related products."

It's already happening.

Permalink Reply by Tricolor on September 20, 2018 at 11:00am
Schwinn's already restarting their factory on Kostner as we speak.
Permalink Reply by Paul Lazzaro on September 21, 2018 at 1:57am

I'm guessing that very few Trump voters are affected by the tarrifs on bicycle components.  So they are safe for him politically.

Technically, all of these tarrifs are being imposed using a law from 1962 that allows the president to do so for national security reasons.  I'm not really sure how the national security depends on bicycle components being more expensive.  On the positive side, soy prices are down, so those of us who love tofu may come out even in the end.

Permalink Reply by Tom A.K. on September 22, 2018 at 7:43am

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