Bike riders will be forced to pay more for e-bikes (power assisted pedal bicycles) after legal advice has led the Australian bicycle industry to abandon its appeal against the application of a 5% government imposed import tariff on e-bikes coming into Australia.
For almost 10 years, e-bikes were exempt from import tariffs, but in Jan 2018, this exemption was removed, causing an increase in the price of e-bikes to consumers.
Mr Peter Bourke, General Manager of Bicycle Industries Australia said, ‘while countries around the world, are promoting the use of e-bikes to reduce congestion, improve air quality and promote improved health, it is disappointing that our government is putting further barriers to getting people on bikes.
‘A grandmother using her e-bike to ride to lunch, a dad taking his children to school in a cargo e-bike, a businesswoman who takes her folding e-bike on a bus, or a person with a disability getting an e-bike through the NDIS, must now pay more because of this tariff.’
‘We are aware the introduction of the tariff has already led to some small Australian businesses making the decision to stop importing e-bikes, costing Australian jobs. It is frustrating that this is another action by the government that negatively impacts on the growth of the bicycle industry across Australia’.
With e-bikes making up about 2% of bicycle sales per year in Australia, and bikes coming from China exempt, the tariff will provide minimal revenue to the government, while increasing the amount paid by government bodies such as Australia Post to transition their fleet of delivery motorbikes to e-bikes.
In the end, the people that will suffer are riders wanting to buy an e-bike.
The e-bike tariff exemption was revoked on the 8th January 2018
E-bikes from countries which have a Free Trade Agreement with Australia (such as China) are exempt from the tariff.
The import tariff is applied to the landed price of the bicycle
Approximately 45,000 e-bikes have been imported since 8th January 2018
Summary of actions taken by BIA