Newsletter Archive

The EU’s 50% Tariff on U.S. Boats Starts in 30 Days - 04/30/21

BoatTEST Newsletter April 30, 2021

BoatTEST-On-The-Water

 

Honda Stakes Its Claim to Reliability

The U.S. Coast Guard takes a hard line when it comes to the specifications for the equipment it uses. It has specified Honda outboards for

two decades.

We have long felt that Honda outboards have been underappreciated by the American boating public. There are numerous reasons for that but none of them have to do with the quality, reliability or performance of its engines. Twenty years ago, the USCG put out the specs that it required for outboard engines and invited all of the outboard makers to submit their products. Only Honda checked all of the boxes. The USCG was well aware that it would be putting thousands of hours on its small patrol boats, so reliability, fuel efficiency, performance and emissions would be determining factors. While American recreational boaters average 50 to 75 hours a year on their engines, Coast Guard vessels could easily put that many hours on its vessels in a week or two.  

 

To better understand Honda’s outboards, early this spring we interviewed Jim Loftus, Director of Power and Marine Equipment/Senior Manager Strategic Planning for Honda of America. He is an engineer who has spent 27 years working for Honda. This is the first in a series of four interviews and taken together, they give a well-rounded insight into Honda Marine's attributes and corporate culture. More...

 

Massive Showdown Looms

Over EU's 50% Tariff on U.S. Boats

eu-tariffs

This is how large yachts are shipped across the pond. Soon these ships might be empty if the U.S. Congress takes tit-for-tat action.

On June 1, 2021 – just one month from now – European Union (EU) retaliatory tariffs on American-made boats are scheduled to double from 25% to 50%. This new tariff will bring U.S. boat sales in Europe from a trickle with a 25% duty to a full stop at 50%.

 

According to the National Marine Manufacturers Association (NMMA), the current U.S. administration and the EU called a four-month pause on aircraft and other high-profile product tariffs but stopped short of pausing the 25% or coming 50% tariffs on American-made boats. Obviously, Congress cannot stand by as companies such as Hatteras, Formula, Cruisers Yachts, Hinckley, Boston Whaler, Regal, Chaparral, Sea Ray, Tiara, Sabre and so many others are closed out of Europe – while European-made boats are allowed into the U.S. tariff-free.  

 

When the EU imposed tariffs on products in 2018 to retaliate against the previous administration’s actions, it selected businesses with micro-precision to inflict maximum pain on districts and states where boatbuilding is a major employer. Those states are: North Carolina, Florida, Georgia, South Carolina, Indiana, Tennessee, Wisconsin, Missouri, among others – do you see a pattern here?

 

Those red-state congressional delegations, combined with the current administration’s blue-state congressional members, will have an issue they can happily agree upon and then trumpet their bipartisanship. They could do any number of things (some of them nasty, just as the EU is doing, such as tit-for-tat) to encourage the EU to allow a level playing field for this one industry. It has nothing to do with helping the rich, it’s about saving American jobs and industry.

 

Frank Hugelmeyer, president of the NMMA, told us recently that his organization is urging free trade for all and the elimination of all tariffs on all sides. This is a statesmen-like approach, but it remains to be seen if the EU repeals its political mischief on U.S.-made boats. Let’s hope that it does. Otherwise, there could be unintended consequences.

 

VBS-Logo

231 Center Consoles

On display at BoatTEST's Spring Virtual Boat Show are 231 center consoles from dozens of manufacturers. Browse the selection by clicking below.

 

Cruisers Yachts 338 South Beach Edition Bowrider

Classy Boat Seats 16

The Cruisers Yachts 338 South Beach Edition Bow Rider is a 32’11” (9.98 m) day boat designed to entertain a crowd during a day on the water and host a sunset cocktail party in port at the end of the day. She even has a mid-cabin with standing headroom that can sleep two comfortably plus a mini galley and an enclosed wet head. Her battleship gray hull and matching accents strike quite the pose at the dock. More...

 

Chaparral 230 SunCoast

Deckboat w/a Performance Edge

Chaparral’s 230 SunCoast has the space for entertaining, coving and beaching that people expect from a deckboat. What sets her apart is the manufacturer’s Extended V-Plane bottom that elongates the running surface to the aft ends of the swim platforms on each side of the outboard engine. It improves planing times and helps level the quickly under acceleration. More...

 

 Sea Ray Sundancer 320

A Great Weekend is in the Cards

Sea Ray’s Sundancer 320 is a comfortable, fun boat to drive, a spacious entertaining platform with one of the largest bow areas in class and a capable overnighter for weekend getaways. She’s a prime example of Sea Ray’s emphasis on premium features and utility in its ‘Dancer line. Her interior is remarkable for a boat so small.  She’s available with sterndrive or outboard power and in the standard configuration with open sides above the windshield (which can be buttoned-up with isinglass when it's chilly or rainy) or as a Coupe with full side windows. More... 

 

 Ranger VS1782 WT

High Windshield Enhances Utility

The VS1782 WT is the most popular model in Ranger’s Deep V aluminum lineup. Her walk-through configuration is coveted for the combination of fish-ability in the bow and the tall windshield that protects folks in the cockpit when traveling on a chilly morning to a fishing spot. More...

 

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