The U.S. bike industry has been drafted into the trade war between China and the U.S., says a recent report on Bicycle Retailer and Industry News by Stephen Frothingham.
Chinese-made e-bikes, which include bikes sold by Trek, Giant, Raleigh Electric, Pedego and several other brands, would be subject to a 25 percent tariff under a proposal released Friday, reported BRAIN. The tariff, which could take effect in a matter of months, would increase the retail price of the bikes by hundreds of dollars, perhaps enough to make them uncompetitive with e-bikes made elsewhere, and dampening interest in one of the bike industry’s most promising sectors.
The electric bikes are included in a list of 284 product codes, representing $16 billion in imports, released by the Trump administration, reported BRAIN. The list will go through a public comment process, including public hearings, before the U.S. Trade Representative decides whether each product code should be subject to the tariff. The process is likely to take several months.
To read the full report, head over to www.bicycleretailer.com.