Giant Declares 'Made in China' Era Over Citing Trump Tariffs

Jun 20, 2019
by James Smurthwaite  
We went to Taiwan and started a bike company

Giant has declared the "Made in China" era over in an interview with Bloomberg. The statement came after it moved US bound production back to Taiwan as a response to Trump's tariffs.

The 25% tariffs have apparently added $100 on average to the price of bicycles made in China and shipped to the US. Giant, the world's largest bike company, closed one plant in China at the end of 2018 and will be working double shifts on its Taiwan plant to keep up with US orders.

“When Trump announced the plan of 25% tariffs, we took it seriously,” Chairwoman Bonnie Tu said in the interview at Giant’s Taiwanese headquarters. “We started moving before he shut his mouth... Last year, I noticed that the era of Made In China and supplying globally is over.”

We went to Taiwan and started a bike company

The switch to Taiwan comes with higher employee costs, less automation and no China-like economies of scale. Tu declined to say how much it would cost Giant but simply told Bloomberg that their “bottom line would be better without the U.S.-China trade war.”

However, Giant seems to be weathering the storm and its ability to swerve the tariffs has been noticed by investors and analysts as its stock has climbed more than 70% this year to the highest level since 2015, after four straight years of declines. On Monday alone, its shares soared 9.8%, their biggest gain ever, after the company said it expects a quarter of its revenue this year to come from e-bikes.

Giant still has five Chinese plants and Tu confirmed that if the tariffs are lifted, they would move production back right away. In the meantime, Giant is opening a plant in Hungary and is looking for a new South East Asian manufacturing location.


304 Comments

  • 172 13
 I saw the title and thought that this meant they were moving to US based manufacturing. And then I read the article...
  • 322 136
 Yeah, if they wanted to increase their prices by 500%, that would have been an amazing idea. I apologize world for the complete idiot we have in the White House.
  • 256 23
 @scott-townes: yeah let’s all complain that a country with very a poor human rights track record is losing large scale production, how terrible?!?
  • 27 181
flag scott-townes (Jun 20, 2019 at 16:44) (Below Threshold)
 @TypicalCanadian: What drugs are you on? I want some.
  • 159 20
 @scott-townes: you need drugs to understand that China commits horrendous human rights violations? Sorry, this is complex for you.
  • 42 85
flag scott-townes (Jun 20, 2019 at 16:51) (Below Threshold)
 @TypicalCanadian: Please point out my pro-China comments. I'll wait.
  • 67 107
flag nocker (Jun 20, 2019 at 17:02) (Below Threshold)
 Speak for yourself @scott-townes. China has been taken advantage for a long time. The last pres funneled money to those taking advantage, to include terrorists, and went on a world apology tour. Giant should move manufacturing to the US. I’d pay a little more knowing the bike is truly made in the US. I’m not a fan of giant bikes but would actually consider buying one made in America.
  • 42 83
flag pargolf8 (Jun 20, 2019 at 17:11) (Below Threshold)
 @TypicalCanadian: dude you took a comment about price and production and went human rights with it. That’s kind of this whole other can of worms, dont ya think? I assume you cruise in the left lane like most other typical canadians I encounter on the freeway
  • 17 45
flag crazy9 (Jun 20, 2019 at 17:18) (Below Threshold)
  • 167 8
 Historically, when USA production costs increase in another country, the manufacturing is moved laterally into a similarly accommodating country. Taiwan, Malaysia, Philippines, etc... will get the production that China loses. The big lie is that tariffs will somehow stimulate more "Made In USA" bikes or other consumer goods.
  • 34 4
 Huge violin playing somewhere for China.
  • 98 13
 @pargolf8: to the contrary. Because despite opinions anyone has on Trump, I have no problem with countries being tough on China. There is a reason labor there is cheaper. So when @scott-townes was quick to “apologize” for Trump, I pointed out that China treats its citizens like crap, and we shouldn’t feel bad about taking production away from them.
  • 72 10
 @thinkbike is correct here. Made in America is a fantastic wet dream for all of us, but the truth is companies and consumers killed our horse in that race in order to maximize profits and purchase lower cost goods. China has been leading the manufacturing sector for so long they've adapted and evolved with it. There simply isn't enough manufacturing infrastructure in America any more to support demand and its asinine to assume that can change over night. I'm all for bringing manufacturing back to the US, but the reality is you have to wean yourself off of China rather than quit cold turkey. If you incentivize companies to bring production back here with tax breaks and grants they will start to see the light. Tariffs do nothing but force companies to shop other countries. Contrary to popular belief, China has taken its human rights issues very serious as of lately. I've worked in product development for over a decade and have spent over a year of my life in factories over there. It's amazing the amount of change you see over that time span. Now Malaysia, Indonesia, Cambodia... I can't say the same about.
  • 26 11
 @Dorkin: just don’t say anything bad about the government or you might go to prison.... little things.
  • 25 5
 @Dorkin: clarification: You can go to prison in China for being critical of the government there.
  • 131 7
 Can't I hate Trump AND China?
  • 36 53
flag spizike9 (Jun 20, 2019 at 18:40) (Below Threshold)
 @scott-townes:

