The U.S. bike industry has always been vulnerable to the shifting tides of global trade, but the chaos unfolding in recent days has made it painfully clear that the latest wave of tariffs was entirely avoidable—and may be shaping up to be a very costly mistake.
When President Donald Trump revived and expanded sweeping tariffs on Chinese goods earlier this week, the move was positioned as a strategy to revive American manufacturing. But for the cycling world, the early results paint a starkly different picture: supply chains are in disarray, costs are ballooning, and some companies are hitting pause on operations while they wait for clarity.
The relatively predictable global supply chains that delivered everything from entry-level hardtails to high-end e-MTBs have been upended. As of April 2025, tariffs on Chinese-made bicycles and components have reached historic highs, with combined duties now exceeding 80% on some imports. For brands, retailers, and consumers, the consequences will be wide-reaching and expensive.
According to advocacy group PeopleForBikes, adult bicycles imported from China now face a cumulative tariff of 81%. E-bikes, which have become one of the most important growth categories in cycling, are hit with tariffs totaling 70%. “There is no feasible domestic supply chain in place to meet current demand,” the group stated in a March update, emphasizing that nearly 94% of bikes sold in the U.S. are imported from China.
The financial impact of these trade policies can be seen up and down the industry. A bike valued at $1,000 at the port now incurs hundreds of dollars in duties before it ever reaches a warehouse. And while some of those costs are absorbed by distributors, much of the increase gets passed down the line to shops and riders. Prices are climbing across the board, especially on entry- and mid-level bikes that were once considered accessible.
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Manufacturers who operate outside of China are also facing stiff tariffs.
To avoid the harshest penalties, some brands are working to restructure their supply chains. Manufacturing and final assembly have shifted in some cases to countries such as Vietnam, Taiwan, and others—which are also facing new tariffs.
Even with these changes, disentangling production from China altogether is easier said than done. “Even if you build the frame elsewhere, many components—brakes, drivetrains, hubs—still come from China,” said one product manager at a major mountain bike company, who requested anonymity to speak candidly. “We can move assembly, but not our entire ecosystem.”
For small U.S.-based brands, the effects are even more personal. Tim Krueger, founder and CEO of Esker Cycles, shared how the abrupt implementation of the tariffs has already cost his team dearly. “As a small company building affordable, high quality bikes, we do our own assembly of our completes in Minnesota. We are a team of six, and I do my best to pay them above industry averages. Unfortunately, with these tariffs being enacted, we already had to lay one person off this week, as the way these tariffs were enacted without warning is going to cause some financial stress.”
Krueger emphasized that his company’s production model relies on long-standing relationships with manufacturers in Taiwan, not China. “I have been working with some of these factories for 17 years. Family run, some of them I would consider close friends. We've had folks from Taiwan stay at our house. We've been part of Taiwanese weddings. These partners are family.”
He added, “As a member of a global economy, we don't view the world in the 'us vs. them' way the government is currently behaving. The Taiwanese are quite literally the best in the world at large-scale bicycle frame production, and that's why we manufacture our frames there. But we also believe in our country and our people, which is why we do 100% of our own assembly in the USA. I believe in this balance.”
![Image]()
Like many small and mid-sized brands, Esker balances overseas production with domestic assembly.
Krueger said Esker anticipated some tariff changes and had prepared for increases of three to five times the existing rate. “But we weren't prepared for 10x. We bring in frames for our own assembly as our primary import. They went from 3.9% to 36% overnight.” He said the company is doing everything it can to avoid raising prices, at least in the short term. “The absolute last thing we want to do is raise prices. So we are going to wait as long as we possibly can to do that... hopefully we won't have to if cooler heads can prevail here.”
Others are opting to pause new orders altogether, waiting to see if the situation stabilizes before committing to large production runs. This cautious approach is a reflection of how volatile the current landscape is. "We’re in a holding pattern," a brand executive said. "We don’t want to flood our warehouse with bikes that are suddenly priced out of reach."
The situation grew even more complex today (Friday, April 4) when China announced retaliatory measures in response to the U.S. tariffs. This morning, China imposed a 34% tariff on all U.S. imports, which will become effective April 10. This counterpunch not only raises costs for U.S. brands hoping to sell into the Chinese market but also sends a clear message that the trade war is far from over.
China has also introduced export restrictions on several rare earth elements critical to high-tech manufacturing, including samarium and gadolinium—materials used in the production of high-performance magnets found in some e-bike motors. These controls add another layer of uncertainty for companies already struggling with cost and supply chain issues.
For the bike industry, which already endured pandemic-driven shortages and, (if we're being perfectly honest with ourselves, some greed-driven price hikes.) These developments threaten to stifle a still-fragile recovery.
Industry stakeholders continue to lobby for tariff exclusions and longer-term relief. But as of now, no comprehensive solution appears to be in sight. With Trump signaling continued trade aggression and China responding in kind, the path forward remains uncertain.
In the words of one product manager: “We’re doing everything we can to keep bikes on the floor and prices reasonable. But these tariffs are killing our flexibility. We’re fighting global policy with spreadsheets.”
What This Means for Mountain Bikers
For the average rider, these developments could mean fewer deals, longer wait times, and more limited availability—especially when it comes to popular models. If you’ve been holding out for a bike upgrade or a new e-MTB, expect to pay more than you would have just a few months ago. Components and complete builds alike are affected, and some brands may limit inventory or delay new launches until trade conditions become clearer.
