Builders of boats: Get rid of tariffs

Trade fights hurt industry, they say

WASHINGTON — Recreational boat builders in Arkansas and across the country are urging the White House to remove recently instituted trade barriers, warning that they are harming the industry.

Monday, an official with the National Marine Manufacturers Association urged the administration “to cease the implementation of tariffs on U.S. manufacturers and focus on negotiating a deal with the government of China that is in the best interest of American consumers, workers and businesses.”

Nicole Vasilaros, the trade industry group’s vice president of government relations, testified during a hearing at the International Trade Commission Building in Washington, D.C.

In her written comments, she told the Office of the U.S. Trade Representative that the escalating trade battles are bad for business.

“From tariffs on raw materials and components, to retaliatory tariffs that have frozen international markets for U.S. marine exports, the recreational boating industry continues to bear the brunt of the administration’s trade policies,” she stated.

Proposed tariffs of 1025 percent on recreational marine products and components have “hurt the U.S. more than China by disrupting the profitability of U.S. businesses, employment opportunities, and affordability of boating for American consumers,” she added.

Vasilaros’ message is being echoed by others.

In an op-ed piece this month, Correct Craft CEO Bill Yeargin criticized “the Trump administration’s recent — and constant — implementation of tariffs,” saying they are putting American companies and their employees at risk.

Correct Craft has six factories and employs nearly 1,300 workers.

The company owns SeaArk Boats in Monticello as well as Bass Cat and YarCraft, which are manufactured in Mountain Home.

“We have found ourselves in the crosshairs of a trade war, one that will drown out the effects of tax reform and risk our industry’s promising future, taking American

workers and consumers down with it,” he wrote.

“Canada, Mexico, and the European Union … have implemented retaliatory tariffs of 10 percent, 15 percent, and 25 percent respectively,” he wrote. “Distributors from around the globe are canceling orders at a concerning pace and we’re worried about the impact these canceled orders will have on our employees.”

In an interview, Steve Henderson, president of SeaArk Boats, echoed those concerns.

“This is definitely affecting us. … The price of aluminum has gone up since they

first started talking about the tariffs,” he said.

Other costs are also increasing.

“We’re getting letters daily from our other vendors that are having to go up 15-25 percent. Extrusion companies, our welding wire has [gone] up, rigging components for our boats. … Even radios are being hit,” he said.

The trade tensions are bad news for SeaArk’s 154 Monticello employees and for others, he said.

“Right now, it’s not good for anybody in the boating industry,” he added.