Sorry your girl lost
  • 66 8
 I'm glad they aren't moving production to the USA. I've owned bikes made in the USA and bikes welded by Giant and I know which ones were straighter. Also, ask anyone who worked at Santa Cruz in around 2007 how quality improved when they switched from US-made to Giant - "They were all the same and they were PERFECT" - actual quote. Why would I pay more for a bike of lower quality just because it has 'Made in USA' on it?
  • 5 1
 @scott-townes: wait till someone shows him this, though. You can bet your bottom bracket there'll be some twitter explosions
  • 19 11
 @TypicalCanadian: America has the greatest Prisons. China is actually very weak on crime when you look at the great job Our Prisons are doing.
  • 65 10
 @TypicalCanadian: I forgot that America has an amazing human rights record... And continues to
  • 61 49
 @TypicalCanadian: you can go to jail in America for being black...
  • 26 39
flag nocker (Jun 20, 2019 at 19:10) (Below Threshold)
 This is sarcasm right? @enduroNZ: because it’s funny as hell! Good laugh.
  • 21 43
flag TypicalCanadian (Jun 20, 2019 at 19:12) (Below Threshold)
 @enduroNZ: I hope you’re kidding little guy. This is (or was) and actual serious conversation. But hey, spewing mindless BS, you do you!
  • 19 14
 @drangus: defending China, a country that has no freedom of speech and horrible labor laws, cool.
  • 24 15
 @TypicalCanadian: Yup, and The US of A and Canada has a very clean bill of health when it comes to HR abuse of its citizens. Talk to some of your historians please.
  • 31 4
 @TypicalCanadian: You're kidding yourself if you think Trump "being tough on China" is to do with civil rights rather than for economic reasons...
  • 6 1
 You should enlighten us @Zuman:
  • 7 6
 @irck: never said that, not sure where you made that up from, I’m just saying I’m fine with China taking some heat
  • 15 5
 @Zuman: nice straw-Man argument. We are talking about now, but thanks for changing the topic. I’m sure your country did bad stuff 100 years ago too. Tough to hear I know.
  • 45 1
 @nocker: y'all need to go mountain bike or somethin. your ruining my time wasting.
  • 2 0
 Agreed @JakinM:
  • 6 3
 @TypicalCanadian: As in the US. See Snowden, Manning, Assange etc.
  • 18 4
 @jclnv: I’m confused as to why saying I don’t support China’s record somehow invites criticism of other countries that weren’t mentioned. I say “China has issues”, and everyone like you immediately needs to say “so does Canada!”, or “so does the US!”.... neat, that’s not what was being discussed, and substituting a different argument is pointless. This is tiring, sorry I insulted China and that upset some of you, I’m done.
  • 17 7
 @TypicalCanadian: Why would @enduroNZ be kidding? Those are facts he is stating. tup
  • 5 5
 @Dropthedebt: Hey don’t insult me on the internet, your government might arrest you too.
  • 1 0
 @JakinM: yeah about 'fake news'
  • 20 15
 @TypicalCanadian: You're a god damned moron with zero context of American politics. My original post was making fun of Trump defending his tariffs because he has said on multiple occasions it would bring manufacturers back to the U.S. You took this as defending China.... again what drugs are you on?
  • 20 3
 It’s all cyclic (ironically) but maintain your Trump hating erections all you like, you can only use oppressed third world labor for so long before the economic dynamic shifts against you and the oppressive govt of those country’s gain the advantage, for America that point was about a decade ago but we like drug addicts pretend that’s not what happened. So Trump is just a footnote in our cheap labor deal w the communist Chinese devil. They own/control EVERYTHING in China period but yeah ignore the economic realities so you can complain....lol oh no whatever you do don’t meddle with our cheap oppressed labor....
  • 2 5
 Hey #metoo
  • 1 0
 Copy that!@jorgeposada:
  • 12 3
 China's reign is over
  • 15 19
flag Thustlewhumber (Jun 20, 2019 at 21:20) (Below Threshold)
 @scott-townes: You seem very snowflake like...
  • 8 3
 @TypicalCanadian: so how exactly will disengaging with China and withdrawing economically benefit human rights? We didn't bust down the iron curtain through holier-than-though grand-standing, we did it by making everyone want Coca Cola and Levis. China could be the same; they have a huge middle class clamoring to join the western world and if we engage them a lot of the values you want to share will be passed on as well.
  • 3 1
 @jayacheess: Thanks to living in Canada you can, plus all of: Liberals, Conservatives, NDP and Greens. That's what true freedom means. What a country!
  • 7 7
 @irck: it's not economic reasons either, but purely political. Tariffs get paid by US citizens as the companies pass on the costs. It's essentially a massive wealth redistribution policy that picks winners and losers - how very republican.
  • 4 1
 @TypicalCanadian: You don't even have to be critical of the government, they're currently holding two people prisoner just for being Canadian
  • 1 0
 @TightAF: I don't get what your "bugmen" comment refers to. Could you clarify? Are you referring to Chinese people?
  • 1 0
 Why on earth would a Taiwanese company move production to the US? That will only happen if tariffs are extended to all foreign produced bikes.
  • 7 0
 @drangus: you might want to research what is considered to be crime in China before you say they are weak on it.

Actually, I'll help. Google the words China along with "student," "protest," "and Tiananmen Square massacre"
A more current topic would be "Falun Gong Religion" with "crushed" and "state sponsored forced organ harvesting."

Happy reading!
  • 2 0
 @plyawn: Yep. That too.
  • 4 3
 @plyawn: these are the sort of measured and well thought out contribution that are most likely to be ignored by those who need to absorb them most. But I fear China is too monumental a machine to be influenced in this way. They have the leverage and size to stand up to the US if they want to. Mindless posturing (Trump's MO) is never founded on sound arguments and brings no tangible benefits to anyone (when averaged out), except the posturing buffoons who get turned on by the adulation of nationalists.
  • 3 9
flag RudeDH (Jun 21, 2019 at 0:17) (Below Threshold)
 @scott-townes: creep up on him and take him out? I mean aren´t half of your presidents assassinated?
  • 2 1
 @pargolf8: you just don't get it. The human rights angle is crucial.
  • 2 1
 @TypicalCanadian: unless they pass the extradition law in HK...then being critical of the gov in HK will get you sent to a Chinese concentration camp...
  • 3 1
 @plyawn: that's not how the iron curtain fell. USA outspent USSR.
  • 1 0
 @nocker: Americans, still not getting irony. Or rather, in this case, the lack of it.
  • 6 8
 @scott-townes: We'll forgive you if you don't let him have another 4 more years Wink
  • 5 3
 @enduroNZ: even though yours is a stupid comment, given your nationality I could justify it only if you were a Maori...you know, those people you stole...cough...conquered the land from and discriminated ever after?
  • 3 0
 @thinkbike: Bloomberg.com: Trade War Spurs 1,360% Investment Jump in Malaysian State... yippee?
  • 4 0
 @TypicalCanadian: Yes, the only way to help those poor kids is to squeeze their pockets further so that there'll be no more poor Chinese kids in future.
  • 3 0
 @plyawn: isn’t that what some important guy who lived in a white house was banking on in 1979? Well I guess the dream still lives in the minds of a few!
  • 2 0
 @thinkbike: A lot of production is already going elsewhere long before Trump got in. My old company used to have a lot of things made in china but an emerging middle class and an inability to find cheap labour and cheap materials meant that things were taking double and triple the time that they used to. a lot of products ended up been supplied by India instead.
  • 1 1
 Yeah but that wasnt the comment. You dont get it, douche flute. ANYONE GOING TO BLUE MOUNTAIN THIS WEEKEND? im happy to discuss this to your face. Not just internet clowning Smile
  • 1 3
 @RudeDH: Nah, our presidents stopped getting assassinated when the CIA decided to end their MK-Ultra program. Also I cannot imagine the damage Mike Pence would do as president. He calls his wife "mom".... enough said.
  • 2 0
 @src248: and we're holding a wealthy Chinese citizen..... What goes around comes around.
  • 2 1
 @scott-townes: Not being funny, but I refer to my wife as "Mummy" about 90% of the time. I don't know anything about Mike Pence, but I don't think calling your wife Mum makes you a bad person!
  • 3 2
 @TypicalCanadian: well now some little kids in China go hungrier...
  • 1 0
 @aidy: the last company I worked for back in 2015 was experiencing the same thing. The supply chain around the manufacturing cities was so bad our products would get delayed sometimes for as much as a month.

For new projects, most Chinese companies were excluded from the bid process. We wound up with new suppliers in Mexico, Spain, and Malaysia. And that was just the projects I was involved in.
  • 9 4
 The ironic part to me is that a lot of you agree with Trump when he says China was taking advantage of America when, they way i see it is that America and a lot of other nations have been taking advantage of China for a very long time. But no one cared about that. America is just getting sore over China becoming economically powerful. I think good on them for trying to get a little bit more out of the situation.
Rich countries taking advantage of poor countries has been happening for a very long time. Good on ya China for digging out of it somewhat. And complaining about Chinas paying shitty wages and having horrible working conditions is just bulls***. The reason that happened was because of richer countries. Demand drives supply. People buying elephant tusks causes poor people to kill elephants. People taking drugs in rich countries causes people in poor countries to produce them and kill each other for the right to. Trump is not the joke. The joke is all the people that follow his blatant bs.
  • 5 2
 @nocker:

@nocker:
"Giant should move manufacturing to the US."

1) A Taiwanese co. moving production to a country with some of the highest production costs in the world, is dividend suicide for Giant. The BoD would fire the CEO and CFO on the spot for bringing them that idea.

