The document provides an overview of the state of the recreational boating industry. It notes that outdoor recreation contributes $374 billion to GDP annually, with boating and fishing contributing $38.2 billion. Nearly 12 million boats were registered in the US in 2017. The Canadian boating industry supports 75,000 jobs and has an annual GDP impact of $5.6 billion. Key factors that influence the growth of the boating industry include economic indicators like GDP, unemployment, consumer spending and confidence. The document outlines some challenges facing the industry like tariffs, infrastructure issues, workforce needs, and reaching new boaters.

1. State of the
Recreational
Boating Industry
SARA ANGHEL, PRESIDENT – NMMA CANADA

4. Outdoor Recreation is BIG Business
 An overlooked economic giant, outdoor recreation makes up 2% of GDP, contributing
$374 Billion of value added each year to GDP
 Boating and Fishing Gross Output is $38.2 Billion
 Outdoor recreation contributes more to the economy than such industries as mining
and agriculture.
source: BEA

5. source: USCG
Nearly 12 Million Boats Registered
in 2017

6. State Rankings – Boat Registrations
source: USCG

7. A Truly American Industry

8. National Trends

9. AMERICAN RETAIL SPENDING
ON BOATING
source: NMMA

10. source: NMMA, Info-Link
Retail Expenditure Estimates

11. TRADITIONAL POWERBOAT
RETAIL SALES
source: Info-link

12. Powerboat, PWC & Sailboat Sales:
New vs. Pre-owned
source: Info-Link, Bonnier

13. NEW POWERBOAT RETAIL
UNIT SALES
source: Info-Link

15. Total Canadian Recreational New
Boat Retail Sales (Units)
56,946
45,749 45,971 44,851
39,573
37,233 37,349
39,094
41,729
2010 2011 2012 2013 2014 2015 2016 2017 2018
Units
sources: NMMA Canada, Transport Canada,
.

16. Total Canadian Recreational Boat
Pre-Owned Sales (Units)
79,712
56,469
64,197 62,489
59,778
64,021 63,505
61,164 62,089
2010 2011 2012 2013 2014 2015 2016 2017 2018
Units
sources: NMMA Canada Transport Canada

17. Canadian Boating Industry by
the Numbers
 The Canadian recreational boating industry has an
annual GDP impact $5.6 million (includes direct, indirect
& induced spending)
 Supporting 75,000 direct & indirect Canadian jobs
 Supporting more than 5,000 businesses
 2018 sales of new boats and engines $2.82 billion
 2018 sales of pre-owned boats $1.08 billion
 Total industry revenue of $10 billion

18. What Boating Requires to Grow
Healthy Economy
Job Creation
Consumer Spending
Housing Growth
Consumer Confidence

19. Real GDP
source: BEA, Philadelphia Fed

20. Unemployment Rate: 3.6% - April 2019
U.S. Job Creation
source: BLS

21. Consumer Confidence Index
source: The Conference Board

22. U.S. City Retail Gas Prices
source: EIA

23. Real Disposable Income
source: BEA

24. source: BEA
Consumer Spending

25. Participation and Ownership

26. BOATING PARTICIPATION
source: NMMA 2016 Recreational Boating Participation Study
12.4 MILLION
CANADIANS

27. 17 Million First-Time Boaters in 2016
8.5 million first-time participants were children
Different demographic profiles: First time boaters were more likely to be
• Male
• Hispanic
• Renters
• Less likely to have a college degree or more
• Median incomes of $60,775

28. Boats In Use
source: NMMA

29. U.S. Boat Registrations
Source: USCG

30. About Those Registered Boats…

31. Source: USCG
1% of boats are 40’ and larger

32. Canadian Boating Participation
By Region
0%
10%
20%
30%
40%
50%
Atlanticprovinces
Alberta
BritishColumbia
Manitoba/Saskatchewan
Ontario
Quebec
201
1
201
2
source: Research House

