🚨 Tariff Recovery Fee – What’s Going On (Updated May 29, 2025)

The last couple months have been a ride.

In early April, we got slammed with new tariffs. And not just a little bump—we’re talking 45% to 190%+ on bikes and components from China, with Vietnam, Taiwan, and Cambodia set to jump to 34–49% this July. That’s on top of the regular duties we already pay. For a business like ours—one that works with over 20 suppliers around the globe just to build a single bike—this was, frankly, a gut punch.

Rather than raise prices across the board, we added an 8% Tariff Recovery Fee to help cover the cost. We hated doing it, but it was the most transparent and fair path we could find.

Then, out of nowhere—bam—a federal court struck down those tariffs. The ruling said the President lacked the authority to impose them under emergency powers. Customs was told to stop collecting within 10 days. It felt like a breath of fresh air.

But don’t exhale just yet.

Just one day later, a federal appeals court temporarily paused that ruling, granting the Trump administration’s request while it seeks “emergency relief” from the Supreme Court. The administration is also exploring other ways to reimpose the tariffs using older trade laws—from 1974, even 1930. This thing isn’t over. Not even close.
(Source: CNBC, May 29, 2025)

So here’s where we stand:

✅ The 8% Tariff Recovery Fee is still active—for now.
We’re watching this closely. If the tariffs are truly dead, we’ll drop the fee. We want to. But with all the legal and political maneuvering, we can’t afford to pull it prematurely and leave ourselves (and our staff, and our factory partners) high and dry.

🧭 What this means for you:

  • Inventory may stay tight – We’re still seeing disruption at the port and factory level. Restocks are slower than usual.

  • Prices are in flux – We’re holding the line as best we can, but we’re preparing for anything.

  • Buying now is safe – If things get worse, we don’t want you caught off guard.

If you’ve read this far: thank you. Seriously.

We know none of this is fun. It’s not why you came to our site. You came for bikes, adventures, maybe a Klunker or a titanium gravel dream machine. And we’re doing everything in our power to keep bringing that to you without compromise.

Thanks for sticking with us through the chaos.
—The State Bicycle Co. Team

📬 Got questions? Reach us any time at info@statebicycle.com

❓FAQs

What is the fee?
An 8% charge on merchandise to offset rising import costs due to tariffs.

Why not raise prices instead?
Transparency. We want you to see exactly what’s driving costs—and remove the fee once conditions improve.

Will this fee go away?
Yes—hopefully. Once tariffs ease or policy becomes clearer, we’ll reduce or eliminate it.

Is this common?
Yes. Most brands are already charging 10% or more.

Why do I have to pay the fee on a pre-order or older item?
We use cost averaging across all inventory. Even if your bike came in months ago, we’ve been absorbing higher tariffs on more recent containers—some taxed as high as 50.5% in April 2025. This keeps prices stable across the catalog. It doesn't make sense for us to charge regular MSRP for one bike, and 50% more for the same bike because it came on a different ship.

Aren’t some tariffs gone now?
One major set of tariffs was struck down in court—but that ruling is on hold. The administration has appealed and is actively working to reinstate tariffs using other laws. Plus, the Section 301 tariffs (25%) on bikes from China are still fully in effect.

📚 Works Cited (We can't make this stuff up!)