Tariffs on imported metals will have a negative impact on boat and RV manufacturers, according to people in those industries.
Both industries have a heavy presence in Elkhart County.
This story by Roger Schneider originally appeared in Goshen News.
On Thursday, President Donald Trump delivered on a campaign promise to level punishing tariffs on imported steel and aluminum. He said the tariffs are needed to protect steel and aluminum industries vital to the nation’s defense.
The steel tariff will be 25 percent and the aluminum tariff 10 percent. Trump said Mexico and Canada will be exempt from the tariffs while negotiations for changes to the North American Free Trade Agreement are conducted.
Peter Barrett, senior VP of marketing and development for New Paris-based Smoker-Craft, said early Thursday that tracking the exact impact on his company’s boats will take some time as a variety of aluminum types are used. The company uses rolled, painted rolled, sheet and extruded aluminum from several sources, both domestic and imported.
Boat manufacturers have been experiencing good sales volumes the past few years, Barrett said and the National Marine Manufacturers Association believes the tariffs will harm the industry.
RV manufacturers took a similar angry stance against the tariffs.
Jay Landers, VP for government affairs for the RV Industry Association, envisions several scenarios that could slow or reverse the nine-year climb of RV sales.
He said interest rates are increasing at the same time the tariffs will raise prices of all sorts of products, including RVs. He also said it’s possible the tariffs will lead to slower job growth or even higher unemployment.