Trump´s, let´s say, “style” of policy-making makes headlines, almost by the hour. Apart from the actual wars, one of the biggest controversies result from his tariffs. Partially ruled unconstitutional by now, many are still in effect and – even worse – the fear of new shenanigans are a very real reason for business stuttering and even halted completely. This article deals with a specific example for the tariff-chaos for the sailing equipment business.
You know it, I usually try to avoid politics here, as sailing, like any other sport, should be a zone where people of all beliefs and opinions meet, compete, share their passion of sailing and have a good time. But this story is so weird and newsworthy – although a bit dated by now – that I cannot but publish it. I am a big USA-fan, many know it, and I try to stay neutral on their election-outcomes. Much more so because the political stuff happening here in Germany aren´t making me proud either. Anyway, here´s what happened last week: Like so often, I received another parcel by DHL.
We seldom think about this everyday-issue. Parcel. A package. I ordered new short crew wear trousers, a seller put it into a cardboard box and shipped it. Here we are: My brand new trousers! But if you think a bit more about what it actually takes to have it delivered to my home, how many steps actually have to be fulfilled so that I can check whether it´s size do really fit my body (it did, of course), is a completely different thing. Let´s rewind a few weeks more …
Expansion into new markets? It´s complicated …
You remember my article about a visit to Yachting HQ in Northern Germany where I received a full briefing on bottom paints for sailboats? The parent company Yachticon is not only producer for a wide range of cleaning and maintenance products and wholesaler of Seajet antifouling paints for Germany, they do also own and run a sailing clothing company. Even though “craziness” is in their brand´s name, what General Manager Sales, Andreas Tegeler, told me about their latest struggle with the US customs was mind-boggling.
The starting line is as following: Crazy 4 Sailing is a manufacturer of technical sailing wear, from heavy weather oilskin and waterproof sailing gear to shoes and all sorts of footwear and of course a large variety of onboard-clothes and crew wear. The whole palette of garments, from gloves to boots, from hats to sweaters. When Andreas showed the colorful range of products, I was captivated: They have literally everything a sailor would need both underway and on the shores. What´s so unique about Crazy 4 Sailing? Basically two things, and they are really proud about them!
The first thing is that according to Andreas, Crazy 4 Sailing is the first, one and only serious maker for sailing gear that is really taking care of all sorts of people. Short, thin, wide and thick: Especially clothes for female sailors are offered in many special sizes. And not just that, they offer clothing cut to fit people with big bellies, with long arms or shorter legs. “Normal” people, as Andreas calls them: Not all people fit the usual sizes, not all are blessed with model-like slight builds. Why do I tell you this whole backstory? Because it matters shortly.
The craziness of Trumps tariffs
Back to my brand new crew wear trousers, having just arrived in my home. As I check the label stitched to the cloth´s inside, I can read “Made in Vietnam”. Asking Grok about the percentage of global garment producers worldwide, the AI lists China, Bangladesh, Vietnam in third, followed by India and Turkey. The first European country would be Italy and Portugal, listed 9th and 10th. The United States has no share in these statistics. Andreas told me, that during the height of Trump´s tariff rampage, this was a real problem.
Crazy 4 Sailing has one importer in the United States, Mauripro. Of course they do rely on regular shipments of clothes from Crazy 4 Sailing. Now imagine a container arriving with those products, just as my little cardboard box, but filled up to the brim with hundreds of pieces, if not thousands. One of the big problems was this: A product made in Vietnam, then tariffed with over 20 %, now down to “only” 10 to 16 %, but shipped from Germany? This caused a bit of confusion with the customs office: Which tariff to apply? German sender, German company, German origin – but made in Vietnam?
It became even more complicated, when such a container would be filled with different products: Crazy 4 Sailing does not only manufacture in Vietnam. “Worst” would be a product from China then, hit hardest by Trump´s tariffs. Now the customs officers would not know how to tax the shipment: Again, hundreds of individual items. The chaos created in the customs zones culminated in overloaded officers who at some point had no idea how to calculate the tariffs anymore! Apart from shipments being held up in customs for much longer – hence products not in the shops to being sold – this caused a very unstable situation.
Because the worst was the uncertainty. At some point, Andreas tells me, tariffs changed by the day. One went to bed thinking of a particular number, when getting up again the next day, it was already overturned by a new figure! This was leading to orders being withheld or canceled completely. He couldn´t blame the partners, how could he? But you cannot simply calculate your business anymore: Ordered today at a certain price (including tax and tariff), could turn out to be unsalable when arriving. Because the tariff is applicable to the figure when the product arrives at the border, not when its ordered. You can imagine how bad this is for the whole chain.
A China-free economy? Impossible!
Andreas says, he has every sympathy for any politician who cares for his fellow countrymen and tries to make decisions protecting their needs. But what has happened and in some way is still happening is just crazy. And not in the good way. Suppliers cannot sell their production because dealerships in the U.S. are uncertain if they can sell the products after arrival. Worst part: The customers won´t be able to choose freely from the whole range of products this way. As Andreas puts it: “There is no chance to have a fully self-contained economy in a completely globalized world!” Be it clothes or – another big chunk of Yachticon´s products – all the bigger and smaller “cheap” stuff from brooms to sponges, from gloves to wipes. There is no chance.
As for Crazy 4 Sailing and Yachticon´s US-partners, they found a way, largely. But these had been hard times and surely something you wouldn´t want to experience as General Manager on a daily basis. Trump´s major sweeping global “emergency tariffs” had been ruled illegal by the US Supreme Court in February already, together with his Section 122 10 % global tariffs, but Section 232 tariffs and most of the China-aimed Section 301 tariffs remain valid up to this day. Valid or not, what also remains is the uncertainty, which may be the worst part of it.
The same way I did, Crazy 4 Sailing products are and always have been available to US-customers via their official online-shop. But, as Andreas says, the idea behind it was initially to have them in shops in your local marina or yacht club. To be able to touch, feel and try on the stuff. Which is important, because only then people who are not blessed with a model-statue can really appreciate the plus-, tall- and ladies-sizes first hand. “Let´s be patient and try our best”, Andreas concludes.
Navigating through treacherous waters
And so I am happily jumping into my brand new short trousers and let them taking me out for a first walk. It´s a beautiful warm summer´s day and I enjoy the fresh air around my legs. The shorts fit perfectly well and there´s a nice feeling the garment produces on my skin. I am sure, this one – along with other I will surely buy from this brand – will cut a good figure when I will eventually set out for new sailing adventures when my boat is finished.
Other than that, thinking about what level of turmoil, perplexity, confusion and uncertainty this little label “Made in Vietnam” can cause, is rather harebrained. Let´s hope that the world will return to a more stable, more serious and reliable state, better soon than later! I found that this little excursion into the absurdity and craziness of some of the current administration´s legal proceedings showed how even our beloved, little, dreamy boating sector has seriously been affected.
I thank Andreas for his openness and determination: Usually, decision makers don´t talk politics, be it out of fear for repercussions or simply for staying in cover. In this, our beloved sport and most passionate leisure time amusement is by far not apolitical, which is a fact that I regret. But why should boating be disconnected from the real world? You simply cannot cast off the lines for good, this is, I fear, just wishful thinking. Anyway, stay passionate, remain focused – and stay crazy for sailing, my friends!
You may also find interesting:
How Trump´s tariffs impact the European boating industry
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