Aventon Increasing Prices on Ebikes
August 11, 2021
One of the cornerstones of Aventon’s mission is to provide customers with an affordable electric bike without having to sacrifice quality. We’ve built this reputation by allowing our ebikes to speak for themselves. Unfortunately, due to the state of the industry, we will increase the prices of our ebikes on September 1st in order to continue to deliver on this promise.
These are the two reasons why:
1. Ebike Tariff Overview & Timeline
In 2018, a 25% tariff was imposed on all electric bikes manufactured in China. Seeing as 98% of all electric bikes are made in China, means that the overwhelming majority of US ebike brands would be affected by the tariff including Aventon.
Fortunately, in 2020, US customs ruled that ebikes fall in a category that has been granted a tariff exclusion back in September of 2019. Therefore, ebike brands in the US that imported their ebikes from China no longer had to pay the tariff.
On January 1st, 2021, the tariff exclusion officially expired without an extension, reinstating the 25% tariff on all electric bikes.
Since then, we’ve been taking on an industry-wide 25% tariff on all of our electric bikes. These tariffs led to the price increase in efforts to continue serving our customers with unmatching quality. We’ve been trying to hold off for as long as we could and only came to this decision after we’ve exhausted all other options.
2. Rising Freight Costs
The cost of shipping containers across oceans has skyrocketed to new highs. Average freight costs have quadrupled from just one year ago. The interrupted supply chain has caused the shipping rates to drive upwards and trends suggest that it will not get any better for the rest of the year.
With the popularity of electric bikes continuing to grow, people are understanding the benefits and impact it is having on both people's lives and the environment. Local and state governments are taking notice and starting to push policies promoting the adoption of electric vehicles including bicycles that can potentially make ebikes more accessible to more people.
One such legislation is the “EBIKE” Act introduced earlier this year that would give a refundable tax credit with the purchase of a new ebike! This along with other more local policies can help better the industry.
We value and appreciate your business, and are thankful for all your continued support as we navigate this very exciting and innovative category together with you. We look forward to all the adventures that Aventon will help contribute to in the months and years to come, please don’t forget to share those on social media and tag us at #MyAventon.