34. What’s in our fuel?
How does trade
impact our business?
Where we can fish?
How are boats
registered and titled?
Are boat ramps
accessible?
In need of a trained
and skilled
workforce?
Impacts on Boating Industry Seen at
Every Level of Government

35. Top Boating Issues
Trade Fishing Ethanol Infrastructure Workforce

36. Tariffs Impact All of the Marine Industry
Component
s
Raw
Materials Exports
• Tariffs on aluminum total
210% this year!
• In 2017, 117,000 or 44%
of boats sold were
primarily aluminum based.
• Increase costs YTD = 30%
• Section 301 tariffs impact more
than 300 commonly used marine
components and products from
China - including inflatables,
engines, propellers, navigation,
fiberglass, and trailer tires.
• Tariff ranges from 10-25%
depending on product
• This could increase costs for
consumer upwards of $2000
• Canada (10%), Europe (25%),
Mexico (15%) have put a tax
on ALL US boats in retaliation
for US actions on steel and
aluminum
• 69% of boat exports and total
value of $982.6 million are
destined for these 3 markets

37. The Tariff War – no stone unturned!
 3 letters to Prime Minister Justin
Trudeau (June); Minister of Foreign
Affairs Chrystia Freeland (July), Minister
of Finance Bill Morneau (August) and
copied to relevant Members of
Parliament (MPs)
 Attended House of Commons
International Trade Committee Hearing
(June 25th)
 3 written submissions to the House of
Commons Standing Committee on
International Trade (June, July &
October) to express industry concerns
 Dozens of meetings/discussions and
emails with MPs and their staff to
express the industry concerns
 Question Period – Erin O’Toole, MP
calls out the government on the boat
tariff

38. Canadian Retaliatory Tariffs on U.S. Boat
Imports Removed
 NMMA mentioned six times in House
of Commons Trade Report on Tariffs
 Boating industry mentioned in
Ontario provincial budget
 Retaliatory tariffs on U.S.
boat imports removed April
30, 2019

39. Recreational Fishing
 70% of all boaters fish
 Increasing saltwater fishing access brings more people out on the water to enjoy a
sustainable resource
 2018 WIN! Red snapper season in federal waters increased from 3 to 40 days!
 More work to be done: we need better recreation management and improved data
collection. The Modern Fish Act is critical legislation to make fishing fair by fixing
marine fisheries management and making sure fisheries remain a truly public resource
for all Americans
 The House of Representatives has passed this critical legislation, now its time for
the Senate to take a vote and get it to the President’s desk
 How you can help? Text FISH to 50457

40. Stop the Spread of E15 and Educate Consumers!
Introduced by
Rep. Austin Scott (R-GA) and
Rep. Lois Frankel (D-FL)

41. Infrastructure
 Land and water infrastructure is important to ensuring easy, reliable, and safe
access for boaters to get out on the water.
 Pass Water Resources Development Act, providing critical funding for:
 Dredging for critical waterways like the ICW
 Everglades restoration
 Aquatic Invasive Species management
 Ensure boat registration and titling dollars are put towards in state infrastructure
improvements

42. Workforce Development
 Supporting career and technical
education will ensure a pipeline of
marine industry workers
 Grant funding available through state
workforce agencies to incentivize
trade and apprenticeship programs
 What works? Internal apprenticeship
programs focused on integrating
trainees with your business and
workforce needs

43. Your Boating Voice in Congress
Congressional Boating
Caucus is a bipartisan club of
125 members in the House
and Senate supporting pro-
boating causes

44. Industry headwinds

46. And Do What We Can to Keep Them
T
O
D
A
Y
FIRST-TIME
Boat Buyers
in 2005
(564,000)
54%
32
%
14
%
Still own
same boat
source: Info-Link

47. Because It Pays Off *
REPEAT
Boat
Buyers in
2005
(838,000)
38
%
35
%
27
%
T
O
D
A
Y
Still
own
same
boat
* And gets better with each subsequent boat
purchase

48. RISING STUDENT DEBT
Source: NY Fed Consumer Credit Panel/Equifax

49. Reaching Future Boaters

53. Thank You!