FAIRFIELD, N.J.(BRAIN) Kent International would likely suspendproduction at its South Carolina bike factory later this year if the Trump administration does not reduce tariffs on Chinese imports, Kent Chairman Arnold Kamler said.
Kent, which dates to 1907, is one of the largest suppliers to the U.S. mass market. Since 2014, its BCA factory in Manning, South Carolina, has supplemented its imports from China and Southeast Asia. The factory, which employs about 100, relies on frames and components from China and elsewhere and has produced more than 1.5 million bikes.
Kamler told Fox Business news on April 18 that Kent had stopped imports of bikes and bike parts from China due to tariffs and duties he said total about 175%.
He told BRAIN on Monday that the import stoppage would eventually affect the South Carolina factory. If there are no changes in China tariffs in the next 30 days, we will need to suspend production later this year, he said.
The factory has been featured in many reports in the mainstream media as an example of domestic manufacturing. However, Kamler has been outspoken for years saying that tariffs on Chinese component imports discourage U.S. manufacturing. While Kent had plannedto begin manufacturing frames and other components there, currently it paints and assembles bikes and builds wheels.
Kamler said while Kent and other suppliers hustle to diversify their supply chain, the current tariffs on Chinese imports would result in prices that Kents retailer customers will not pay.
Unless something happens fast in China, there are going to be empty shelves everywhere, not just for bicycles, he said.
He said the administrations changeable trade policy has forced Kent to present customers with multiple pricing scenarios. We are presenting all our customers with quotes for if the tariff is 24%, 175% or zero, he said. Its a never-ending nightmare.