2) The US is a lucrative market (lots of cheap credit available, much to China's delight, who owns 1/3rd of US debt) but is dwarfed by Asian markets. Asian mkts are roughly 10x larger of the US mkt at 3B people, especially for bikes, which are relatively affordable.

3) What incentives does a Taiwanese co. have to move their MFT'ing to the US? Threat of organized labour driving manufacturing costs up even further? Higher transportation costs for raw materials from Asia and finished products back to Asia? Higher per unit production costs? Trump's 25% tariffs on foreign steel and aluminum that you, your fellow Americans pay, passed on to you from higher US manufacturing costs?

Proposing Giant can reasonably move production to the US is like proposing that we should all buy unicorns to ride to work. It isn't politics, it's basic economics and simple reality.
  • 6 11
flag Arzeripper (Jun 21, 2019 at 10:29) (Below Threshold)
 @scott-townes: Annnnnnd go f*ck YOURSELF you anti American cocksucker. I would like to apologize for the Obama fellating liberal spunk trumpets that infest the mountain biking havens on our nations coasts. Trump is OUR PRESIDENT... who has dropped black and latino unemployment TO THE LOWEST LEVELS EVER RECORDED in this country. You f*cking racist shitbag. Obama didnt do this, even though he had ALL THE POWER TO DO SO, he even said "what does Trump think that he has a magic want to bring those jobs back?" Abra Cadabra motherf*ckers. I cant wait until he legalizes POT and then see the liberals rage against it, lol..... Oh yes and bring on the downvotes!
  • 10 1
 @mackienz: dude... where to even start on this? Demand has literally zero to do with human rights and environmental regulations. Nor does Trump have anything to do with the price of labor in China!

I don't even get how people can blame the president of another country for things that China has direct control over? Tariffs suck and I wish it had never happened but to say US is somehow taking advantage of poor, under privileged 3rd world CHINA is absurd to the 400th exponent.

Somewhere along the line you forgot what the word COMMUNIST means. China is one of the most economically powerful countries in the world because the government makes it that way. US IS the largest economy because the PEOPLE make it that way. The Chinese government sets their labor laws where they are so that they put a choke hold on the rest of the manufacturing world at the expense of their population. These heavily taxed industries see very little money come back to the people with low standards and low income. These are laws we have in the US to protect our people so they can complain about their exponentially higher income than the world average.

This is why US manufacturing is so much more expensive. Its not about quality, Its everything to do with taking better care of our workers, financially, environmentally, and otherwise. If you buy "US Made" products, outside of some very notable exceptions, you are guaranteed to be supporting a healthy, clean, well paid work environment. You most certainly leave that door open when buying from China.

If you support that sort of filth on this earth, you are far worse than any Trump supporter dreamed of being.
  • 3 0
 @blahblahbikes: yeah unfortunately for the poor Han Chinese they’ve been subjected to the most evil eugenicist programs ever invented. Stripped of all autonomy and individuation they have become the producer slaves of their despotic government. Increased globalization and American consumerism drives this.
  • 2 0
 @TightAF: you seem to forget there's this big group of rich people that get to control these things like autonomy and eugenicist programs.... its that despotic government you mentioned last as if its a byproduct of the US buying stuff.

American Consumerism is fueled by a despotic government removing the autonomy of its workers to create a manufacturing environment so cheap the whole world cant help but buy in on it to make more profit.
  • 10 1
 @Arzeripper:

1. The President, nor the House of Reps oR, nor the Senate, have the power to directly affect employment anywhere. 93% of Americans are employed by the private sector. As such, politicians at local, state and federal levels enact legislation to fiscally encourage US companies to hire additional workers ranging from corporate tax breaks to a range of other legislative tools. If the economy is soft, private companies don't hire or lay-off. It's the job of the government to stimulate the economy (e.g. lower the fed rate for cheaper borrowing), which provides a stimulus for business to invest, in theory.

www.quora.com/What-percentage-of-U-S-citizens-work-for-federal-state-or-city-government

2. “African-American, Hispanic-American and Asian-American unemployment have all reached their lowest levels ever recorded.”

The big picture is needed as a POTUS' economic policies can affect employment, but does not unilaterally control it. The unemployment rates for Black unemployment reached a record low, 5.9 %, in May 2018, but rose to 6.8 % in January 2019. The African-American rate is still nearly double the jobless rate for whites, at 3.5 %. The most dramatic drop in black unemployment came under President Barack Obama, when it fell from a recession high of 16.8 % in March 2010 to 7.8 % in January 2017. Trump did help black unemployment fall a net 1%.

www.apnews.com/e1afa3f19a054540a7c34ca193bdd9ae


3. Five Dem POTUS candidates back pot legalization.

www.cnbc.com/2019/04/18/2020-democratic-candidates-stand-together-on-marijuana-legalize-it.html


That ain't politics, those are facts. Use them and think critically. Your country's future depends on it.
  • 1 0
 @scott-townes: No need for an apology! Trump pales in comparison with some other political junkies out there Wink
  • 2 2
 @enduroNZ: And in NZ you can become the women's Champion and/or record holder AS A MAN! Not to mention Jacinda Ardern. EVERY country has its' issues. Oh, let's talk about domestic violence. In NZ you can beat a 3 year old to a bloody pulp and walk away with only probation. Again, EVERY country has its' issues.
  • 1 0
 @HurricaneCycles: In my opinion, consumerism and poor financial education is the main problem with mountain bikers. I'm sure in other industries there are plenty of examples of it being something else, but with mountain biking everyone is always complaining about how expensive everything is yet they still go buy it.

People will be buying bikes they can't afford no matter how expensive they are, the companies are just taking advantage of those people's stupidity and as you pointed out China helps them exploit that even more. You would laugh at how many guys I see out there with $5k-6k bikes that can barely make it through some brake bumps.

People complain about the price of a $5k bike going up to $7k because of tariffs. If you can't afford to pay $7k you shouldn't be buying the $5k bike in the first place, it isn't financially smart.

The communist chinese are awful people, biggest mass murderers ever, but the government there is all part of a plan for complete control by those rich people you mentioned. And those rich people are ultimately also the ones running the advertisements and creating the tv shows and movies that push consumerism.
  • 2 2
 @serviceguy pretty big talk there buddy. Especially coming from a citizen of a country that CONTINUES to steal...cough conquer land in the post colonial world.
  • 2 1
 @geerumm: yeah you’re right, way rather have a leader that:
Denies global warming, denies the right to choose, systematically erodes public lands, pulls families apart at the boarder, is anti science, gun control, spies on its citizens, inflames social difference and increases the likelihood of global nuclear war which could ultimately lead to the destruction of the earth. Yeah Jacinda Ardern, she sux.
  • 1 1
 @dbagbiker: “If you can't afford to pay $7k you shouldn't be buying the $5k bike in the first place, it isn't financially smart.”

