Tariffs contribute to rising price of boating in Michigan just as summer arrives

Tariff-induced higher prices on materials for boats, coupled with soaring gas prices threaten upcoming boating season in Great Lakes state 

LANSING, Mich. — The boating industry is facing headwinds as tariffs are spiking the costs of raw materials as well as higher fuel prices, factors that could force many to scale back their time on the water this summer. 

That’s bad news for many in the Great Lakes state, particularly those waterside communities that depend on boaters to boost their bottom lines. Michigan is home to more than 1 million registered boats, making it second in the nation by some estimates. 

The boating industry needs “predictable and balanced trade policy” to thrive, Frank Hugelmeyer, president and CEO of the National Marine Manufacturers Association, told boatingindustry.com. 

Michigan’s $11.7 billion boating industry is taking a hit partly because tariffs add to costs for raw materials like steel and aluminum, which hurts small and mid-sized boat makers, Hugelmeyer said. Meanwhile, the high cost of fuel due to the ongoing war with Iran is hurting the boating industry across the country, where it accounts for more than 812,000 jobs and $230 billion a year in spending, according to Bloomberg. 

In waterside communities across Michigan, restaurants, marinas, bait stores and downtown shopping districts depend on the boaters who visit to get out on the water. When that steady stream of customers wanes, entire communities could feel the shock, Mariano Torras, a professor of economics at Adelphi University on New York’s Long Island, told Bloomberg. 

“Boating is one of the wonderful ways to explore the beauty of Michigan and local small businesses, including restaurants, hotels and shops, depend on a healthy boating industry,” said John Sellek, a spokesman for the Michigan Smart Trade Alliance. “We need smart and consistent trade policies that help ensure businesses across our economy can thrive, including boating manufacturers and everyday Michiganders who want to spend time on the water.” 

“Many small businesses in beautiful places across Michigan depend on a healthy summer boating season to help cover their year-round costs,” Mark Fisk, a spokesman for MISTA. “Helping keep Michigan’s proud boating industry afloat is just one part of our diverse economy that needs Congress to enact stable and smart trade policies to thrive.”