For many outdoor companies, Sept. 18 marked the one-year anniversary of the imposition of punitive tariffs on their products sourced from China.
And, to an Outdoor Industry Association (OIA) report, there was more to follow:
- September 2018 – Outdoor companies began paying an extra 10% tariff on backpacks, camp chairs, some camp stoves, bikes, leather ski gloves, hats and other products (List 3).
- May 2019 – Punitive tariff on List 3 rises to 25%.
- September 2019 – Outdoor companies began paying a 15% tariff on apparel, footwear and some sporting goods (List 4a)
- Oct. 15, 2019 – The tariff on List 3 will increase from 25% to 30%. On September 11,President Trump announced that this 5%increase originally slated for Oct. 1 would be delayed two weeks until Oct. 15.
- December 15, 2019 – A 15% tariff on another group of outdoor apparel, footwear and sporting goods will come into effect (List 4b).
Outdoor companies have paid an extra $1.8 billion in tariffs over an 11-month period (September 2018 through July 2019) compared to the same period a year before. In total, outdoor companies have seen the amount of tariffs paid triple since the U.S.-China trade war began last year.
A 15% punitive tariff on outdoor apparel, footwear and equipment came into effect on Sept. 1, and another 15% tariff will be applied to a second group of these products on Dec. 15.
In response to the lingering trade war with China, OIA brought a group of outdoor executives to Washington, D.C., on Sept.12 for a special event with over 50 congressional and administration staffers on Capitol Hill to discuss the toll these tariffs are having on outdoor companies and the intricate global value chains that bring their products to market.
To view the full report click here.