The outdoor industry is bracing for a challenging future as proposed higher tariffs on Chinese imports loom on the horizon. Kyle Ranson, founder of Vvolt and CEO of Shower's Pass, has expressed grave concerns about the potential catastrophic impacts these tariffs could have on outdoor brands [bf7b40ad]. Since the initiation of tariffs by Trump in 2018, which were continued under Biden, the outdoor sector has already faced an additional $1.7 billion in tariffs since 2020 [bf7b40ad].
As Trump proposes even higher tariffs set to take effect on January 20, 2025, industry leaders are worried about the financial strain on businesses. For instance, NEMO Equipment has reported paying $850,000 in duties since the Generalized System of Preferences (GSP) expired in 2020 [bf7b40ad]. The National Retail Federation has warned that households could see annual costs rise by up to $7,600 due to these tariffs [bf7b40ad].
The impact of these tariffs is already being felt, with some companies like Cynergy E-Bikes forced to close due to increased costs associated with imported components [bf7b40ad]. While some brands, such as OTTOLOCK, may find opportunities to benefit from the tariffs, many small businesses are struggling with cash flow issues, making it difficult to absorb the rising costs [bf7b40ad].
As the outdoor industry navigates this uncertain landscape, calls for the renewal of trade programs are growing louder, as stakeholders seek solutions to mitigate the adverse effects of these proposed tariffs on both manufacturers and consumers [bf7b40ad].