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US China Trade War: Impact on Scuba industry

Discussion in 'General Scuba Equipment Discussions' started by CAPTAIN SINBAD, Jun 11, 2019.

  1. lexvil

    lexvil Loggerhead Turtle

    # of Dives: 1,000 - 2,499
    Location: jamestown, ca.
    1,537
    1,054
    113
    What they are saying is they may move production out of China, for what those lights cost, they are very good, with the tariff they could make them in California and still make a good profit, not to mention many other states with lower operating costs overall, this should be the goal of a thoughtful tariff, not a childish game but if it has a positive effect all to the good, now I need to shower.
     
  2. Bob DBF

    Bob DBF Solo Diver

    # of Dives: I just don't log dives
    Location: NorCal
    6,533
    6,673
    113
    On the tv news, they were considering a name change to Dollar+, I guess they don't want to spend a lot on new signage.


    Bob
     
  3. runsongas

    runsongas Great White

    # of Dives: 500 - 999
    Location: California - Bay Area
    3,427
    1,289
    113
    sounds like they are going to move production from california to taiwan or the philippines, to avoid getting tariffed on the individual parts they import currently from china to assemble the lights
     
  4. W W Meixner

    W W Meixner Rebreather Pilot

    # of Dives: 500 - 999
    Location: Ontario Canada
    755
    519
    93
    Chris...

    You know first hand how the tariffs are affecting product cost...considering everything you have to obtain from offshore...

    Being a dedicated DGX customer...the prices of all the offshore parts are going up...no doubt...having said that...everything is going up everywhere on everything...and being on a retirement fixed income...I notice all the increases more than some...just take a walk around your favourite grocery store...and having said that...

    All the ''good'' bits and pieces of equipent being used in the dive industry...that is originating in the far east...to use the broad term...are still a far better buy....than most dive equipment...originating...in most other places...I should not have had to buy/exchange four SP XTEK wings which were fabricated in Bulgara...before I got a good one...

    Dive lights have become like under water cameras...what used to cost multiples of thousands...now cost a few hundred...and that's a good thing...If a diver can buy a high quality...dive anywhere...complete reg set for five and change...that's also a good thing...

    Now...how about getting us a good $1000. rebreather...I'll be first in line...even if it's orange...

    Best...

    Warren...
     
    cerich likes this.
  5. Marie13

    Marie13 Great Lakes Mermaid ScubaBoard Supporter

    # of Dives: 200 - 499
    Location: Great Lakes
    5,594
    3,944
    113
    8513.00.2000 is duty free under GSP if country of origin is the Philippines. MPF is often omitted under FTA/preferential duty programs, as well.

    See that special column 1 that shows A? That’s the symbol for GSP.
    0E3369D1-3022-4B4B-9A84-82BD92779A06.jpeg
     
    cerich likes this.
  6. lexvil

    lexvil Loggerhead Turtle

    # of Dives: 1,000 - 2,499
    Location: jamestown, ca.
    1,537
    1,054
    113
    It does look that way, the risk is which country to move to that won’t suffer the same fate from a childish fit and their own tariff.
     
  7. cerich

    cerich ScubaBoard Supporter ScubaBoard Supporter

    # of Dives: 5,000 - ∞
    Location: Georgia
    6,580
    3,352
    113
    you misunderstood the article.
     
  8. cerich

    cerich ScubaBoard Supporter ScubaBoard Supporter

    # of Dives: 5,000 - ∞
    Location: Georgia
    6,580
    3,352
    113
    correct and the fib in the original articles when he said that he was paying duty on components (true) where as lights(in a manner that made it seem his entire product line was affected) fully manufactured in China by his competitors come in duty free (the partial fib)

    Interesting enough, instead of sourcing the components elsewhere and still doing assembly in the US they would rather move assembly and still source the parts from China, they just want the parts duty free.

    I would be very curious what % of the components in the assembly are made in the US to qualify to be called "made in the US" or if it is like FAR, FAR too much "made in US" gear in diving that is not at all meeting the legal requirements.

    From the FTC

    "
    THE STANDARD FOR UNQUALIFIED MADE IN USA CLAIMS
    What is the standard for a product to be called Made in USA without qualification?
    For a product to be called Made in USA, or claimed to be of domestic origin without qualifications or limits on the claim, the product must be "all or virtually all" made in the U.S. The term "United States," as referred to in the Enforcement Policy Statement, includes the 50 states, the District of Columbia, and the U.S. territories and possessions.

    What does "all or virtually all" mean?
    "All or virtually all" means that all significant parts and processing that go into the product must be of U.S. origin. That is, the product should contain no — or negligible — foreign content.

    What substantiation is required for a Made in USA claim?
    When a manufacturer or marketer makes an unqualified claim that a product is Made in USA, it should have — and rely on — a "reasonable basis" to support the claim at the time it is made. This means a manufacturer or marketer needs competent and reliable evidence to back up the claim that its product is "all or virtually all" made in the U.S."

    Complying with the Made in USA Standard

    Then there is this interesting article... where designed and assembled is said

    How Light & Motion Builds Their Bike Lights in the USA -


    Then there is this article, which means either this article, or the one regarding the tariffs forcing them offshore is a stretching it fib or outright lie regards meeting "made in USA" laws. Just saying

    Factory Visit: Light And Motion – Lighting Systems “Made In USA” – eMTB-News.de


    That all said, this article actually lays the issue out better, it is NOT that all flashlights are duty free, it is ONLY Bike lights that are proposed to move to duty free in the name of safety.

    Collateral damage? Tariffs force Light & Motion to move light production to the Philippines


    Regardless, something isn't adding up.
     
    couv likes this.
  9. cerich

    cerich ScubaBoard Supporter ScubaBoard Supporter

    # of Dives: 5,000 - ∞
    Location: Georgia
    6,580
    3,352
    113
    yes, but really, the amount of even dive gear components from mainland China has been less over the last few years. Lots moved back to Taiwan, some Japan, Cambodia, Thailand, Vietnam, Indonesia are making more of what the dive industry uses.

    There is no reason there can't be a 1k CCR, it's only volume (20% of the problem) and insurance overhead (80% of the problem) that are stopping it. The US anyhow, overseas that ratio is the other way and only half the reason, the other half being to subsidize the cost of doing business in the states regards CCR.
     
    couv and W W Meixner like this.
  10. W W Meixner

    W W Meixner Rebreather Pilot

    # of Dives: 500 - 999
    Location: Ontario Canada
    755
    519
    93
    Chris...

    Exactly...

    The prime reason why...with only a couple exceptions...the ''local rebreather shops have not been able to survive...

    Best...and thank you...

    Warren
     

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