|
|
Thread Tools | Display Modes |
#1
|
|||
|
|||
Cervelo et al. not to be protected by Canada
On Monday, May 29, 2006 Finance Minister Jim Flaherty and International
Trade Minister David Emerson announced that Canada will not impose special safeguard duties on imports of bicycles and barbeques, despite the recommendations of the Canadian International Trade Tribunal (CITT). |
Ads |
#2
|
|||
|
|||
Cervelo et al. not to be protected by Canada
In article ,
Sandy wrote: On Monday, May 29, 2006 Finance Minister Jim Flaherty and International Trade Minister David Emerson announced that Canada will not impose special safeguard duties on imports of bicycles and barbeques, despite the recommendations of the Canadian International Trade Tribunal (CITT). If this is the deal I'm thinking of, it never really would have affected Cervelo except peripherally. A huge tariff was proposed for imported bikes cheaper than a certain price ($200 or $300, I think). This was favoured by those wonderful folks at ProCycle, makers of such fine brands as Rocky Mountain, CCM, Mikado, and many more. Numerous other bike companies and most bike shops opposed it as being likely to ruin the pricing on the entry level of bike-shop bikes. Also, it was ridiculous. Long story short, it's good this one has been thrown over. -- Ryan Cousineau http://www.wiredcola.com/ "I don't want kids who are thinking about going into mathematics to think that they have to take drugs to succeed." -Paul Erdos |
#3
|
|||
|
|||
Cervelo et al. not to be protected by Canada
On Fri, 04 Aug 2006 00:58:03 +0200, Sandy wrote:
On Monday, May 29, 2006 Finance Minister Jim Flaherty and International Trade Minister David Emerson announced that Canada will not impose special safeguard duties on imports of bicycles and barbeques, despite the recommendations of the Canadian International Trade Tribunal (CITT). Actually, it was not Cervelo that suggested it. It was Procycle as one of the owners happened to be the brother of one of the ministers of parliament. Clearly, a conflict of interest in the making!! It was SO OBVIOUS, even a 3 year old can spell it -- COI. David. |
#4
|
|||
|
|||
Cervelo et al. not to be protected by Canada
Sandy wrote: On Monday, May 29, 2006 Finance Minister Jim Flaherty and International Trade Minister David Emerson announced that Canada will not impose special safeguard duties on imports of bicycles and barbeques, despite the recommendations of the Canadian International Trade Tribunal (CITT). I would be surprised if Cervelo actually cared, Procycle cared. At one point Canada had a thriving bike industry, a number of good names making bikes in most price ranges. Then in the mid ninties the tiawanese (and some american companies who had their bikes built in Both Chinas) started dumping low and mid range frames in Canada .. an anti dumping duty was imposed.. it was supposed to protect canadian firms but surprisingly or not, Procycle was the only real beneficiary. Rocky Mountain, Tech, BRC and Maxxam pretty much dissapeared within a year or two Procycle built a lock on the big box store market and anything a bit better got more expensive. Retailers saw a huge change in the market place. Prior to the Duty the majority of "bike shop" sales (in any area I'm familiar with were for bikes priced in the 349 to 499 range, there the consumer could get a very serious jump in Quality from the big box store brands that were sold at 249 -299.. Clean Welds, decent hubs, rims,brakes and gear systems all started to show up at this point.. for those that remember Shimano 200GS started showing up at 299..300LX at 349 In short it was one of the things caused me to sell my store. Bad and Stupid set of rules poorly applied.. (actually the way they were applied was the worst part of the mess they made.) You should be glad they are gone. |
#5
|
|||
|
|||
Cervelo et al. not to be protected by Canada
In article ,
David wrote: On Fri, 04 Aug 2006 00:58:03 +0200, Sandy wrote: On Monday, May 29, 2006 Finance Minister Jim Flaherty and International Trade Minister David Emerson announced that Canada will not impose special safeguard duties on imports of bicycles and barbeques, despite the recommendations of the Canadian International Trade Tribunal (CITT). Actually, it was not Cervelo that suggested it. It was Procycle as one of the owners happened to be the brother of one of the ministers of parliament. Clearly, a conflict of interest in the making!! It was SO OBVIOUS, even a 3 year old can spell it -- COI. David. Which minister was that? I'm philosophically opposed to most trade duties, and the concept of "safeguard" duties (safeguarding what? The public from lower prices? Zombie jobs that aren't really productive in an already labour-hungry economy?) is a bit appalling. Cervelo probably doesn't have an opinion, since they are both very high-end and very export-oriented. If anything, it probably benefits a company like Cervelo to have as many cheap starter bikes out there as possible. Most of the riders of such things won't turn into Cervelo customers, but any increase in the popularity of bike culture can't hurt. Procycle is a wide-ranging bike maker. They sell everything from department-store stuff to Rocky Mountain bicycles, which is to say high-end mountain bikes (with a reasonably popular road line as well). The bike shops, those unsung suppliers of jobs, were the most annoyed, since this threatened to send their low-end bike sales all to heck. Those bikes probably aren't especially high-margin sales, but they're probably very useful for a few other purposes, including creating foot traffic (which then gets convinced to spend a few dollars more on an even nicer bike) and customers for all the other things in the shop (helmets, accessories, service, nicer bikes in the future). The worst part is that this would have hit some domestic bike companies like Norco: they do much of their assembly in Canada, all of their design work is in Canada, and they're a huge distributor of both house-branded and other-label bike stuff (including whole other bike brands, like Haro for example). Norco probably hasn't built a frame in Canada in years (aside from prototypes and possibly some custom work; almost certainly only for their sponsored riders), but they keep at least one assembly factory (including wheelbuilding machines), plus a substantial design, distribution, marketing, and administrative staff employed, and some of those jobs must depend on the many low-end bikes that Norco sells to the bike-shop market. To be sure, Norco also has some high-end product: they're another major player in the freeride/dirt-jump/hucking markets here, and they seem to have a huge BMX lineup. -- Ryan Cousineau http://www.wiredcola.com/ "I don't want kids who are thinking about going into mathematics to think that they have to take drugs to succeed." -Paul Erdos |
Thread Tools | |
Display Modes | |
|
|
Similar Threads | ||||
Thread | Thread Starter | Forum | Replies | Last Post |
Page, Liberty and Cervelo | Jason Waddell | Racing | 27 | January 10th 06 10:23 PM |
Cervelo Soloist help? | psycholist | Techniques | 1 | June 7th 05 07:03 AM |
Leaving for solo Cross Canada ride soon! (need places to crash) | Mike Beauchamp | General | 7 | May 25th 05 04:47 PM |
FS: 61cm Cervelo P2K frame, fork and King Headset | [email protected] | Marketplace | 0 | April 1st 05 08:34 PM |
Cycling on OLN Canada | [email protected] | Racing | 2 | March 2nd 05 03:40 PM |