Huh?
  • 1 0
 @mackienz: I don't think making an exception to allow China into the WTO , thereby flooding China with $$ from American corps Really could count as taking advantage. China has done amazingly well financially after becoming the workshop of the world. Chinese citizens , have reaped the benefits as well. Never in history have so many been raised out of poverty in such a short time.
  • 1 0
 @HurricaneCycles: VERY well put. This is accurate and it really is what we should be talking about here. Bravo.
  • 1 0
 @irck: Mountain biking is a luxury for most people, not a necessity. With luxury items, in general, if you can't afford to buy at least 2-4 of them you shouldn't be buying one. $2000 is a 40% increase, big difference percentage wise, but its barely anything in terms of the actual number of dollars. If paying 7k vs 5k is a big deal to you then you need to save more money before making the purchase.
  • 2 0
 @makripper: Have faith, they may have some glory days yet.
  • 1 0
 @dbagbiker: You should be able to afford to buy at least 4 bikes or you shouldn’t be buying one? And paying 7k instead of 5k is barely anything in terms of actual dollars? Sorry, but this is elitist nonsense.
  • 1 0
 @DGWW: of course not! 159 years ago there were only a billion people in the entire planet!
  • 2 0
 @DGWW:
How is a rich country's corporations knowingly getting their products made in a undeveloped nation for a ridiculous low price knowing the conditions of the factories not taking advantage??
I guess i need to change my understanding of the term "taking advantage" to a more Americanized version. I look forward to your enlightening me.
  • 2 0
 @mackienz: how much time have you spent in factories in China ? I grew up in a mining town in Canada , I travel to China several times a year to visit and work in factories there, I can tell you that the working conditions at home are far worse than anything I've seen in China. Remember that China manipulates its currency , so they are able to artificially keep those wages low (meaning that money goes further inside of China ) again , Chinese citizens have gained alot from this relationship.
  • 2 0
 @irck: With nice bikes its more toward the 2 end of that spectrum , but its not elitist nonsense. Tons of people in America are under a mountain of debt because they don't follow those rules. I'm guessing in Australia you guys are generally smarter with your money, but Americans don't know what they're doing. There's 7 million people here that are at least 3 months behind on their car payment.

The last recession was caused by dumbasses using shitty loans to buy houses that they couldn't afford.

And yes 2k is barely anything in the US, it can easily be saved up over a few months if you work full time. A million dollars isn't even a lot of money in America if we take a broad view of things.
  • 1 0
 @TypicalCanadian: just don't be brown in America or you might go to prison, where we lead the world in incarceration rates and have 7x as many people locked up as China per-capita.
  • 4 0
 As someone studied in history and international affairs, I can't decide if this comment thread is entertaining or disturbing. Y'all oughta read a little with your post ride beers 'cause the grasp this group has on this subject matter does not warrant your blatantly ill informed opinions.
  • 3 1
 @dbagbiker: There's a good chance the next recession will be because of people defaulting on car loans. It will likely be worse than the last one because the value of the houses that were repossessed didn't diminish too much, so the lenders were able to recoup most of their money. When the cars are repossessed they'll likely be worth a fraction of the loan value.
  • 2 1
 @metaam: You know absolutely nothing about the U.S. economy. The car loan bubble? Hahah good lord dude.
  • 1 0
 @scott-townes: Its not as ridiculous as you think. If a million people defaulted on their car loans asset backed securities might plummet, which could drag the whole stock market down. That's pretty much how the last recession happened. Computers do most of the trading now and just run on algorithms. If the right chain of events happens it could trigger a massive sell off.

And if things are timed right, it could influence politics. Coincidentally, the 08 crash happened right before Obama's first election. We could see the same thing next year if certain people or companies want Trump out.
  • 1 0
 @dbagbiker: Look up the $9 trillion dollar corporate debt bubble. You're welcome.
  • 1 0
 @scott-townes: Don't worry I know all about that. What I can see happening is a big car loan ABS drop will cause a sell off and the corporate debt will keep things down over a long period of time. And it will start right around August or September of 2020. Trump will obviously do what he can to stop it unless he doesn't want to get re-elected, but it will be tough to fight all of that.

The corporate debt bubble won't be the starting point, but it will turn a small recession into a big one that lasts for a while. And when things do turn around it will make growth slower than it normally would be.

This is all my opinion, I'm not a financial advisor and I very well could be wrong, but this is my guess on what will happen.
  • 1 1
 This is sorta like that time Giant announced they were doing direct order sales when they really weren't doing direct order sales:

www.pinkbike.com/news/gaint-usa-jump-on-direct-sales-bandwagon-2016.html
  • 1 0
 @Flowcheckers: they do. Go on their website pick a bike, size, add to cart and click buy.
  • 2 0
 I’m guessing @scott-townes doesn’t work in manufacturing. I’d wager he makes a living in a profession that benefits from liberal leadership steering funds to his organization, just a wild guess.
  • 1 0
 @Newgy: where? Not a US citizen here, I just have the privilege to live in this great country.. I can appreciate that you don't have much other than a generic 'american imperialist' comment.
  • 1 0
 @makripper: But Giant doesn't actually send it to you direct and you don't save any money like you would with a Canyon or YT.
  • 1 0
 @Flowcheckers: big deal. I happen to know that YT produces their bikes in a Giant Corp. owned factory in Taiwan anyways. If you want a mountain bike you'd have a pretty hard time not giving money to Taiwan's big 2, Merida (who produces for a little american company called specialized) and Giant. Who cares. Taiwan and its manufacturers produce quality bikes, no one in the mountain bike world ever seems to appreciate the little island that makes our bikes.
  • 1 1
 @ryanandrewrogers: I have no disagreement with any of your points, just pointing out Giants history of misleading announcements.
  • 1 0
 @Flowcheckers: yes they do. I can order one and get it sent to either my house or a dealer. My choice.
  • 1 0
 @‘I’d pay a little more for a Giant made in the USA. I don’t know what you ride right now but my guess is like most you’d scoff at the price of a US made bike.
  • 1 1
 @makripper: Not according to the article I posted.

"Giant USA's general Manager John Thompson announced to dealers that it will sell bicycles direct to consumers who will collect their purchases at a Giant store."

Have they changed it?
  • 1 0
 @Flowcheckers: works for me. www.giant-bicycles.com/us/shop/review

