Bottlecap and Teardrop Update

If you've read the article preceding this one, you probably have a good idea regarding the content about to be discussed in this latest update.

Last time, I was concerned about the 79% tariff rate I was looking at for my incoming Bottlecap and Teardrop wheels, and my goal then was to explain the various ways in which the situation affected me...and possibly you. Though I had fears things could get worse, I had no idea that today I'd be wistfully remembering that 79% rate as "the good ol' days."

As of this writing, I am currently looking at 154% in tariffs for any wheels not currently in inventory here in the US. As you can imagine, for me and most other small businesses importing from China, that excessively-high rate effectively results in a complete trade embargo. Even if I felt I could raise my retail pricing high enough to compensate, I simply do not have the extra $212,000 in capital needed just to pay for the extra customs fees. I was told the ship would be on the water no later than April 1, and had that actually happened I'd have not been charged the extra taxes...but some of our government's other new regs got in the way.

I'm not sure how many people are aware, but this past March, the US Trade Representative threatened to implement a 1.5 million-dollar fee for every Chinese-owned freight ship entering any US port, effective in April. As you can imagine, this new regulation threat, and the uncertainties behind it, had caused most Chinese freight companies to take some time to digest and plan for. So really, even though I had no idea at the time, an April 1 launch was never going to happen.

So where does that leave us? I know many of you have pre-ordered and paid for many of the wheels due on this container. As of today, my manufacturer has agreed to keep my container in their storage lot while we wait to see if calmer heads prevail in the next few weeks, and tariff rates go back down to something more manageable. If this happens, RML Bottlecaps and Teardrops will still make it here for your late-spring enjoyment. If things do not change, well, it won't be fun, but rest assured everyone who pre-ordered will receive a 100% refund (no 3.5% cancellation fee), and I will try to sell the contents of the container to a dealer in another country. After that, I will more than likely work to sell my existing US-based inventory and then close my doors, so to speak. As I've had to explain too many times already, US-based cast aluminum automotive wheel factories simply do not exist, and in this environment, all the larger wheel companies have already taken control of pretty much 100% of the manufacturing capacity in other countries. Unless I pivot to US-made forged wheels ($$$), there really is no future RML business case.

While we wait, anyone who would like a refund on their pre-order should simply email me at brad@rmlwheels.com to let me know. No hard feelings whatsoever toward anyone needing to cancel - tough times are likely ahead for all of us, so I truly do understand.

I want to take a moment to thank everyone for their patience and support throughout this mess. I've received so many amazing emails and DMs, and each one reaffirms what I've known for more than 40 years - the VW and Euro car enthusiast community in general is full of some of the most amazing people I've ever met.

- Brad