Because of the import tariffs, FCS has hit pause on selling in the U.S. until it can find a more sustainable business model in the current climate. Photo: FCS
If you visit the FCS website today, you will find this notice: “We’re taking a short break from sales in the USA while we carefully review the impact of the new import tariffs,” it says. “We truly appreciate your patience and support during this time.”
Thanks to President Trump, tariffs are a huge issue in the global market today. They are not paid by other countries. Tariffs are a tax charged to importers on goods that are brought in from outside the U.S. The goal, of course is to encourage American manufacturing.
But in the meantime, tariffs make it difficult on businesses that rely on importing goods (not to mention consumers, who get the costs of those tariffs passed down to them). Businesses like Global Surf Industries, which recently had to tack on a minimum of 25 percent to adjust for tariffs. And business like FCS, which has decided to halt commerce in the U.S. all together on its products that include fins, leashes, and surf bags, among other items. An email sent to FCS dealers broke things down.
“FCS has temporarily paused sales in the United States in response to recently imposed tariffs that have significantly impacted the cost of imported goods,” the email began. “This pause affects both wholesale and direct-to-consumer sales, though FCS fin plugs will continue to be available for board manufacturers. While this decision is specific to the U.S. market, FCS remains a strong global brand and is actively exploring solutions to resume U.S. sales sustainably, including supply chain restructuring and expanded international manufacturing.”
This is the notice you’ll find on the FCS website regarding its sales pause in the United States. Image: FCS
The email goes on to explain that the tariffs are making it nearly impossible to keep its prices fair and products available. Since FCS imports many key materials for its goods, the company would either have to absorb the cost without raising prices or pass those costs along to the buyer. Neither of those options work for FCS, so they’ve chosen to press pause.
“We fully intend to resume U.S. sales once we identify stable and sustainable paths forward,” the email read. “Options under active review include restructuring our supply chain, establishing alternative manufacturing partners, negotiating with suppliers, and raising our prices to mitigate the new tariff impact on our business.”
Long-term, FCS is considering boosting the “geographical diversification with manufacturing plans well established in Switzerland, Australia, New Zealand and a range of Asian countries,” while ensuring they “have the highest quality products at the best possible prices.”
If you’re outside of the U.S., you don’t need to fret. The pause only affects operations and product availability within the United States. FCS isn’t exactly reliant on the United States, and it will likely be just fine as it weathers this storm.
“FCS is a strong and stable global business,” the email ended. “The temporary pause applied to our U.S. business is a response to a business problem particular to the U.S. only. Most of our overall global business remains unaffected, and we are confident that we will be able to press forward in the U.S. as well. “