I'm suprised after all this time you haven't used logic and tried for yourself.....
  • 1 0
 @makripper: I'm not interested in buying a giant.
  • 2 0
 @Flowcheckers: i don't care if you are. Fact check before commenting.
  • 2 0
 Ok, I apologize. I will fact check more.
  • 1 0
 @DGWW: yes, also plunging oil prices and chernobyl.
  • 1 0
 @DGWW: yes, also plunging oil prices and chernobyl.
  • 73 1
 Make Taiwan Great Again!!!!
  • 3 0
 EXACTLY!
  • 8 4
 Ahem, "Chinese Taipei".
  • 1 2
 ... and then when we get a new President and the tariffs are ended... Make China Great Again!
  • 1 0
 ooh yall wanna see a real magic trick? just say this on the internet: "Taiwan, The Republic of China, is the real China" and then visit "china". I guarantee you'll disappear.
  • 54 0
 There are so many economists on Pinkbike. Who knew?
  • 1 0
 There are also a lot of "economists" here who hardly know what Taiwan is.
  • 37 13
 Title is misleading, poor marks for English 101
  • 12 7
 Clickbait
  • 4 2
 Seems like you might not understand the governance and economic status of taiwan
  • 10 1
 So you assumed by the title that production was coming to merica? Hi, im earth, mucho gusto hombre
  • 21 4
 The title was literally 100% accurate. Literally. Poor marks for English Comprehension.
  • 1 0
 If you own a mountain bike then it is one of two things- Overpriced... or made in Taiwan. Taiwan exports quality goods, the mountain bike community should really appreciate it more, especially considering the vast majority of our bikes and bike parts are made there.
  • 20 2
 —crack a cold bev— start scrolling through PB comments... ***ahhh, entertainment ***
  • 16 0
 I mean Giant is and has always been a Taiwanese company... I'm glad they're returning home.
  • 4 0
 The article says they go back to China when tariffs are lifted. They will go wherever the money leads them.
  • 1 0
 It'd be interesting to know if they're decision to produce in China is based on cheaper labor or less regulation (environmental work place safety and otherwise) or a combination of both.
  • 1 0
 They always have and continue to produce their higher end (aka anything worth more than $1800 USD) bikes in Taiwan. It's their production of low-end mass market bicycles that was based in china. chances are if you've ever bought a giant mountain bike it was quality, taiwanese built.
  • 31 13
 Thanks Obama.
  • 38 24
 I would love to take a piss on Trump's face, but the problem is he would like it.
  • 14 4
 Even if they did magically move production to the USA, PEOPLE WOULD NOT HAVE JOBS, robots would be used, look at Hope, mostly robotic, with two guys doing a bit of donkey work. Also look at ENVE, made in USA.... ahem.... Nationalism is a waste of time. Tubes welded together are not going to save the economy, putting tariffs on tubes welded together will not make them weld together better closer to home. Did you know industrial production in the USA increased over last period of time, compared with say the 60's, but jobs associated with it didn't, thats because of automation. I've been to factories making bikes in Taiwan and Europe, I have seen what people do their and in Europe, i'm sure none of you will be queuing up to get a job in a bike factory...
  • 27 5
 You want a communist authoritarian government which has absolutely destroyed their country's environment making cheap disposable crap, has wiped out Tibetan culture, keeps Muslims in camps, and is currently building polluting coal plants all over the world to control the world's factory production. People like you are the ones who've enabled the globalist race to the bottom. I am guessing there are plenty of people here that would be interested in working at Guerrilla Gravity as well.
  • 5 2
 @dr-giggles: good post
  • 31 3
 @dr-giggles: ahem..

You want a capitalist authoritarian government which has absolutely destroyed their country's inhabitants health making cheap disposable crap food, has wiped out native american culture, keeps Mexicans in camps, and is currently building polluting coal plants all over the world to control the world's factory production (and, let me add, fracking homesoil to extract oil). People like you are the ones who've enabled the globalist race to the bottom.

Sorry. I couldn't resist.
  • 9 2
 @Iron-nick: good post
  • 4 1
 @Iron-nick: Ha! Well played.
  • 7 14
flag HurricaneCycles (Jun 21, 2019 at 7:55) (Below Threshold)
 @Iron-nick:

But none of this is true.. the government has nothing to do with it.

Idk where you got the Mexican camps thing from cause that’s not even funny, accurate, or relevant.

If your talking about founding the country with the Native American thing, literally every country on planet earth has their own history with that. It’s not ok, but it’s still not relevant.

The rest is a result of government NOT getting involved. Oil companies created fracking technology to create a new source of oil to bring down fuel prices, purchased the land and utilized their new tools.

Food has been turned into a manufacturing process (which is disgusting on every level) but again was done by individuals operating without government interference. If there wasn’t an open market for cheap food, it would be made.

That’s what people don’t understand about good ole ‘Murcia. 99% of these “ bad things” that happen here are due to individuals doing their own thing, outside of government intervention.
  • 7 5
 @HurricaneCycles: LMFAO must be nice to live in that alternate reality of yours.
  • 4 1
 @matadorCE: Change my mind.
  • 4 3
 @HurricaneCycles: I'm not your servant or your anti-idiot whisperer. There is plenty of info out there, so it's on you whether want to look up cold, hard facts or believe propaganda. You're a big boy, act like one.
  • 2 2
 @matadorCE: I could say the same to you. spew your crap on the internet or actually do your own research and realize i'm right? I don't blame you for your response. Id hide behind my ignorance if i were in your shoes too.
  • 1 3
 @HurricaneCycles: LOL the difference is that the part of my brain that controls logic and most importantly my moral compass actually work, so I'm not about to humor or lift a finger to help intellectually lazy f*cking people. Go ahead and continue to bask in your ignorance (which you no doubt perceive as pure brilliance and clairvoyance) but know that people see through you crystal clear.
  • 1 2
 I assume you are a Hil-shill correct?
  • 2 3
 @matadorCE: Not gonna contest even a single point I made? I made a counter point to everything in @Iron-nick reply and all you have done is make personal attacks. Can you show me these Mexican camps you mentioned? How about showing me where the government underwent fracking exploration? Or could you find a single point EVER in our country's history where our government built a coal plant or maybe some info on even if they did how that would have the slightest control on the worlds manufacturing? Id LOVE to see where our government even so much as made a sandwich, much less this food pandemic your belaboring.

You are very right when you say there is lots information out there. Unfortunately though, its not in your favor.
  • 2 2
 @HurricaneCycles: Yep, i'm not going to be baited into anything since you've clearly made up your mind on these topics. I'm not under any kind of obligation, requirement, or contract to provide you with personal enlightenment nor will I be used for you just to keep typing away feeling superior. So i'm going to do what some of you ex-gfs have done and ghost you.
  • 2 2
 @matadorCE: I've provided you with a fact. And that is that none of these claims are accurate.

I am clearly not the one who has made up my mind.
  • 4 1
 @HurricaneCycles you gotta ignore @matadorCE . He's just a button pusher. Just wants to make people mad & them blame the person who loses their cool & tell them they are the fool. If he had any logic, he'd have stated it. Don't fall victim to reactionary stuff like that.
  • 4 1
 @bizutch: but... but... You're right.
  • 1 0
 @HurricaneCycles: Yeah right, the US government had nothing to do with allowing oil companies to permanently destroy the planet's climate. They have actually given them billions in subsidies to assist them in their evil destruction of our future, and Trump had increased it.

www.americanprogress.org/issues/green/news/2018/02/15/446678/trump-budget-full-giveaways-coal-oil-companies
  • 1 0
 @bizutch: And are you exactly? Nothing better to do than to come to the aid of your fellow imbeciles I see. Ass hole.
  • 1 1
 @Flowcheckers: just imagine if we all voluntarily reduce our quality of life over the coming years in pursuit of helping the environment, and then a meteor strikes!
Think of all those steaks we should have eaten, and all those long haul flights we should have taken!
Most humans live in the here and now. That’s why climate change will not be stopped as long as there are humans on the planet.
  • 1 0
 @Flowcheckers: You're wasting your time. People like this aren't interested in facts or civilized discussions. The only thing they're good at is projecting their own insecurities and inadequacies on others.
  • 2 0
 If you think robots and automation do everything you must be severely mistaken. I'm a manufacturing engineer in the US and work around automation all the time to produce machined components. My dad runs a big company that produces welded components. Both the companies we work for supply the foundation for the economy in our inmediate area. Manufacturing is still the only job position that poses as a 5 time multiplier in jobs outside of itself as in service and support jobs. Manufacturing is what builds communities and supports families. Automation technology is what could make it possible for the US to compete with huge corps like Giant as we can produce smarter and at more steady rate. Still many are right that the corps wont move here due to the focus the tariffs have on raw materials and specific origins. Yet the current situation has allowed american steel mills to be rolling more again and foundaries to be pouring. We currently cant buy enough cutting tools or raw materials from anywhere in the world to meet our production demands. The tariffs are doing something, even if the effects aren't upbringing a permanent solution to the real issue.
  • 1 0
 @groeneveld-mtb: give yourselves a high five. The world needs stuff to be manufactured. Manufacturing pollutes. It doesn’t matter where stuff gets manufactured, the pollution is still going to get pumped out. People need jobs. People need to buy food. Manufacturing gives people a sense of pride. Where is the pride in selling phone contracts, burgers, insurance policies or such tertiary industry products?
It seems there is a choice. Live somewhere clean and have a lot of the local population stuck in meaningless jobs, selling stuff that other people made. Or take back some of the pollution from Asia and have people working in jobs that actually create something meaningful and useful.
Whatever way you dress it up, there are going to be factories somewhere and if you buy the product of those factories you are in a way responsible for the pollution they emit. There is no moral high ground in that.
I totally support the repatriation of manufacture wherever it happens. I would much rather my kids work in a factory than a phone shop when they grow up. As long as the factory had appropriate health and safety procedures in place to protect them. I’m not saying I want them to work in a factory and I hope they don’t have to, but that would be preferable to them working in Starbucks or the Carphone Warehouse.
  • 1 0
 @jaame: You seem like you're trying to make manufacturing pollutants a perfectly acceptable thing. But one big reason people want to stop doing business in China is that their pollution is destroying America's habitats.
Think about that. There is a massive ocean between them and us & yet their toxic clouds of pollution in the air & the seas is so massive, it's making people sick on another continent.
Again, you seem capable of higher thought processes so I'm sure you've spoken to people who have been th China? I've spoken to 4 different friends who each visited for very different reasons & all said the same. That the pollution BLACKS OUT THE SUN!
There are by-products of manufacturing that people who care about the future are going to seek to control, find alternatives...or if the manufacturing is harmful, we can stop making. But if China is making the products, we just have to buy it and not think about the byproducts.

