The European Boating Industry (EBI) is calling for careful negotiations to resolve the tariff war between Europe and the US stating that retaliatory tariffs from the European Commission will negatively affect the marine industry.
In a statement, the EBI says it urges both sides to engage in careful negotiations over the coming days and weeks to resolve this urgent issue.
The statement follows the retaliatory tariffs announced by the European Commission on US products, including recreational boats, in response to the US Administration’s 25% tariff on all imported steel and aluminum.
The EBI says it strongly opposes the tariffs and highlights the potential risks to European businesses and the entire value chain.
“The imposition of retaliatory tariffs, as seen between 2018 and 2021, would have significant negative consequences,” said the statement.
“Tariffs disrupt businesses, hinder economic growth, and jeopardise jobs, particularly for small and medium-sized enterprises (SMEs) that form the backbone of the boating industry in Europe and the EU as a whole.”
Negative impact
The EBI says that whil the these tariffs are unrelated to the recreational boating sector, arising from the dispute over steel and aluminium, they will negatively impact European industry and the EU’s competitiveness goals and carry unintended consequences.
The EBI is instead calling for the permanent removal of tariffs on unrelated sectors, such as recreational boats, which will support economic growth on both sides of the Atlantic.
Europe’s recreational boating industry consists of over 32,000 businesses and directly employs more than 280,000 people. Over 96% of businesses in the sector are SMEs.
The US steel and aluminium tariffs were originally introduced in 2018 under President Trump’s first term to bolster domestic production by addressing concerns over global overcapacity and national security.
The reinstatement expands the scope by eliminating previous country exemptions and product exclusions.
The NMMA is warning its members that as the American recreational boating industry relies heavily on materials like steel and aluminum for boat manufacturing, it should expect increased production costs and potential disruption within supply chains.
The reinstatement of steel and aluminum tariffs follows on from the President’s changes on tariffs last week on goods from Canada and Mexico.
