Rising tariffs and heightened trade tensions
Since March 4, 2025, the United States has been applying a series of new import taxes:
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25% on steel and aluminum, reinstating the duties abolished in 2021.
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25% on imports from Canada and Mexico.
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a further 10% on Chinese products, bringing the total to 20%.
These tariff hikes soon provoked international reactions. China imposed additional tariffs on US agricultural imports, while Canada retaliated with 25% taxes on C$30 billion of US imports, with a potential extension to C$125 billion over the next three weeks.
A direct impact on the American boating industry
The marine industry is particularly vulnerable to these measures, as it relies not only on supplies of raw materials such as steel and aluminum, but also on strategic business partnerships. The National Marine Manufacturers Association (NMMA) is sounding the alarm:
"Boating is a proudly American industry, with 95% of boats sold in the U.S. manufactured domestically." says Frank Hugelmeyer, President of the NMMA.
Canada, the main export market for American boats (51% of international sales), is likely to impose tighter restrictions, directly threatening the profitability of American builders. Mexico, a key link in the supply chain, could also see its role undermined.
A return to the trade tensions of 2018?
The new measures are reminiscent of 2018, when the European Union imposed a 25% tax on American boats in response to tariffs on steel and aluminum. This decision led to a drop in exports from the American marine industry to Europe, a crucial market.
If the European Union decides to reintroduce similar countermeasures in 2025, American shipbuilders could face a new crisis. A moratorium on these taxes, negotiated in 2021 and extended until March 31, 2025, may not be renewed if tensions escalate.
Mobilizing the industry to mitigate the effects
Faced with these uncertainties, the NMMA is actively working with US legislators to avoid an escalation that would jeopardize thousands of jobs. The association is also encouraging its members to take part in the Office of the United States Trade Representative's (USTR) public consultations, open until March 11, 2025, in order to influence future decisions.
Outlook and uncertainties
The Trump administration plans to review its trade policies by April 1, 2025, which could open the door to adjustments. As things stand, however, trade tensions are likely to escalate, threatening the stability of the US marine industry.
If negotiations with international partners fail, boat and marine equipment manufacturers will have to adapt by looking for alternatives to limit cost increases and maintain their competitiveness on the world market.
