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New round of tariffs targets $200 billion of Chinese goods

Published July 10, 2018
The latest round targets hundreds of imports and includes many bicycle products and components.

WASHINGTON, D.C. (BRAIN) — On Tuesday, the Trump administration announced that it would assess an additional 10 percent tariff on up to $200 billion of Chinese goods. The latest list and round of tariffs comes on the heels of two other rounds of tariffs imposing 25 percent duties on $34 billion and $16 billion worth of Chinese imports.

The latest round targets hundreds of imports and includes many bicycle products and components including cable casing for derailleurs and caliper brakes, bike tires, rim strips, inner tubes, complete bicycles, frames, steel tubing, forks, wheel rims, wheel spokes, alloy hubs, three-speed hubs, two-speed hubs, freewheel sprockets, brakes and brake parts, saddles, pedals, cranksets and speedometers.

“In light of China’s decision to respond to the investigation by imposing duties on U.S. goods, the Trade Representative proposes a modification of the action taken in this investigation. The proposed modification is to maintain the original $34 billion action and the proposed $16 billion action, and to take further action in the form of an additional 10 percent ad valorem duty on products of China with an annual trade value of approximately $200 billion,” read the document published by the Office of the U.S. Trade Representative.

The U.S. Trade Representative is taking comments on these proposed tariffs until Aug. 17. A public hearing is scheduled for Aug. 20-23.

Katy Hartnett, director of government relations for PeopleForBikes, said she's looking through the tariff codes list and figuring out the extent that this proposal could impact the industry.

"PFB is working closely with allies in the bicycle industry, including the Bicycle Product Suppliers Association, on how we should respond to make the case that these proposed tariffs are concerning and something we are going to be working to get dropped or eliminated. It's a proposal so there's no deadline when this could go into effect. We'll be working with allies in the bicycle industry to make the case about why we believe this would be hard for the bicycle industry," she added. 

"We really need a strong bicycle industry voice outlining the risk these proposed tariffs pose to the industry and the importance of a balanced and fair trade policy," Hartnett said. 

Meanwhile, Hartnett said the industry has mobilized to address the proposed 25 percent tariff on e-bikes and e-bike motors announced last month. The public hearing is set for July 24 and Bob Burns, Trek's general counsel, will testify on behalf of the bicycle industry. Hartnett said PFB is asking brands to continue to submit comments. The deadline for written comments is July 23. 

For the full list of bicycle products in the latest proposal for 10 percent duties, see the 205-page document.

Related stories:

US proposes 25% tariff on China-made e-bikes

China-made GPS units will be hit with 25% tariff starting next month

US component makers squeezed by material costs and new tariff on bearings 

US spoke makers adjusting to steel tariff 

Topics associated with this article: Tariffs

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