RV dealers pledge to scrap orders from U.S. manufacturers if tariffs proceed and what that means to You

In a shocking turn of events, RV dealers across North America are threatening to cancel their orders from U.S. manufacturers if the recently announced tariffs on steel and aluminum imports go into effect. This drastic measure comes in response to the Trump administration’s decision to impose a 25% tariff on all steel and aluminum imports, including those from Canada and Mexico, starting March 12, 2025.

The RV industry, a significant contributor to the U.S. economy generating $140 billion annually, now faces a potential crisis. With Canada being the largest international buyer of U.S.-made RVs, the impact of these tariffs could be devastating. In 2024 alone, the U.S. RV industry shipped 29,489 units to Canada, valued at $1.735 billion at retail.

What This Means for You

Higher Prices

If you’re in the market for a new RV, prepare for a significant price hike. The proposed tariffs are expected to increase the cost of materials used in RV manufacturing, which will inevitably be passed on to consumers. Some estimates suggest that the cost of a new RV could rise by thousands of dollars.

Limited Choices

With dealers threatening to cancel orders, you may find fewer options available when shopping for a new RV. This reduced inventory could lead to less competition and further price increases.

Potential Job Losses

The RV industry is a major employer in the United States. If dealers follow through on their threats, it could lead to reduced production and potential job losses in manufacturing hubs.

Supply Chain Disruptions

Mexico plays a crucial role in the RV industry’s supply chain. Tariffs could disrupt this relationship, leading to shortages of certain components and further increasing costs.

The Bigger Picture

This situation highlights the complex nature of international trade and its impact on consumers. While the tariffs are intended to protect U.S. jobs and industries, they may have unintended consequences that ripple through the economy.

The RV Industry Association has expressed concerns about potential retaliation from Canada and Mexico, which could further harm U.S. RV exports. This trade dispute could potentially slow down the industry’s recovery efforts following years of economic uncertainty.

As consumers, it’s crucial to stay informed about these developments. If you’re planning to purchase an RV in the near future, you may want to consider acting sooner rather than later to avoid potential price increases and limited inventory.

Remember, the situation is still evolving, and there’s always the possibility of last-minute changes or negotiations. Keep an eye on news from the RV industry and government announcements regarding trade policies to make the best decision for your RV purchase.