Boat Dealers NAICS 441222

Aug 28, 2025 - Expanded Steel Tariffs to Impact Marine Products

• According to a Boating Industry report, some marine products could be subject to new tariffs on steel and aluminum derivative products by the Trump administration. The 407 product categories added to the list, effective August 18, are subject to a 50% tariff. The National Marine Manufacturers Association (NMMA) weighed in on the matter: “Several marine products could now be subject to these new tariff rates, and NMMA encourages members to work with [their] team[s] and suppliers to identify the corresponding HTS (harmonized tariff schedule) codes with imported components, parts or products.” The expanded tariff involves determining what percentage of an item is made with the targeted materials, which increases the compliance burden. The tariffs increase challenges for boat dealers in future planning, managing cash flow, and maintaining stable pricing, which may affect product affordability. The Trump administration claims the tariffs will support the revitalization of the American steel and aluminum industries.
• The Retail Trade Industry is one of 11 industries reporting growth in July’s Services ISM Report on Business. Executives in the Retail Trade industry reported an increase in business activity, prices paid for materials and services, employment, and inventories, along with faster supply deliveries and a decrease in order backlogs in July. Additional industries reporting growth during the period were Transportation & Warehousing; Wholesale Trade; Finance & Insurance; Other Services; Management of Companies & Support Services; Public Administration; Real Estate, Rental & Leasing; Information; Utilities; and Health Care & Social Assistance. Seven industries reporting contraction during the period were Accommodation & Food Services; Construction; Mining; Educational Services; Agriculture, Forestry, Fishing & Hunting; Arts, Entertainment & Recreation; and Professional, Scientific & Technical Services. Overall, economic activity in the services sector grew in July for the second consecutive month, with the Services PMI registering 50.1%.

• New powerboat retail unit sales declined by 10.2% year to date through May 2025, compared to the same period a year ago, amid ongoing economic pressures, according to the Monthly Recreational Boating Industry Data Summary from the National Marine Manufacturers Association (NMMA). Sales fell in several categories during the period year over year, including new pontoons (-15.7%), jet boats (-20%), and wake sport boats (-14%). Segments with smaller declines in sales included freshwater fishing boats (-2.9%) and yachts (-2.6%).
• Indicators measuring the collective mood of US consumers show mixed signals, with consumer confidence levels slightly up and consumer sentiment falling. Consumer confidence levels, an indicator of discretionary expenditures, improved in July 2025, month over month, rising by 2 points, according to the Consumer Confidence Index. Consumer confidence levels have stabilized since May but remain lower than last year’s, according to The Conference Board, which publishes the monthly index. July’s gain can be attributed to consumers over 35 years old and shared across all income groups, except the lowest income group earning below $15K. In addition, the consumer sentiment index from the University of Michigan dropped in August 2025 for the first time in four months. The index fell to 58.6 in preliminary August data from 61.7 in July. Year-ahead inflation expectation results were higher monthly, as consumers convey lingering anxiety about prices amid tariff impacts. The index serves as a predictor of consumer spending as it indicates consumers’ perception of their financial prospects and the broader economy.