![Image]()
Even US-based custom builders rely on components and materials made overseas.
At the same time, this turbulence may open the door for smaller brands or domestic builders to step in with creative solutions. It’s a good time to support local shops and keep an eye out for gently-used bikes and gear.
When President Donald Trump revived and expanded sweeping tariffs on Chinese goods earlier this week, the move was positioned as a strategy to revive American manufacturing. But for the cycling world, the early results paint a starkly different picture: supply chains are in disarray, costs are ballooning, and some companies are hitting pause on operations while they wait for clarity.
The relatively predictable global supply chains that delivered everything from entry-level hardtails to high-end e-MTBs have been upended. As of April 2025, tariffs on Chinese-made bicycles and components have reached historic highs, with combined duties now exceeding 80% on some imports. For brands, retailers, and consumers, the consequences will be wide-reaching and expensive.
According to advocacy group PeopleForBikes, adult bicycles imported from China now face a cumulative tariff of 81%. E-bikes, which have become one of the most important growth categories in cycling, are hit with tariffs totaling 70%. “There is no feasible domestic supply chain in place to meet current demand,” the group stated in a March update, emphasizing that nearly 94% of bikes sold in the U.S. are imported from China.
The financial impact of these trade policies can be seen up and down the industry. A bike valued at $1,000 at the port now incurs hundreds of dollars in duties before it ever reaches a warehouse. And while some of those costs are absorbed by distributors, much of the increase gets passed down the line to shops and riders. Prices are climbing across the board, especially on entry- and mid-level bikes that were once considered accessible.
Manufacturers who operate outside of China are also facing stiff tariffs.
Even with these changes, disentangling production from China altogether is easier said than done. “Even if you build the frame elsewhere, many components—brakes, drivetrains, hubs—still come from China,” said one product manager at a major mountain bike company, who requested anonymity to speak candidly. “We can move assembly, but not our entire ecosystem.”
For small U.S.-based brands, the effects are even more personal. Tim Krueger, founder and CEO of Esker Cycles, shared how the abrupt implementation of the tariffs has already cost his team dearly. “As a small company building affordable, high quality bikes, we do our own assembly of our completes in Minnesota. We are a team of six, and I do my best to pay them above industry averages. Unfortunately, with these tariffs being enacted, we already had to lay one person off this week, as the way these tariffs were enacted without warning is going to cause some financial stress.”
Krueger emphasized that his company’s production model relies on long-standing relationships with manufacturers in Taiwan, not China. “I have been working with some of these factories for 17 years. Family run, some of them I would consider close friends. We've had folks from Taiwan stay at our house. We've been part of Taiwanese weddings. These partners are family.”
He added, “As a member of a global economy, we don't view the world in the 'us vs. them' way the government is currently behaving. The Taiwanese are quite literally the best in the world at large-scale bicycle frame production, and that's why we manufacture our frames there. But we also believe in our country and our people, which is why we do 100% of our own assembly in the USA. I believe in this balance.”
Like many small and mid-sized brands, Esker balances overseas production with domestic assembly.
Krueger said Esker anticipated some tariff changes and had prepared for increases of three to five times the existing rate. “But we weren't prepared for 10x. We bring in frames for our own assembly as our primary import. They went from 3.9% to 36% overnight.” He said the company is doing everything it can to avoid raising prices, at least in the short term. “The absolute last thing we want to do is raise prices. So we are going to wait as long as we possibly can to do that... hopefully we won't have to if cooler heads can prevail here.”
Others are opting to pause new orders altogether, waiting to see if the situation stabilizes before committing to large production runs. This cautious approach is a reflection of how volatile the current landscape is. "We’re in a holding pattern," a brand executive said. "We don’t want to flood our warehouse with bikes that are suddenly priced out of reach."
The situation grew even more complex today (Friday, April 4) when China announced retaliatory measures in response to the U.S. tariffs. This morning, China imposed a 34% tariff on all U.S. imports, which will become effective April 10. This counterpunch not only raises costs for U.S. brands hoping to sell into the Chinese market but also sends a clear message that the trade war is far from over.
China has also introduced export restrictions on several rare earth elements critical to high-tech manufacturing, including samarium and gadolinium—materials used in the production of high-performance magnets found in some e-bike motors. These controls add another layer of uncertainty for companies already struggling with cost and supply chain issues.
For the bike industry, which already endured pandemic-driven shortages and, (if we're being perfectly honest with ourselves, some greed-driven price hikes.) These developments threaten to stifle a still-fragile recovery.
Industry stakeholders continue to lobby for tariff exclusions and longer-term relief. But as of now, no comprehensive solution appears to be in sight. With Trump signaling continued trade aggression and China responding in kind, the path forward remains uncertain.
In the words of one product manager: “We’re doing everything we can to keep bikes on the floor and prices reasonable. But these tariffs are killing our flexibility. We’re fighting global policy with spreadsheets.”
What This Means for Mountain Bikers
For the average rider, these developments could mean fewer deals, longer wait times, and more limited availability—especially when it comes to popular models. If you’ve been holding out for a bike upgrade or a new e-MTB, expect to pay more than you would have just a few months ago. Components and complete builds alike are affected, and some brands may limit inventory or delay new launches until trade conditions become clearer.
Even US-based custom builders rely on components and materials made overseas.