Just like plastics (which even now clothing manufacturers are working on) making their "recycled" clothing hae less waste come off them in the wash so we aren't dumping microscopic bits of plastic into the water with every single wash.

I like to think that we're also pulling money away from countries who want us to trade ourselves into poverty.
  • 1 0
 @bizutch: I’ve lived in Taiwan for over ten years, which is pretty close to China. I’m well aware of the pollution.
What I’m talking about is that people keep buying stuff they that’s made in factories. As you say, America is affected by Chinese pollution. So what’s the upside? At least if those factories were in America, Americans would have meaningful jobs and that’s good for society. Yes, the prices would be a bit higher but that’s it. I think a lot of people have this idea that of the factories are in China then the pollution stays there.
I’m not saying I like pollution. It’s one of the reasons I’m leaving this funny, funny little island for good next month. Pollution goes hand in hand with our lifestyle and culture unfortunately.
What I’m trying to say is, if we must keep buying stuff that’s made in factories, we should have some of those factories in our home countries. We’re going to live on a polluted planet either way and manufacturing holds the fabric of our society together better than retail does.
And yes, western standards and laws would hopefully help to bring pollution down a bit.
  • 1 0
 @jaame: I’m. It gonna 100% disagree with you. But location of manufacturing does in fact play a part in the quantity of pollution. I was lucky enough to be part of a team constructing a very large state of the art manufacturing facility a few years ago. I was a lowly supply chain engineer over process flows but I was in all the meetings discussing the emissions from this plant. There were a huge amount of engineering requirements to reduce our environmental impact. Everything from promoting healthy ecosystems around the plant itself to installing million dollar air purifiers on chemical lines.

Also as a perk of my job, I got to see what our suppliers arrangement and I can assure you, US environmental laws around manufacturing are FAR more stringent than the global average unless said company voluntarily imposes such precautions on themselves. (Which I’m also thankful to say is starting to happen more)
  • 1 0
 @HurricaneCycles: which was implied in my post & better articulated in your post. People don't shlt where they eat here if they can be held accountable.
  • 15 1
 Update the reign please
  • 10 0
 Watch for an announcement late July/August, 29er Reign is coming.
  • 1 0
 @JustBuyIt: wooo! ????
  • 7 1
 is this some hidden message to re-elect trump?
  • 1 2
 @JustBuyIt: 140 inch back 150 front unfortunately
  • 4 6
 Or just dont buy a clown ass giant
  • 6 0
 Pick up anything in front of you. Most of the material stuff you own is made in China. Because it's cheap. Manafactureres will source out the cheapest labor. North Americans will not start buying American goods if they cost 50 percent more . Which is the minimum it will cost if manafactured in America. I'm guessing Americans will buy less with the tarrifs in place. Which does not help the economy.
  • 6 8
 If there is a choice between something made in China and something made in the USA at close to comparable prices, we will always buy USA made items.
  • 15 2
 @Thustlewhumber: but dude, that's kind of the whole point. The government adds an artificial tax on to your bike as a tariff, then uses that money to help out, say, soy bean farmers when China retaliates, and that sweet carbon-fiber ride subsidizes some farmer in flat-land Iowa to get them to support Trump. Politics aside, is that how you want to encourage price parity?
  • 2 0
 It' not as if there's even a substantial quality increase manufacturing outside of Asia as long as you are on top of the QA.
  • 3 0
 @Thustlewhumber: you're not going to get overseas prices because Americans will not work for that cheap. Labor is always the biggest expense thus our continuous move towards automation.
  • 9 2
 @plyawn: @plyawn: That is only half of the story. Products coming from China are cheap because the Chinese government has been using subsidies to promote Chinese production for years. Chinese factories are often incredibly inefficient and Labour is nowhere near as cheap as it used to be. Obviously they now have some serious manufacturing capabilities too but without illegal subsidies (under WTO rules goods are not meant to be subsidised) China would not be anywhere near as competitive as it is. And that is what years of Western governments have allowed to happen.

