Forum menu
If this were posted on STW social media, the usual suspects would be screaming "keep politics off STW!".
The pound has plunged relative to the USD since June 2016, which means that imported stuff is more expensive to buy. This happened before, back in early 2009 off the back of the Banking Crisis.
Remember that even UK manufactured goods require raw materials bought from overseas markets, so cheaper exports are partially offset by increased purchasing costs.
We are certainly living in interesting times, who'd like to predict where the USD will be in twelve months relative to the pound?
[i]We are not currently seeking the WTO option. [/I]
No, we're after the RWB option.
RWB - red, white & blue 🙂
https://www.theguardian.com/politics/2016/dec/06/theresa-may-calls-for-red-white-and-blue-brexit
OP, if you voted remain in July then I have utmost sympathy for you...
If not, then what is it they say about chickens coming home to roost?
If it's such a disaster how come manufacturing data has been so strong post-Brexit vote?
Coz the low pound has increased our competitiveness, less so as more expensive imported raw materials feed. On to the supply chain
Also consumer spending (bouyed by cheap credit) has been very strong, surprising everyone.
https://www.ft.com/content/007354be-fe65-11e6-8d8e-a5e3738f9ae4
The growth in manufacturing has been spread across Europe. The eurozone PMI, released alongside the UK data, found that the manufacturing industry in the currency bloc grew at the fastest rate since 2011.
Also
http://uk.mobile.reuters.com/article/idUKKBN16D005
*reported for thread duplication*
You've got a brexit thread, let's keep it in there.
Why this is a distinct subject, just don't click if you don't like it.
At best it's been massively derailed then. I clicked to read about Specializeds and to offer advice for would be buyers, rather than the why's and wherefores of the potential imapct of various types of brexits
How silly of me, given the title...
Importer and manufacturer here as well and the collapse of sterling has been nightmare. Certainly haven't seen an increase in overseas orders and we ship about 80% overseas. Costs from all the products made in the far east has gone through the roof. The ironic things is that all the idiots that voted for us to leave are the ones that are going to be most effected. There is no way that large retailers and manufacturers can just absorb the extra costs and unless the exchange rate changes massively they will have to pass them on and it looks like there will have to be a wholesale repricing of products across the board.
I think it's kind of pointless speculating on our post Brexit future at the moment especially with the increasing rise of populist politics across other European countries making the likelihood of another political upset over the next few years seem more than possible.
Whatever happens the price of Specialized bikes is probably going to be a long way down on my list of concerns though.
Spesh bikes seem way more expensive than just a few months ago.
In vaguely related news today, [url= https://www.theguardian.com/business/live/2017/mar/06/vauxhall-opel-sold-jobs-deal-aberdeen-standard-live-business-live ]GM are having a fire sale.[/url]
And a similar issue reared it's head over how a spun off, post brexit vauxhall are going to cope with their supply chain (and exportung), once living outside of the EU, when their competing PSA sister plants are in mainland Europe...
Lots of vaguely positive noises from PSA/tories but clearly no certainty as the current situation doesn't really allow any TBH...
Bringing it back to bicycles, do we really think brexit will help companies like Orange/Cotic/Curtis/etc to compete both here and overseas?
In a few years, UK mountain bikes will be like Cuban cars. We'll be fighting to get our hands on rusty 26 inch frames, and we'll learn to make our own suspension from bed springs and pig iron. Unless the potato harvest fails, of course, in which case we'll all be dead.
Bringing it back to bicycles, do we really think brexit will help companies like Orange/Cotic/Curtis/etc to compete both here and overseas?
Unless raw the UK is kicking out a lot of raw materieals and finds a lot more oil no.
Surely there has to come a point where the market can't sustain bike price rises?
If people just can't or won't buy bikes at exorbitant prices manufacturers and retailers will have to adjust their pricing?
They'll adjust their costs first which takes a year or so.
Bringing it back to bicycles, do we really think brexit will help companies like Orange/Cotic/Curtis/etc to compete both here and overseas?
No. Brexit will be a negative for most UK bike manufacturers as a whole I would say, unless they are able to fully diversify into overseas territories, but then they may as well up and leave.
OK so we're cheaper overseas right now, since Brexit we've seen a modest increase in overseas sales, but then we've not jacked our prices by 15% or so as would be needed to maintain a pre-brexit margin. Thats being phased in slowly, and when it does, we'll be back to square 1 but with annoying paperwork, import duties etc. Its not just the initial sale, but the various local rules on supply, getting bits back for warranty etc. Its all a total ball ache outside the EU, and soon inside the EU too.
The only winners as far as I can see from Brexit are the large multi-nationals that are enjoying repatriating all the money for their wealthy owners at a much better rate. Can't really see an upside for small - medium businesses, manufacturing (in the long term) or anyone else to be honest. For your average Joe on the street Brexiting seems like its likely to be a pretty bad deal to me. We're going to be living with significantly increased costs but without salaries increasing to balance it out.
You could be right there Limburger, Mad Max style bikes.
This post was just an observation about a fair price hike I noticed had been snuck in about a bike on a bike forum, way too many of people getting upset about Brexit still. Get out and have a ride
limburger - MemberIn a few years, UK mountain bikes will be like Cuban cars. We'll be fighting to get our hands on rusty 26 inch frames, and we'll learn to make our own suspension from bed springs and pig iron. Unless the potato harvest fails, of course, in which case we'll all be dead.
Have whyte just put prices up as well? Im sure the base g160 was £2500 last week. Bikes are going up in price faster than I am saving up to buy one
Bringing it back to bicycles, do we really think brexit will help companies like Orange/Cotic/Curtis/etc to compete both here and overseas?
What's the annual production for those? I think I read somewhere that Orange do about 1000 FS frames a year.