Screw you Donald Trump (alloy pricing)

Discuss light weight issues concerning road bikes & parts.
Phuddy
Posts: 6
Joined: Sat Sep 01, 2018 7:48 pm

by Phuddy

I was hoping to get back on a road bike next year after spending too much time on the dirt but it looks like Donald Trump’s Aluminum(Aluminium) tariffs have hit close to home. In Canada, the top aluminum race bikes have all gone upon price whereas the same doesnt look to have happened to carbon bikes.

2018 CAAD12 105 $2099.99 —-> 2019 CAAD12 105 $2300
2018 Allez Sprint $2350 —-> 2019 Allez Sprint $2550
And for comparison:
2018 SuperSix EVO 105 $2800 —-> 2019 SuperSix EVO $2800

Maybe I’m missing something in the fine print but the 2018 and 2019 models of the CAAD12 and Sprint look pretty similar so I have to believe that Trumps tariffs are the reason for the price hike. At those prices it might make more sense to just go for an entry level carbon model.

Valbrona
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Joined: Fri Oct 28, 2011 3:25 am
Location: United Kingdom of Great Britain and Northern Ireland

by Valbrona

I think the idea is that Mr Cannondale will work out that it is now *possibly* more profitable to make their aluminium frames themselves and in the US rather than buy ready made ones for the Far East.

by Weenie


Catagory6
Posts: 217
Joined: Thu Feb 09, 2017 2:36 am

by Catagory6

wow, 3 posts in and you're already needlessly forcing politics, where there is none.

mattr
Posts: 3821
Joined: Fri May 25, 2007 6:43 pm
Location: The Grim North.

by mattr

Unfortunately, Trumps politics, and the fallout from them, is everywhere. And it's going to get worse.

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wheelbuilder
Posts: 530
Joined: Wed Feb 08, 2017 2:10 am

by wheelbuilder

Great third post man.

Phuddy
Posts: 6
Joined: Sat Sep 01, 2018 7:48 pm

by Phuddy

I guess I could just toss the occasional “nice bike, man” and “I think 11-28 is the best option too” comments on a few threads to get my post count up before I really say anything. Thanks for the warm welcome though.

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fa63
Posts: 2316
Joined: Mon Feb 19, 2007 7:26 am
Location: Atlanta, GA, US

by fa63

Cost of raw materials must be a very small part of the total cost of the bike. I imagine there are other factors as well that contributed to the price increase.

chorus88
Posts: 60
Joined: Sun Oct 22, 2006 2:58 pm
Location: Toronto

by chorus88

Phuddy wrote:
Sun Sep 16, 2018 8:33 pm
I guess I could just toss the occasional “nice bike, man” and “I think 11-28 is the best option too” comments on a few threads to get my post count up before I really say anything. Thanks for the warm welcome though.
Hosers have to stick together. :beerchug:

MikeD
Posts: 142
Joined: Thu Dec 11, 2014 9:55 pm

by MikeD

mattr wrote:Unfortunately, Trumps politics, and the fallout from them, is everywhere. And it's going to get worse.
Stock market is the highest it's ever been, unimployment is at record lows, my investments are up, my federal taxes are lower... Go Trump go!

TobinHatesYou
Posts: 1873
Joined: Mon Jul 24, 2017 12:02 pm

by TobinHatesYou

The tariffs are going to hurt the LBS and small fabricators more than the consumer. Other than complete bikes, we’ll still be able to order most of our components from shops like Wiggle, Merlin, Starbike, etc. tariff free. But yes, bicycle prices are going to go up, a lot.

Nobody knows if the US and China will cut a deal, and that uncertainty means nobody in their right mind would bring back manufacturing to the US. Taiwan and SE Asia stand to benefit, not the US. In the meantime, bike shops are being told order excess inventory before the prices really go up. US steel and aluminum suppliers are also gouging customers thanks to the reduced competition. White Industries is already adding an 8% surcharge to all orders.

adilosnave
Posts: 9
Joined: Sat Dec 23, 2017 2:10 pm

by adilosnave

MikeD wrote:
Sun Sep 16, 2018 9:22 pm
mattr wrote:Unfortunately, Trumps politics, and the fallout from them, is everywhere. And it's going to get worse.
Stock market is the highest it's ever been, unimployment is at record lows, my investments are up, my federal taxes are lower... Go Trump go!
So long as your wallet is OK, it's fine for women to be fondled, gold-star families criticized, jokes made of soldiers dying, making fun of the disabled, acts of treason, screwing the environment, giving racists a platform to speak from, extreme economic inequality, etc. I could go on and on, but that's all OK with you as long as you're making money?

bm0p700f
in the industry
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Joined: Sat May 12, 2012 7:25 pm
Location: Glermsford, Suffolk U.K
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by bm0p700f

With global brands then it may not make sense to move production back to the u.k. Cannondale may choose to ship direct from taiwan, they may do already to markets outside the USA in which case the import tarrif don't matter. The increase in aluminium prices is real but may be due to increased demand. Norway produce alot if aluminium and do does China. They can ship to Taiwan without increased tarrif. That maybe the source of the price increase, a narrowing of the supply base.

Trump thinks on 1d sadly. Economic's is 3d at least.

Mr.Gib
Posts: 3215
Joined: Fri Mar 18, 2005 4:12 pm
Location: eh?

by Mr.Gib

Gentlemen (and ladies if any), I encourage you to leave the politics out of this forum. Now OTOH, the impact of economic policy on bike pricing is relevant. On that note, has the US government not introduced a 25% tariff on aluminum imported from Canada? That would only make frames in the US more expensive. Bicycles imported into Canada (from Asia) should not be affected by any US tariffs.

For those lacking in a basic understanding of economics, tariffs on imported goods are generally shunned by proponents of a free market capitalist system because they result in higher consumer costs. Not just because the tariffs add cost but also because domestic producers are now free to raise their prices to match the tariff inflated imports while still remaining competitive. Being a weightweenie is partly about buying high end gear from all over the world. Any and all trade barriers increase the costs of our hobby.

And for those who are thrilled with a high stock market (I fall in that camp), be ready to sell. Watch inflation numbers and interest rates. This cannot go on that much longer. The massive US deficit and debt will compound the next downturn.

And to the OP, if you want to slag Trump and wave the Canadian flag, you need to up your game.
wheelsONfire wrote: When we ride disc brakes the whole deal of braking is just like a leaving a fart. It happens and then it's over. Nothing planned and nothing to get nervous for.

MikeD
Posts: 142
Joined: Thu Dec 11, 2014 9:55 pm

by MikeD

https://www.npr.org/2018/09/16/64737721 ... -dangerous

Beware of counterfeit products from China. I wonder if the tariffs will decrease some of this?

by Weenie


ParisCarbon
Posts: 1081
Joined: Mon Feb 05, 2007 5:39 am
Location: Winnipeg Canada

by ParisCarbon

I might be wrong but products may land in America first, then get distributed to us in Canada, so there may be a tariff slapped on their at some point... not sure to be honest...

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