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Is the Bike Industry Tariff-ied? (Video)
Two weeks ago at the 2025 Sea Otter Classic, we asked nearly everyone we interviewed whether tariffs were already affecting their business—or if they expected them to in the coming months. Hear a broad range of perspectives and find out what we learned in Neil’s latest video here…
PUBLISHED Apr 24, 2025
While I was at Sea Otter, the “T-word” was being tossed around constantly. In case you missed it, the Trump administration recently announced sweeping new tariffs: a base 10% on all imported goods, plus higher “reciprocal” tariffs of up to 50% for dozens of countries. These higher tariffs were scheduled to take effect on April 9 but have since been paused for 90 days for most countries, except China, which now faces a staggering 145% tariff on its exports to the United States. The cycling industry is particularly vulnerable, as it relies heavily on imports from China, Taiwan, and Vietnam—not just for finished products but also for raw materials and components.
I wanted to get this out quickly because although there’s a temporary hold, it’s inevitable that the full tariffs will return before long, which might just ruin the industry as we know it. That all said, these tariffs are already doing damage in the bike world. Just today, SILCA announced that they won’t launch their new electronic pump in the U.S., citing tariffs as making the market “impossible.”
We also learned about the unfortunate closure of Revel Bikes. In their words: “Our circumstance is tough, though not unique in the market, with product delays, significant payments coming due, and a very soft market. We are on the ledge, and we lost our safety net as a result of continued losses with no end in sight.”
Even US-made bag companies are struggling. Oveja Negra in Salida, Colorado, recently had to lay off seven employees. Nearly everything they make is sourced and sewn in the United States; only about two percent of their materials are imported. But according to co-owner Lane Willson (quoted in the Colorado Sun, which is linked below), bike shops in Mexico, Canada, Australia, the U.K., and South Africa have already canceled orders, and U.S. shops are pulling back in anticipation of tighter margins.
These are just a few examples, and I’m guessing we’ll be hearing many more stories like these over the next few years. But for now, let’s hear from some of the brands that attend Sea Otter. There was some optimism, sure, but also a clear sense that things could get grim. Watch the video below to hear directly from folks a wide-ranging group brands from around the cycling world.
“The fact that there’s no plan, [means] we can’t plan. That’s not how I want a business to run. I’m proud of the fact that the things that we’ve invested in within the States. And I’m happy to invest in more if it makes business sense to do that for the long term. But I can’t react in weeks.” —Chris Kratsch, Robert Axle Project
With thanks to everyone who took the time to chat with us at Sea Otter 2025. This is an ever-evolving topic with real-world impacts for many businesses and people, and it’s one we’ll be following closely in the months ahead. For now, we’re curious to hear your perspective and insights in the conversation below. You can also find a selection of related essays, posts, and recent news in the Further Reading grid.
Further Reading
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