Tariff Quote Watch: GoPro on Track to Shutter China Capacity, Open in Mexico — Panjiva


Tariff Quote Watch: GoPro on Track to Shutter China Capacity, Open in Mexico

China 1793 Info Tech - Tech Hardware 387 Mexico 516 Tariff Quote Watch 100 Tariffs 1205 U.S. 3362

Sports camera maker GoPro is on track to shift much of its production from China to Mexico by 2H 2019, CFO Brian McGee has stated, following a “decision to move most of our U.S.-bound production to Mexico supports our goal to insulate us against possible tariffs as well as recognize some cost savings and efficiencies“, according to S&P Global Market Intelligence.

The move has become increasingly important given the decision by the Trump administration to increase tariffs on a wide-range of Chinese exports to 25% from 10%, as outlined in Panjiva’s research of May 9, as well as threaten to impose duties on all other imports from China.

U.S. imports of all cameras from China, which accounted for 65.3% of the total 84.1 million shipped in 2018 Panjiva data shows, fell 1.7% year over year in March. That reversed a 29.7% surge in 4Q and reflects the fact that most cameras were only subject to 10% duties, which will now rise to 25%. There’s already evidence of switching with imports from Mexico having surged 57.7% year over year in 1Q 2019 after a 27.3% improvement in 4Q.


Chart segments U.S. imports of cameras from selected origins.   Source: Panjiva

GoPro’s seaborne imports of cameras – which come wholly from China – lagged the average with U.S. seaborne shipments having fallen by 6.1% year over year in 1Q while also being unchanged in April. Total imports of GoPro merchandise only fell 2.6% year over year in 1Q though as a result of a surge in shipments of accessories, which has continued into April.


Chart segments U.S. seaborne imports associated with GoPro by product on a monthly and three-month average basis.  Source: Panjiva

PANJIVA RESEARCH is a service provided by Panjiva, Inc. ("Panjiva") to relevant global subscribers, and are deemed to be Panjiva "Services" subject to the Panjiva Terms & Conditions of Use. Information contained within or made available via the Services is for informational purposes only and nothing in the Services shall constitute or be construed as an offering of financial instruments, or as investment advice or recommendations by Panjiva, Inc. or its affiliates of an investment strategy or whether to "buy", "sell" or "hold" an investment. The Services may include views and commentary about customers of Panjiva. No aspect of the Services is based on consideration of your individual circumstances, and you should determine on your own whether you agree with the information contained within or made available via the Services. Employees involved in Panjiva Research may hold positions in securities analyzed or discussed in the Services. Panjiva does not make any express or implied warranties, representations, endorsements or conditions with respect to the Services and the information contained within or made available via the Services, including without limitation, warranties as to the usefulness, completeness, accuracy, currentness, reliability or sufficiency of any information (including, without limitation, conclusions, statements, opinions, estimates, forecasts or projections of any kind) and expressly disclaims any implied warranties. Neither this disclaimer nor any of its contents may be forwarded or redistributed without the prior written consent of Panjiva. © 2019 Panjiva, Inc. All Rights Reserved.