How we got here: 25% tariffs from 2018 impacting 2025 pricing?!
In 2018, Section 301 tariffs were implemented to encourage re-shoring of production to the US in computer, automotive, and other industries. The bike and ebike sectors were caught up in this action even though no viable manufacturing base exists in the USA. Recognizing this, US Trade officials granted an exemption to the tariffs.
Since the beginning, most Vvolt components have been made in China. In 2023 we moved assembly to a mainland China facility with excellent quality control. Our ebikes are better than ever; thanks in part to the work of our Chinese manufacturing and sourcing partner.
In 2024 the tariff exemption expired and was not renewed due to bipartisan pressure to be "hard on China." We covered a fraction of our sudden cost increase with a small price increase on our Gen-II models, absorbing most of the cost impacts with belt-tightening.
Now we see an additional 10% tariff, bringing our total import duty costs to 35%. More Vvolt ebikes are in production, and tariff bills are due as soon as our ebikes land on US shores.
Having already responded to last year's 25% increase by reducing our operating costs and taking in a smaller amount of money with each sale, we have no recourse but to raise prices, effective February 11, 2025. This bump of approximately 6% does nothing aside from covering our added import costs.
It’s frustrating for us to do this, as we genuinely want to keep our prices affordable in service of our mission. When ebikes are (relatively) inexpensive then it’s easier for us (and you) to shift your transportation habits to drive less and ride more.
We hope our price increase does not adversely impact your ability to choose a Vvolt. If it does, we welcome you to reach out to our customer support team. We may be able to offer you a discounted price on a demo or cosmetically blemished ebike.
We hope that we’ll see support for the re-shoring of ebike assembly. Former Oregon Congressman Blumeauer drafted the Domestic Bicycle Production Act and we look forward to seeing it introduced into the current congress, where bipartisan support for American manufacturing should still be a winning issue.
Until then, we continue our work to ensure the safety, reliability, and quality of Vvolt ebikes while doing our utmost to control costs so that you can continue to choose to support a US-based brand investing in exceptional service and uniquely functional designs.
Thank you, from all of us here at Vvolt.
