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Steel / Alu tariffs

Old 03-14-18, 05:43 PM
  #1  
bdooner
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Steel / Alu tariffs

What's the effect going to be on bikes and related products? Will ti / alloys be in the mix?
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Old 03-14-18, 05:48 PM
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Regrettably, it seems that many companies look for any reason to raise prices and blame it on Government regulations. This pattern has been the case for many products. I hope it does not.
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Old 03-14-18, 05:53 PM
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I think that the tariffs are just on steel and aluminum stock, not finished products (I could be wrong, but I couldn't find anything definitive on the interweb). If so, US-made Fe and Al bikes will cost more, making imports more attractive. Ti is premium product compared to steel or Al, and the US-made share of US-bought bikes is probably pretty small.

Soooooo. It will make US made frames of Reynolds 853 or 953, or Tange or Columbus tubing more expensive. It will probably hurt prices and sales in that sector. But I don't think it will affect Ti bikes much at all.
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Old 03-14-18, 09:01 PM
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Only If the majority shifts from lap dogs to opposition..
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Old 03-14-18, 09:18 PM
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The raw material cost of Al or steel is insignificant compared to actual frame cost (all tooling and labor needed to make a block of steel into a frame). In addition, tariffs are on the material only, not imported goods. So if anything, it will hurt manufacturing in US that requires such material. For bicycles, 99.999% is already imported in the shape of abike.

Aluminum at less than $1 / pound
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Old 03-14-18, 10:01 PM
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Aluminum prices dropped in China
Should make a lot of stuff cheaper
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Old 03-14-18, 10:02 PM
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No carbon fiber tariff?
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Old 03-14-18, 10:07 PM
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Originally Posted by Kapusta View Post
No carbon fiber tariff?
No it looks like Plastics are exempt.
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Old 03-14-18, 10:08 PM
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Originally Posted by bdooner View Post
What's the effect going to be on bikes and related products? Will ti / alloys be in the mix?
The tariff is on steel and aluminum, not on products made of them

As such, only steel or aluminum bikes made in the USA would be affected, meaning virtually none.

Just about the only bike things that might be affected are tube sets like from Reynolds. However, I suspect, that for customs purposes these are considered a finished item made of steel , rather than steel per se. As such, these too would be unaffected.

The bigger impact might be on sales of USA branded bikes sold in Europe, depending on how the EU responds.
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Last edited by FBinNY; 03-15-18 at 07:04 AM.
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Old 03-15-18, 03:04 AM
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I am willing to pay more for something made in the States as opposed to imports. Other countries put a high tariff on American products but we flood our soil with their's at a much cheaper rate.
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Old 03-15-18, 05:49 AM
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There is more steel or aluminum in most individual engine components than there is in a bike frame. IF there is any change, it will be negligible.
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Old 03-15-18, 05:50 AM
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Originally Posted by coffeesnob View Post
I am willing to pay more for something made in the States as opposed to imports. Other countries put a high tariff on American products but we flood our soil with their's at a much cheaper rate.
That's a very broad and misleading generalization, given the actual data...And given the fact that tariffs are only one of the many forms of trade barriers.

Regarding the original question: as others have mentioned, the tariffs will likely not apply to finished bike frames, most of which are made in Asia. And even if the tariff applies to imported steel tubes used by custom frame builders in the US, it will constitute only a very small share of the cost of the finished item -- and a tariff will only be imposed if the tubeset comes from a country subject to the tariff.
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Old 03-15-18, 06:00 AM
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Originally Posted by AlexanderLS View Post
The senate can and probably will get rid of these tariffs.

They will likely not effect bike prices anyways. Most bikes are manufactured in china/Taiwan anyways.

With the Canada/Mexico exception, it is doubtful it will effect any prices. Canada is a major source of steel. Even if the need outpaces Canada/Mexico capacity, businesses could just bring the steel/aluminum through those countries to avoid the tariff. A steel/aluminum sheet is a steel/aluminum sheet, it would be mighty hard for CBP to tell if it was produced in Mexico/Canada or elsewhere.

