The Tariff Crisis is Once-in-a-Decade Buying Opportunity

The Tariff Crisis is  Once-in-a-Lifetime Buying Opportunity 

President Trump, a former owner of an Italian-built superyacht, with his cabinet answering questions about the new tariffs.

At BoatTEST, one of our guiding principles is: “Never let a good crisis go to waste.” Since nobody needs a boat—except a drowning man—any ripple in the macro economy can become a tsunami in the boating world, chasing buyers out of the market, or delaying their decisions. Today, that tsunami is sweeping across the boat business just as it did during the 1973 oil embargo, the 1979 oil crisis, the 1991 10% luxury tax on boats, 9/11, the 2008 Great Recession, the first month of the 2020 Covid quarantine, and now President Trump's Tariff Showdown. 

As we go to press at 5pm on April 9, 2025, President Trump has reduced last week's high tariffs down to 10% for 90 days for all countries except China, on which he has imposed a 125% tariff. While the reduction to 10% on all but one country is welcome, the roiled tariff waters, to say nothing about the fact that so many components are sourced in China, means retail costs will likely go up. 

Boat sales have been soft since summer 2023. Inventory of 2024 models is the highest we’ve seen since the Great Recession (2008–2011). Nearly every major brand under 50’ is overstocked at dealers eager to move units.

At the Miami Boat Show two months ago, even prestigious brands were offering steep discounts. Today, many new or non-current boats remain unsold as buyers hesitate, waiting for the tariff situation to clarify. But history tells a clear story:

For the 41’+ cruiser segment—mostly non-U.S. built—the spike from 2019 to 2023 was even more dramatic. This was so for a number of reasons, including the introduction of the 600-hp outboard engine and the addition to more sophisticated accessories, but also the introduction of some exciting new designs.

Know the “Mini-Markets”

Every region, dealership territory, and brand forms its own mini-economy. During the Great Recession, most North American markets were frozen—except Ontario, Canada, which outperformed the entire U.S. Northeast for 12 to 18 months.

Different socio-economic groups also respond differently. When second mortgages dried up in 2006–07, demand for aluminum fishing boats in the Midwest and South collapsed—an early warning of the impending 2008 crash caused by the bundling of non-performing mortgages.

Each boat type—offshore fishing, wake surfing, cruising—exists in its own market bubble. Commodity-like brands are negotiable. But legacy brands with strong reputations resist discounting and hold value, especially in larger motoryacht categories where supply is always limited.

If you’re shopping small boats, don't forget: transport costs east of the Mississippi rarely exceed $5,000, and some dealers may now be allowed buy the factories to sell outside their franchised territory temporarily. 

President Trump, during his historic April 2, 2025, speech, announced high U.S. tariffs that caused new challenges and opportunities worldwide.

8 Things Boat Buyers Need to Know

1. Dealers Are Overloaded with Inventory.
Dealers are carrying aging 2024 (and even 2023) stock, while 2025s ae quickly coming to the end of their model-year life. Floor-plan interest is mounting, and builders are pushing dealers to move boats and commit to 2026 orders of new boats. This is where the best deals live—but remember, the most desirable boats go first.

2. Look for Discontinued Brands or Models.
Dealers want to offload discontinued models even more quickly, than others that will be around a few more years. Also, a couple of brands have closed their doors, and these boats present unusual opportunities.  

3. Prices Are About to Spike—Across the Board.
Tariffs and component shortages will affect American brands just as much as they will for offshore builders. Once the dust settles, boats will be significantly more expensive.

4. Offshore Builders Will Adapt—Fast.
Every offshore brand is developing a tariff workaround. Now’s the time to secure a build slot and negotiate incentives in the “post-tariff-restructuring” era. Once the new rules of the game are clear, prices will go up, and supply might become limited. 

5. Take Offshore Delivery—It Could Be the Time of Your Life.
Cruising destinations outside the U.S.—like the BVI, Panama, or the Cayman Islands—offer delivery with little or no VAT, sales tax, or tariffs. If you can cruise offshore for a while waiting for U.S. import taxes to become reasonable, you might have the time of your life. You can always have a delivery captain bring your boat home if you don’t want to do it yourself.

6. Inflation Is Not Going Away.
The dollar buys 26% less than it did in 2014. That’s a 3.4% annual erosion of purchasing power. No matter what happens with tariffs, boats will never be cheaper than they are right now, and if the past is any guide, YOY boat-price increases will 2x-3x+ the rate of core U.S. inflation.

7. Take Advantage of Tax Laws.
Chartering or joining a “shared access” program like BoatTEST’s Sovereign Boat Fleet opens the door to major tax benefits. What used to be the domain of superyacht owners is now available to owners of smaller boats.

8. Time Is the One Thing You Can’t Buy More Of.
You only have so many summers. Your health is likely better now than it will be next year. And your kids or grandkids will soon be more interested in friends than family time. As Malcolm Forbes once said, “Life is not a dress rehearsal.”