Share
Newly elected US President Donald Trump acted quickly on his long-threatened intention to unleash tariffs on goods from major trading partners China, Mexico and Canada on his inauguration last month.
The legislation was one of the first to be signed on the day he came to power for the second time. China is a major supplier of fishing tackle to the US, leaving the industry unsure how it will be affected by the action of the 47th US President. He has since announced that Mexico and Canada will face 25% tariffs and China 10%.
Angling International sought the opinions of three major fishing tackle figures:
Dave Pfeiffer, President, Shimano North America Fishing
While it is confidential how much product Shimano imports from China, it is important to note that any potential tariff on Chinese-made fishing tackle is unlikely to significantly encourage manufacturing in the US. Several factors contribute to this conclusion:
• Tariff duration uncertainty: the tariffs may change in four years with a new administration, making long-term planning challenging.
• Investment costs: the investment required to build fishing tackle manufacturing capabilities in the US would be substantial for most brands.
• Time to transition: shifting manufacturing to the US is a time-consuming process. Even if some products are moved, it will not mitigate the immediate impact of a tariff being implemented.
• Cost analysis: an analysis would have to be conducted to determine if the increased costs associated with transitioning to US manufacturing would offset the cost of the tariff. Given the current uncertainty about the existence and extent of a tariff, this analysis is not feasible.
Shimano has a diverse manufacturing base, including facilities in the US for fishing rods and fishing line. Therefore, we are prepared to address any tariff issues as they arise. It is likely that concerns about tariffs extend to all countries where US market manufacturing occurs.
In conclusion, the timing on this issue is critical. A more appropriate time to address concerns will be when the Trump administration’s tariff plan is clear and final. Until then, any worries are premature and lack substantive data. It is essential to wait for more definitive information before drawing conclusions or making significant business decisions.
Glenn Hughes, President, American Sportfishing Association
The Trump transition team has put together the America First Trade Policy Memorandum that addresses tariffs and much more. Because of the fentanyl coming from China and crossing the borders in Mexico and Canada, the President would like to levy a 10% tariff on all goods from China and a 25% tariff on all goods coming from Mexico on Canada.
At this time the Senate has not yet confirmed Scott Bessent, President Trump’s selection for Treasury Secretary, and there is not a team in place to lead the United States Trade Representative USTR. At the same time, they must analyse the current value of the 301 tariffs from the last four years and consider other important items we’ve discussed like de minimis. Much of the planning is to be in place by April 1st.
Obviously, we do not want to see additional tariffs on fishing equipment. The industry has struggled the last two years and already pays 301 tariffs on products from China. This will increase prices, decrease sales and hurt all American businesses that have product manufactured in these countries.
Since the sportfishing industry already pays federal excise taxes that help support fisheries and habitat around the country, these additional tariffs would cause undue harm to an industry that has suffered the last two years. We respectfully request that sportfishing equipment be removed from the list of products being considered for tariffs.
I am fearful that tariffs may be imposed on other imports. However, that would be based on countries paying their ‘fair share’ in trade and not because of the fentanyl crisis.
We understand the importance of the fentanyl crisis and can appreciate the need to push back on countries that are not trading fairly with the US. And while tariffs in theory can support the objectives trying to be achieved, we also feel that there are solutions to these problems that don’t need to include the fishing tackle business.
Lars Ollberg, Rapala VMC President & CEO
I’d like to think tariffs will be good for the business overall and also good for the tackle trade. Confidence boosts confidence, and more jobs and more security and trust in your own future will surely fuel the consumer demand. More foot traffic in the stores will boost the dealers to stock more products and give them confidence to make more efforts to ‘look good’ and this will propel more consumer demand.
My personal view is the US business will get another ignition to reach to higher levels. I’d also say our key brands will benefit as our customers can trust our ability to supply and support.
As mentioned, we see the renewed Trump presidency a boost to our business. We are well positioned in all key channels, from mass merchants to speciality retailers, from brick and mortar to e-co. Our new products and key brands performed well during 2024, and we’re confident the added optimism will result in getting a further boost in the market.
Rapala VMC is quite well balanced in its supply portfolio. China is an important source for many of our categories but so it is for our competition. On some key categories such as rods, reels and combos I don’t see the competitive situation changing due to eventual China tariffs. But as said, we’re quite diversified and we have good relationships with our key supply partners. I’m quite confident we can overcome the eventual challenges in working together through the entire supply and logistics chain.
As for the effect of tariffs on the industry, there’s plenty of inventory in the pipeline which is imported at the current tariffs, and we will start seeing the first results of the possible higher tariffs only later. But to repeat, I’d say the overall North American tackle business will have another good year.
Will it encourage manufacturing in the US? This is also something that’s in the air, but as we all know building manufacturing capacity is time consuming. But yes, I’m sure we will see more Made in USA products in the years to come. Then again, as nobody wants a trade war and if very high tariffs are levied on foreign products, it would be an unwanted situation if Made in USA products would consequently suffer in the export markets.
We’re following the situation. Rapala has set up manufacturing bases in various parts of the world recently and if more manufacturing is needed in the US, we have the capabilities of doing so. But I don’t want to put the ‘cart in front of the horse’ and we are in constant dialogue with our North American staff. Let’s wait and let the smoke to clear.
I am not fearful that tariffs may be imposed on goods from other countries, but we are following the situation and will make efforts and actions to keep our products competitive in all parts of the world, and especially in the US market.