It mainly discourages companies continuing to produce products in the USA, and we didn't need any help on that front.
Every sheet of steel or aluminum is traceable all the way back to the producing mill. Routing it through Canada wouldn't make it difficult to trace, it's right there in the paperwork for each sheet.
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Old 03-15-18, 06:02 AM
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there aren't that many tubes made in the U.S. anymore, which is a shame. Finished goods, like a tube, are not covered by the tariffs. I think KVA and Vari-wall are making tubes in the U.S., so their prices might go up. But the percentage of the cost of a tube that reflects the steel content is pretty low. So I doubt it will have much of an effect. KVA reportedly makes Reynolds stainless tubing.

I feel like there is a high probability we will be moving this thread to politics. However, please don't take it in a political direction.
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Old 03-15-18, 06:13 AM
  #15  
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the sky is falling!! gladly pay more for a quality American built bike built with American steel or alum.. why are we the only country to pay tariffs? so china can lower production costs?
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Old 03-15-18, 06:36 AM
  #16  
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Originally Posted by FBinNY View Post
The tariff is on steel and aluminum, not on products made of them

As such, only steel or aluminum bikes made in the USA would be affected, meaning virtually none.
See Unterhausen's post above. Most (if not all) tubing is made abroad. So it seems that only tubing made in the U.S. from foreign steel and/or aluminum would be impacted.
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Old 03-15-18, 06:48 AM
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The tariffs are 25% on steel, 10% on aluminium

Both metals are really cheap per pound with or without the tariffs. And a bike doesn't have many pounds of either metal. There's maybe $15 worth of metal in a bike. So the tariffs might add 10%-25% of the raw metal price (Or $1.50 - $3.75) to the total cost of the bike IF and ONLY if the metals are imported then assembled in the US. Most frames are make in China. So no cost increase.
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Old 03-15-18, 07:04 AM
  #18  
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Originally Posted by indyfabz View Post
See Unterhausen's post above. Most (if not all) tubing is made abroad. So it seems that only tubing made in the U.S. from foreign steel and/or aluminum would be impacted.
What I said earlier.
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Old 03-15-18, 07:09 AM
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Originally Posted by Skipjacks View Post
The tariffs are 25% on steel, 10% on aluminium

Both metals are really cheap per pound with or without the tariffs. And a bike doesn't have many pounds of either metal. There's maybe $15 worth of metal in a bike. So the tariffs might add 10%-25% of the raw metal price (Or $1.50 - $3.75) to the total cost of the bike IF and ONLY if the metals are imported then assembled in the US. Most frames are make in China. So no cost increase.
Are the Tariffs on just finished Steel/Aluminium or on Raw Ore?
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Old 03-15-18, 07:20 AM
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Originally Posted by FBinNY View Post
What I said earlier.
Not exactly.


"As such, only steel or aluminum bikes made in the USA would be affected, meaning virtually none."


If a steel or aluminum bike is made in the U.S. from finished tubing produced abroad it should not be affected.
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Old 03-15-18, 07:27 AM
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Maybe we should all just be satisfied with the bikes we currently have until these tariffs get reversed in 4 years. Or is it 3?
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Old 03-15-18, 07:39 AM
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I'm not going to say anything because I don't know enough facts to say anything intelligent.

I just wanted to get in a post before the lock.

Oh - and now that I've gotten my post in, I've reported the thread as being too political.
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Old 03-15-18, 07:54 AM
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Originally Posted by BillyD View Post
Maybe we should all just be satisfied with the bikes we currently have until these tariffs get reversed in 4 years. Or is it 3?
8 months, hopefully.
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Old 03-15-18, 07:56 AM
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Originally Posted by coffeesnob View Post
I am willing to pay more for something made in the States as opposed to imports.
A lot of people like to say that. Do you actually buy the US-made alternative whenever you get the chance?

Where were your bikes made?
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Old 03-15-18, 08:08 AM
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Well, I'm not planning on buying a new bike for a while, so I'll just be happy with the one aluminum frame bike and one steel frame bike I've got.
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