If there was one phrase on the lips of each model consultant at this month’s Sea Otter Traditional, North America’s largest biking expo, it was ‘tariffs’.
Underneath U.S. President Donald Trump’s newly introduced “Liberation Day” tariffs, all nations now face a ten% baseline tariff on imports. However items from China and Taiwan—dwelling to the overwhelming majority of worldwide bike manufacturing— are being hit hardest. China now faces a complete import tariff of as much as 54% and Taiwan’s imports face an analogous 52% in complete duties.
The results of those tariffs are already starting to ripple by the bike trade, and a few of the largest names in bikes are among the many first to reply with value hikes. For shoppers, it’s an indication of what’s prone to come: dearer bikes, fewer decisions, and shrinking margins for each retailers and riders.
Trek and Specialised Inform Retailers of Worth Hikes
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Final week, trade leaders Trek and Specialised notified their networks of upcoming value modifications as they brace for the uneven waters of the U.S.-China commerce battle.
On Thursday, Trek notified its retailers of fast value will increase throughout “most” of its product lineup — together with backordered objects and Electra-branded bikes. Which means even bikes which have already been ordered however not but delivered will carry increased value tags.
In keeping with an e mail obtained by Bicycle Retailer, Trek mentioned that prices have reached a degree that “must be addressed” and that together with backorders within the hike was a approach to keep away from a “run on the financial institution” as sellers rush to safe pre-tariff stock. Trek, which manufactures bikes in Germany, China and Taiwan, acknowledged it’s making an attempt to minimise the rise on entry-level fashions to maintain biking accessible.
Specialised, in the meantime, is taking a extra clear and blanket strategy. As a substitute of quietly folding tariff-related prices into retail pricing, the model will introduce a separate 10% “tariff surcharge” as a line merchandise on business-to-business (B2B) invoices beginning Could 1.
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Shoppers procuring on-line may even see the surcharge clearly itemised at checkout. Specialised says this methodology offers the corporate extra pricing flexibility whereas serving to riders perceive precisely the place their cash goes. The surcharge will first seem on gross sales of the newly launched Turbo Levo 4 electrical mountain bike, with potential growth to different merchandise within the close to future.
Trek and Specialised aren’t the primary to react with value will increase. Again in March, State Bicycle Co. was fast to answer the altering tariff insurance policies. The Arizona-based model, recognized for its wallet-friendly bikes and equipment, manufactures all its merchandise in China and Taiwan, leaving it weak to the complete pressure of the tariffs.
“We’ve been paying, and absorbing,” the corporate wrote. “We’re speaking about elevating costs round 5% as a result of not like some firms we really really feel dangerous when we’ve got to cost extra. Not getting political, simply stating info. We’re elevating costs.. Thank the commerce battle and tariffs.”
Boutique youngsters’s bike producer, Early Rider, additionally raised its costs in March, citing the identical causes: rising tariffs and logistics prices.
“We’ve held off so long as we will, however rising tariffs and logistics prices have caught up with us. We’ve to regulate our costs to maintain constructing no-compromise bikes and providing top-tier help,” Early Rider shared in an announcement.
Limiting US releases
(Picture credit score: Getty Photographs)
Whereas large firms like Trek and Specialised could possibly climate the storm with a ten% value improve, smaller firms is probably not so fortunate. Biking Weekly is listening to from manufacturers who’re taking a special strategy: scaling again U.S. distribution and even exiting the marketplace for sure merchandise or value factors. For these manufacturers, the mathematics merely doesn’t add up underneath the brand new tariffs.
Just a few trade representatives advised Biking Weekly that they’re choosing restricted releases—or not releasing sure fashions in any respect—as a result of the added value makes them unsellable within the U.S. market.
When an organization within the U.S. imports a bicycle or bike half from overseas, it should pay the tariff upfront when the product arrives on the border. That value is then handed alongside the provision chain, usually finally affecting the patron.
“Most individuals consider the tariff as a ‘delivery charge’ — it isn’t,” one model consultant lamented.
As of April 2025, the U.S. has reinstated and expanded tariffs on many Chinese language-made items underneath the Trump administration’s “Liberation Day” coverage. Bicycles and elements from China already carried a 25% Part 301 tariff imposed throughout Trump’s first time period. Underneath the brand new coverage, a further 10% blanket tariff is utilized, bringing the entire tariff to 35% on most Chinese language bike imports.
Along with these tariffs, bicycles and frames are topic to an ordinary import responsibility of 11% to 14%, relying on the product kind and classification. Once you add the 35% tariff and the usual import duties collectively, the entire tax on a Chinese language-made bike can now attain 49% or increased.
For instance, say a motorbike prices $500 to import from China. The 35% tariff provides $175, the 14% duties and charges tack on one other $70 in order that $500 bike now prices $745. That is earlier than it even will get to a warehouse or retailer—and doesn’t embrace freight, storage, labour or advertising prices.
These inflated prices make importing lower-priced objects or smaller model names into the U.S. unfeasible.
“Anybody whose majority product comes from abroad shall be compelled to close down store very shortly if it does not change,” a model rep mentioned.
Between the political turmoil and ever-changing commerce insurance policies, there’s appreciable uncertainty. Nevertheless, these preliminary responses from the bike trade sign that the trade is being compelled to adapt, whether or not by value will increase, restricted releases, or a complete restructuring of provide chains.
Whether or not this tariff wave results in renewed home manufacturing, lasting value inflation, or a shakeup within the manufacturers and merchandise obtainable on U.S. cabinets stays to be seen. However the trade is definitely in movement.