People don't understand what is coming down the road if China becomes the worlds number 1 economy. They have zero respect for western values or human rights. The average Chinese person doesn't even know what you are talking about if you mention human rights. I would take the USA over China any day.
  • 14 1
 @humoroususername: thumbs up to your comment.
What I heard is that the cost of manufacture in China is now over 90% of what it is in the USA. Of course, there are other factors such as environmental pollution, subsidies etc that still make China very competitive, but certainly a lot of people are starting to open their eyes as to what china’s all about.
If you want to keep giving your money to the same c*nt, he’s sooner or later going to be a big rich c*nt. A big rich c*nt who drives a Mercedes S600 in blue flip flops, while chewing betelnut.
In my opinion, the trade war is about global hegemony. America wants to stay at the top of the tree, China wants to get to the top and the only way to get to the top is by knocking America off.
Now a lot of people are quick to point out that America is no saint. To be honest I have this argument with my dad every couple of months. True, America is no saint, but certainly if you’re from a western progressive democracy as most of us pinkbikers are then the USA leading the way is going to be massively preferable to the CCP leading the way. I mean it’s true that Americans have a habit of speaking too loudly in public and a lot of them are pretty brash at times. Some might say arrogant. I like most of the Americans I meet because even if they do speak too loudly in public, at least they line up and wait their turn, don’t spit on the floor in public, think that if you’ve got a black bmw it’s always your right of way, let their kids shit in the street, or piss in the aisle of international flights (I’m talking about on the floor here). They also get taught that there are two sides to every story, rather than just the one as they have been led to believe in China. Americans also have the freedom to say what they think although admittedly this is shrinking. They can choose their leader, and then say what they like about him. The law at least ostensibly applies to everyone equally. Agreed, this may not happen 100% in practice, but you can bet it’s a lot better in the USA than it is in China. America must be doing something right because it is the number one destination country for immigrants in the world whereas China is not. It’s in pretty much last place of all the countries not currently at war. Actually everyone who can get out of China is doing so. That’s why the locals in Melbourne, Sydney, Brisbane, Vancouver and San Francisco to name a few can’t afford houses in their home cities! Well, not the only reason but certainly a factor.
As with everything it’s not black and white, but I think everyone who talks shit about America is going to have a huge case of you don’t know what you’ve got till it’s gone in 30-50 years’ time if China gets its way. Well, Xi Jinping at least.
  • 1 0
 @Thustlewhumber: thanks, tips...
  • 4 2
 @Thustlewhumber: Typical American or Canadian would buy cheapest PVC garden hose for 15$ everyyear instead of buying on good for 70 which would server for 5 years
  • 2 0
 @milkdrop: I avoid as much mainland Chinese shit as possible and I know a lot of other people doing the same. There is LESS than Zero pride-of-ownership involved with Mainland Chinese junk.
  • 1 0
 @humoroususername: Thank you for injecting a metric shit ton of intelligence to this thread.
  • 4 0
 @endlessblockades: But its made with the finest chinesium available. Nothing made in China, unless it is for themselves, can be trusted to be what it is labeled as. They are the worlds greatest businessman. Go to any Asian country outside of Japan, and it is the ethnic Chinese that have controlled trade there for centuries. Its just historical fact. Look at the Chinese drywall devestation in Florida, and all the dead pets from contaminated dog food. Look at the insane pollution in China, its crazy, Beijing shut down driving in the capital for 1 YEAR before the Olympics and it still was terrible. China gives no f*cks when it comes to business and making money.
  • 2 0
 @Arzeripper: I agree. China controls much of the raw materials in the world. I still exert my choice as to where final crafting is done whenever possible.
  • 9 0
 I am saving all of my tariff money for a Trump Bicycle.
  • 12 0
 The best bicycles, incredible bicycles. Probably the best, most hugely popular bicycle ever.
  • 3 0
 I would never buy that hot garbage if his casinos, airlines, water, magazines, steaks, university, and vodka are any indicator of quality. Which they are.
  • 10 2
 Giant is....giant. Oh look the exit, I'll see myself out.
  • 4 0
 cheers mate
  • 6 0
 'The 25% tariffs have apparently added $100 on average to the price of bicycles made in China and shipped to the US'

Good to know that an average frame costs $400
  • 2 2
 Given that Giant is one of the most prolific frame makers in the world it is most likely they (or Merida) make the Halfrauds specials for the UK market and the ubiquitous 'Walmart bikes' of the US stores, those pieces of trash that retail ~£/$300-600, so yeah, the average frame is probably about $400
  • 6 0
 Odd? For all the doom and gloom purported by Ms. Tu, her stock is up 70% this year.......
  • 3 0
 China loses production (at least until next weeks summit with Xi), and meanwhile there are tons of factories being built in South Korea...and don't for a minute think that expansion won't occur into the North if an agreement around nuclear weapons can be made. It's a political homerun - one president can say he denuclearized a threat and the other can tout that the americans bowed down to him and now is bringing in their money to help his people. If this was pro rasslin', it is the proper booking to make them both APPEAR to be strong.
  • 3 0
 Hmm I guess all of the engineers took the day off and went for a ride. Good thing the economists showed up though I would hate the comment section to get boring. The only real question is where is the Friday fails. Taps foot waiting patiently
  • 5 3
 I'm old enough to remember that all of us in Canada and America had a better life and more durable lasting goods when manufacturing was made in Canada and America...we need to stop relying on the middle east for oil too...Remember the early 70s embargo on oil??? Remember Tianamem suuare....remember Nixon shaking hands with Mao???
  • 1 0
 Remember Bobby Sands!
  • 2 1
 Awesome Canadian patriot right there, Im that old too man. This ALL was done to ruin our countries man, these ignorant kids have no damn clue.
  • 3 0
 More durable and lasting goods. Lololololol. I'm old enough to remember. I remember when cars for example were rusted out pieces of shit by 100k miles, vs today where you haven't even had any major maintenance at 100k. Not to mention those old vehicles were freaking death traps where you risked your life just driving to work.

Lead paint and asbestos were commonly used in family house construction up to 1980. Leaded gasloine was used til 1995! Yeah, that was fantastic, good ol' times. The average lead level in blood of Americans was 3 times higher in the 80s than today, so great made us strong (and a bit dumb it turns out).

Need I remind you about bicycles in the 90s? I will, they sucked. They lasted approximately 1 ride before you broke something else.
  • 1 0
 everything except your pride is much better today
  • 2 0
 It's not a big deal but it's a kind of sad to think that we're not even able to say where is made a frame, and who made it.
I'm wondering if someday thanks the 3rd printing and carbon fiber technology the production won't move closer to the design office. That would speed up the developement of new models and save some transport time & costs.
  • 6 4
 Would all of you idiots mind shutting up? I come here to look at bikes and forget about all the political garbage that’s happening outside. I’m tired of hearing about it. And every time Pinkbike post something like this, all the self proclaimed economic geniuses on this page come out swinging. Can’t we all just be bikers instead of pro-trump/anti-trump activists? Gosh the simplest thing...
  • 10 3
 Clicks on obviously politically charged article and goes to the comments to complain about the politically charged comments... You DO know you arent required to click on the article, or for that matter read the comments, right?
  • 3 1
 @hondabw Keep your head in the sand long enough and the live-organ harvesters will be removing your liver.
  • 2 0
 So just out of curiosity, I read an article a couple years ago that said the KHS group had picked up some more major contracts and was actually bigger than Giant now. Does anyone know if that is true, or if there is actually any way to know for sure either way?
  • 4 0
 This will likely effect other brands that Giant manufacturers for. Trek, Scott to name a couple.

Who makes Norco?
  • 1 0
 Trek does some business in Taiwan and Cambodia already. Norco is a mix but they go through Port Coquitlam, BC first so maybe they don't get hit?
  • 2 0
 Norco is CDN. Trump's tariffs affect trade between America and China, obviously.
  • 6 1
 I hear Mexico is nice
  • 1 0
 Shipping costs (at least to USA and Canada) will also be cheaper, and their Holland plant does most of European orders so not really any additional cost for Eurasia
  • 3 1
 if theynhad their shit together mex would be a powerhouse.
  • 10 5
 Buy a GG instead #merica
  • 3 0
 No doubt! I think I'll not have an opinion on this one and will instead go ride my Lenz with a Cane Creek and MRP suspension combo.
  • 1 0
 25% tariffs / $100 on avg is crazy considering the majority of bikes sold are under $500. Apply these tariffs on electronics/etc., not on something that promotes health and reduces pollution.
  • 2 0
 Opening a plant in Hungary?
That's an indicator, if ever I saw one, there is no Hungarian plan to adopt the Euro any time soon.
  • 13 8
 Trumps a C***
  • 2 0
 I assume this doesn't effect the production of their Advanced carbon frames, which all say made in Taiwan. Are any of their high end mtbs made in China?
  • 2 1
 It depends what you mean by “Made in China”!
For example, all of Giant’s aluminium is smelted and formed in China. Even for the high end frames that have a “Made in Taiwan” sticker.
I only found this out a few months ago, after living in Taiwan for ten years. I almost puked when I heard.
  • 1 0
 Staying out of the politics....

