The tariffs target Trump's second favorite wheel set, golf cart

During the first 100 days of his second mandate and the ups and downs in the level of pricing threats, President Trump, a passionate golfer, was often on the course and photographed in a golf cart, generally a cart made by the car of the club of domestic companies or Ez-go. It may not be “the beast” or “Cadillac One”, as presidential limousine calls it, but it is a favorite mode of transport for Trump, and it is not immune to the trade war.

Earlier this week, the Trump administration said it would cut pricing exemptions for manufacturers to manufacture cars in the United States to mitigate part of the pressure to move more production to domestic factories. It is not a surprise, because for years, even the cars identified as being the most “made in America” ​​are far from 100% of national origin. Tesla is closest to 87.5%.

Trump's second set of wheels, golf cart, is another good example of global reality behind “Made in America” ​​manufacturing claims. While Club Car and Ez-Go assemble their golf carts in the United States, they obtain their components from China, Taiwan, India, Malaysia, Turkey and Europe, among other countries.

The two companies which collectively held a substantial market share, more than 37%, of the golf cars industry in 2024, according to information on the world market, were part of a case filed with the US international trade committee alleging damages of unfair Chinese business practices. The ITC has already found a reasonable indication that imports from China hurts considerably what is defined as the American market for personal transport vehicles in the United States. A final determination, which could include prices on Chinese manufacturing golf carts, is expected to be announced on June 17.

According to Importgenius, the United States imported $ 709 million into golf carts entirely assembled in 2024, with $ 703 million, or 99% of this, coming from China.

For Club Car and Ez-Go, the data collected and analyzed by Importgenius show that if the assembly of their trolleys can take place in the United States, supply chains are potentially exposed to many Trump administration rates.

Ez-Go, which is part of the industrial textron diversification, is supplied by its golf carts of a supply chain which depends strongly on the products of China and Taiwan. The engines of their golf carts are made in Taiwan; The GPS monitoring system is made in Malaysia; And the golf cart itself with golf seats, mirrors, windshields, a bed of freight, speakers, wings, steering wheels, golf seat trays, golf cars batteries and input handles are all made in China.

For Club Car, which belonged to Ingersoll-Arrand for many years but which now belongs to the capital-investment company Platinum Equity, the golf cars supply chain is more diverse. In addition to engines, speaker systems, plastic injection molds, chargers, brakes, claws and parts of China, key components are imported from a wide variety of countries. These include chargers from Hong Kong; Drive the axles imported from Japan; Singapore transaxles; Lithium ions and other parts of southern Korea golf trolleys; Rotor discs and other parts of golf carts from Germany, Turkey, Egypt, Sri Lanka and India; Solenoid goes from the United Kingdom; And the rear shock absorbers of Vietnam.

“These golf carts illustrate the complexity of our dependence on Chinese imports,” said Michael Kanko, co-founder and CEO of Importgenius. “The increase in consumer goods prices from prices is one thing, but that emphasizes how American manufacturers are also in danger.” Made in America “does not mean” exempt in America “.”

Club Car and Ez-Go refused to comment.

GMI projects an estimated growth of 8% of the golf trolleys market between 2025 and 2034, which it currently estimated at a size of $ 2.6 billion. Driving this increase is increased use in residential communities, airports, hotels, stations, industrial facilities, professional golf tournaments and recreational golf.

The ITC affair, if it leads to steep prices on golf carts made entirely in China, would benefit national market players. But the wider whole of global prices will oblige the national golf cart industry to choose between transmitting higher prices to consumers or sacrificing the beneficiary margin or a combination of the two, a decision matrix of many companies in all industries now weigh.

Even the “most” American players from all sectors fear great successes of the prices. On Wednesday, the leader of American solar power First Solar, which was in a battle of several decades with manufacturers of solar cells and panels based on Chinese, said that Trump prices “create an important economic wind” for its factories in India, Malaysia and Vietnam, the last two which serve the American market exclusively.

Golf carts are just one example of complex products assembled in the United States which is based on foreign components, according to Jason Miller, Eli Broad professor for supply chain management and interim president for the management department of the supply chain of the ELI Broad College of Business for Michigan State University.

“Many American plants depend on starters from China, in particular electrical components, manufactured metals and textiles, often with little (if not) available national alternatives,” said Miller. “At a time of world supply chains, it is difficult to find complex goods which are entirely produced from inputs which come from one country themselves.”

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