Campaigners have hailed the bike industry’s “unified” response to tariffs in the US, the latest update on Donald Trump’s controversial economic policy that there will be no new tariffs on bicycles and existing steel tariffs on e-bikes have been removed.
US group PeopleForBikes highlighted that the bike industry filed more than 1,300 comments in opposition to the president’s proposal, more than any other industry.
The campaign opposed two requests to add a 50 per cent tariff on the steel and aluminium content of all bikes, e-bikes and frames, brands and organisations arguing the proposal would batter the bike industry and cause many companies to go out of business.
PeopleForBikes spearheaded the campaign to “mobilise our industry” and celebrated the news of no new tariffs by expressing “sincere gratitude to our members for their extraordinary engagement”.
“Collective action sent a clear and powerful message about the real consequences these proposed tariffs would have on businesses, workers, and riders nationwide,” a statement concluded.
“Your voice made a meaningful impact, and this level of unified advocacy continues to be critical as we work together to protect the future of the bicycle industry.
“By mobilising our industry, forming coalitions with key partners, and developing a strategic messaging campaign to communicate the harmful effects of these tariffs, the bike industry filed more than 1,300 comments in opposition to this proposal — more than any other industry.
“PeopleForBikes also worked with key members of Congress and had several meetings with senior staff at the Department of Commerce to elevate our concerns to the most important policymakers.”
PeopleForBikes communicated to the industry that the Trump administration decided bicycles, e-bikes and frames will not be added as derivative products to the Section 232 tariffs on steel and aluminium.
This will prevent importers having to work out metal content of products or paying additional tariffs on their bikes.
Electric bikes have also been removed from the Section 232 steel tariffs, along with exercise bikes and parts and accessories of motorbikes and mopeds which may overlap with e-bikes.
The development is also a defeat for US bike brand Guardian Bikes who lobbied the Trump administration to include bicycles and frames in a proposed 50% aluminium and steel tariff.
While the overall picture is positive, some derivative products will be subject to 50 or 25 per cent tariffs, for example on chain parts, steel hardware, hand tools and bearings, although PeopleForBikes’ reaction remains one of relief at bikes, e-bikes and frames avoiding inclusion.
Last month, Trek, Specialized and numerous major names from across the bike industry filed legal proceedings in the hope of receiving tariff rebates, that after the Supreme Court ruled that the Trump administration’s use of powers associated with wartime or national emergency to implement the controversial economic policy was illegal.
The uproar from across the bike industry at Trump’s tariff policy has been consistent and sustained over the past 16 months, numerous brands speaking out about the detrimental impact or raising prices in response.
Bike brands including Giant, Specialized, Trek, Brompton and Lauf have all spoken publicly about needing to add a ‘tariff surcharge’ to their bikes, passing on the cost to the consumer.
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Lobby group PeopleForBikes even suggested the US bike industry might not recover from the “devastating consequences” of tariffs until the end of the decade.
The impact of tariffs has been a commonly cited headwind in companies’ financial accounts, while BMC was reported to be slashing a quarter of its workforce in a decision that was “influenced” by uncertainty around the controversial economic policy. High-end component brand Rotor also cited tariffs when shutting its US office back in May.
1 thought on “Major win for bike industry campaign as Trump administration confirms no new tariffs on bicycles”
As a direct consequence of the new American war in the Middle East, costs of sourcing, production and end-to-end logistics have skyrocketted since early March. With the blockade of the Strait of Hormuz, some countries in the Asia Pacific region are already out of oil. Next, factories are likely to reduce or stop their productions. Who needs tariffs on products that aren’t imported?