But picked up on the fact that the average cost of a bike shipped to Giant US is $500 (if a $100 increase is 25%). I know they sell a lot of low end stuff, but that's a surprising figure.
  • 1 0
 So they can up and leave Chinese production just like that, but they can't update their seat tube angle or make a long travel 29er till at least half a decade behind the competition? I like giant bikes, but it's annoying...
  • 4 2
 Great News PB......Down with the Communist Chinese and their abusive regime
  • 3 0
 What ever happened to made in Canada or USA
  • 6 0
 Is this a serious question?
  • 2 0
 Do better at shopping - it's easy to find.
  • 1 0
 @MeLikeBike90 Say it with me: costs of production and economies of scale. Tough to be Asia's price per unit which is ultimately reflected on the showroom floor / website.
  • 1 0
 maybe quality was a reason too,, i prefer to pay a bit more, just not getting it from PRC. his system must not be sponsored by me
  • 3 0
 "Stock was up 15.3% after the release of the Giant Reign 29"
  • 1 2
 in reality we need to vote with our wallets and buy from good companies. Whom is in the White House has less to do with it. Tariffs just raise taxes on middle class, The real reason giant makes bikes in china is it makes them tons of money. if we really cared we would not buy the products sold by crappy companies.
  • 1 0
 To expand on that....how many companies actually make their own bikes from raw material to the showroom floor? Giant is far from crappy and happen to be one of, if not the best place in the world to have bikes made.
  • 1 0
 I've always wondered which bike company was the biggest. Is there a set top ten or something?
  • 10 0
 giant is the biggest manufacturer
  • 29 0
 from what I understand, giant is the largest manufacturer of bicycles because they own large factories and actually produce other brand's bikes, not just ones labeled "giant." so it does not mean that "giant" brand bikes are the most popular bike on the planet. someone please correct me if im wrong but thats how I always understood it.

i also understand that the tire manufacturing world is the same?
  • 10 0
 @ccolagio: A more surprising one is Merida, they are right up there but with a much smaller own brand presence.
  • 30 1
 We ranked 10 of the world's biggest bike manufacturers. You won't believe number 7!
  • 11 1
 @browner:
Maybe Sick bikes?
  • 3 1
 @browner: perfect headline for next weeks PB article.
  • 8 1
 @ccolagio: the company that produces the most tires per year is... LEGO! Couldn't help myself.
  • 5 1
 @iamamodel: that's actually a true stat, for those of you who think he's joking
  • 1 0
 @Bob-Agg: very interesting! did not know that
  • 1 0
 @ruckuspg: plus they make pretty much everyone else's bike. It's a weird business; have something unique? better capitalize in a single season as you're getting the competition to build it for you...
  • 1 0
 @ccolagio: they are producing for many other brands too Smile
  • 1 0
 It's Giant and Merida because they make bike for a lot of other brands (Canyon alloy frames are made by Giant I believe). Both are from Taiwan.
  • 2 0
 @Whipperman: yes if you name the ten biggest bike brands in the world, probably seven or eight are actually manufactured by the parent companies of giant or Merida. “Giant” is a brand name, and not the name of the manufacturing company that makes them.
The wilipedia page on it is pretty interesting. Basically the Taiwanese parent company is owned by this Taichung OG called King Liu. He started manufacturing for I think Schwann in the 70s. After a while he saw the market was there and thought f*ck it, we’re doing all the work and they’re making all the money, and so the Giant brand was launched.
  • 1 0
 Isn't KHS bigger than Giant now? I had recently saw something that put the ordering as the KHS group, then Giant, then Merida. It had said that in the last couple years KHS had picked up manufacturing contracts from a couple major companies that had traditionally been built by Giant.
  • 1 0
 @ruckuspg: the most literal name in cycling
  • 5 3
 Must me a giant pain in a dick to move
  • 1 0
 The're moving the production of the bikes back to Taiwan, not the machinery that makes the bikes.
  • 3 2
 Sooooo will Giant put the prices back to where they were before the price increase due to the tariffs ??????
  • 14 6
 Here at giant we've been hard at work finding a way to exploit geopolitical and economic uncertainty with a new products and processes suited to the fast moving world of today's latest markets. You want stability, how about war, and an ebike to go with it. You want a wall, here's a 29er reign for the Texan badlands. Invest now for your chance to benefit from the same bikes sold at more of a profit and all this while production costs have gone up. Praise the electric motor. Connect your app now. People love instagramming their latest ride. Instagram caddies film more and better with the latest ebike tech.
  • 1 2
 @browner: literally every bike company
  • 1 2
 Giant ``expects a quarter of its revenue this year to come from e-bikes``. Well, considering that 95% of rare metals that are used in batteries come from China, I see like a little problem...
  • 1 1
 The outdated rules of origin will allow them to get away with it just fine.
Most of the bikes “Made in Taiwan” are actually fabricated in China from Chinese aluminium. Finishing, painting and assembling allows them to legally claim “Made in Taiwan”.
It is not uncommon for tubes to be formed and welded in China, frames sent to Taiwan for post machining, then sent to Indonesia for painting and assembly. It’s pretty confusing when you’re trying to decide what “Made in...” sticker is most apporopriate.

The iPhone is assembled in China using components from like, 44 countries!
  • 1 0
 "We started moving before he shut his mouth". .....lolol.... I do too, away from the TV, radio, newstand, etc....
  • 2 0
 25% tariffs is high! Trump is such an a$$
  • 1 0
 We’re all just living the supply side dream.
  • 4 7
 100$ Tariff on a bike !
Oh man , I’ve got $9000 to spend on a mtb , I’m not paying an extra $100 !

GT - we’re not paying the extra $100 !
Instead we’ll pack up and leave the country!

What a bunch of 5 year olds
  • 2 1
 Less politics, more bikes please!
  • 1 0
 You are all missing the point ... this is a Giant Move!
  • 1 0
 Quite the trek from China to Taiwan.
  • 1 0
 @Newgy: Will be interesting to see if they can hold Pole position as a manufacturer during this Intense move.
  • 1 0
 i dont konw, i just ride¡¡¡
  • 1 0
 Except for Trump MAGA hats!
  • 6 6
 Obviously the pinkbike crew is anti trump , , we cant all be winners, somebody has to suck ass , pb seems to enjoy it
  • 3 4
 Amirite or what. They are hugely liberal which is sad sad sad.
  • 5 0
 Nah, we ain't anti-Trump. Canadians just believe in thinking for themselves. We're good judges of character and aren't easily swayed by speeches of that comprise of not much but hot air. We call it like we see it, and we see all kinds.
  • 2 0
 @CaptainSnappy: politics trump(pun) personalities....
congress are the people that really make law.
ah well, both sides are spending outta control so good luck to ur kids...
  • 1 0
 Haitman is right; just get your bike and GO RIDE!!
  • 2 2
 good, get usa out of China-our major enemy stealing from us left and right.
  • 1 2
 Interesting ,how so many canadians are bent out of shape about American politics, never listen to anyone that thinks curling is a male sport!
  • 1 0
 Cycling websites, there are always some idiots discussing politics
  • 6 6
 Yeh this was a cheap shot by pb
  • 3 1
 Doin' it for the comment shitstorm.
  • 2 2
 @dkidd: Or they opened up BRAIN on a slow news day...
  • 2 2
 Make Bicycles Great Again!
  • 1 1
 Crumbs I don't think Canadians and Americans like each other.
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