Urban Velo

Cannondale Closing US Production Facilities

Since February 2008 Cannondale has been owned by Dorel Industries, the same company that owns the Schwinn, GT, Mongoose, Pacific and Sugoi brands. Ever since the initial purchase people have been wondering if and when the long-standing US Cannondale production facility in Bedford PA would be closed up in search of cheaper overseas labor. The time has come – Cannondale will cease US production by the end of 2010, moving all production to Taiwan.

Read the full report at bikeradar.com

47 Comments

  1. jasonApril 3, 2009 at 1:58 pm

    Boo to Cannondale

  2. dmgApril 3, 2009 at 2:58 pm

    Well, that blows, although it’s not surprising considering that Pacific bought them. Any C-Dale employees want to ‘misplace’ a Capo for me?

  3. StefanApril 3, 2009 at 3:27 pm

    I think companies like this should really be judged a lot harsher. An important part of a company from a branding stand point is it’s equity; Cannondales have a long history of being built in the US.

    In a time where unemployment is soaring, boycott shitty companies that outsource more work to increase their profit margin. Shame on the previous stakeholders at Cannondale as well for doing business with such a careless company. Being that a large part of their consumers are Americans, Dorel’s gains are short lived and don’t look further up the road. /rant end

  4. Rob ProuseApril 3, 2009 at 3:51 pm

    Sadly, it looks like the two Cannondale bikes I currently own will be my last. When will companies learn that their customers care about more than their bottom line?

  5. Randy W. SandbergApril 3, 2009 at 4:29 pm

    Right on Stefan, companies who are not loyal to their long-time employees should be held responsible for their actions. Even though this is a take-over situation, in Cannondale’s case, the new owners should know better. We need to all protest companies like this via a boycott. I, for one, will most certainly not be doing business with these folks until they have replaced their loyalty to their workforce as opposed to the all-mighty buck.

  6. willaimApril 3, 2009 at 4:30 pm

    This is heart breaking news. Truly I think that America should have harsh laws for such atrocity to our companies and the brands they control import taxes should be raised and corporate taxation of such things should be done you send a X million dollar company over seas you get a XY tax.

    Rant / on
    if any thing this will just put one more thing in the landfills and cost that much more for shipping. I am all for fair trade but exporting a U.S.A made product just to make a buck to me that like robbing a ship you sank.

  7. williamApril 3, 2009 at 4:32 pm

    I meant establishment not product in my rant see see it has me that upset

  8. JorgeApril 3, 2009 at 5:59 pm

    Just like the future Cannondale, a fair number of the bicycle brands advertising in Urban Velo are made in Taiwan (or even China). Many of them were once made in the U.S, or in Italy, etc. There’s nothing wrong with that, in my opinion, just as I think there would be nothing wrong if the U.S. finally abandoned the auto business. I expect this trend to continue. The U.S. can no longer be competitive in the production bike market (nor, some would argue, in the mass auto market). In the future, the only bikes that will continue to be made in the U.S. will be custom (some of which also advertise in UV). Even for production bikes still made in the U.S, a significant portion of the components/labor (sometimes including even the tubing) is already made elsewhere, and U.S. labor use is kept at a minimum. Alas, the ‘laws’ of economics apply indiscriminately to all businesses, including bicycles.

  9. Urban JeffApril 3, 2009 at 10:18 pm

    I am particularly sad to read this story.

  10. Chris KoppApril 4, 2009 at 1:02 am

    Cannondale is moving all production overseas. One of the last production bicycles still made in the USA, wont be in about a year.
    It may not seem like a big deal, but it is.

    But wait, its not really Cannondale’s fault. Because they are now owned by a compay called Dorel. Who is Dorel? Dorel industries is the “parent company” of Schwinn, GT, Mongoose, an of course Cosco, makers of fine adult shower-toilets known the world over. (http://www.coscoproducts.com/Products/Medical/Bath-Safety/Details/2595-57912SLV1-3-in-1-Commode)
    No Cannondale owner’s home is complete without one of those babys!

    Dont let Dorel/Cannondale get away with this. Don’t buy Cannondale. Don’t buy Schwinn. Dont buy the idea that moving all production overseas to Taiwan is inevitable, because it isn’t.

    Support independently owned businesses, not international corporations. You may not care about aluminum bicycles being produced in the USA, but when your job is outsourced next, don’t say you weren’t warned.

    Repost the news on myspace or facebook or your own blog, dont just let them slip this past you, while keeping the American flag “Designed in USA” sticker there to fool you.

  11. JorgeApril 4, 2009 at 9:01 am

    Protectionism is a failed economic policy.

  12. RonstaApril 4, 2009 at 10:39 am

    This was sad news.
    Being in the industry, I have a pretty good idea how this went down. This is typical when you let “suits” run bike companies and its frustrating.

  13. jpApril 4, 2009 at 7:03 pm

    Why is it that every good American bike company has to send its products overseas to remain competitive? I have great bikes by Schwinn and Cannondale that were all built in the U.S., but these are going to be the last ones that I buy from the companies making them new. I guess the “bridge to tomorrow” that we all heard during the late 90′s by the prez was about a bridge overseas. After 2000, it seems everything has gone overseas, along with our jobs, and our abilities to buy these toys. I am glad that so many quality bikes were made in the past, I will continue to cobble together old “American” frames to give myself something real to ride.

  14. rickApril 4, 2009 at 10:11 pm

    Gee didn’t see this coming.

  15. PaulApril 5, 2009 at 11:23 pm

    Why couldn’t you have posted this 2 days earlier? (you know, april fools day?)
    WHY!

    To Cannondale: “So long good old friend, don’t let the door hit your ass!”
    To Gunnar: “Hey babe”

  16. Urban JeffApril 6, 2009 at 6:18 am

    I hear you, Paul. I only wish it was a joke.

  17. UnemployedApril 6, 2009 at 6:28 am

    Too bad. now a little asian guy will be doing my job. it was fun while it lasted. DONT BUY CANNONDALE or any dorel product for that matter. its really sad that a company who calling card was MADE IN THE USA has now sold itself out to losers from canada that are sending all our jobs overseas. you know when they bought us all we heard was we were gonna stay made in the usa, guess that was just another lie.

  18. Drew D.April 6, 2009 at 9:59 am

    Survival of the fittest.

    I applaude Doral. Also, anyone who thinks this has to do with George W. Bush or preservation of profit margins is wrong.

    This has to do with staying alive. When an employee pays 50% of their wages to the “State” and when the Corporation pays +25% of income to the “State” our lives are reduced to playing a subserviant role to the “State” and we loose the ability to make our own independent decisions. Doral has hoisted it’s middle finger to our Government by shipping everything to some Asian country.

    Unfortunately, the honest, hard working, innovative American worker gets screwed on this. That sucks and must be avoided at all costs. Hopefully, those of you who loose your job over this, and those sympathetic to their cause (me included) choose to fight the “States” excessive intervention and theft of our rights to property.

  19. jamesmallonApril 6, 2009 at 3:13 pm

    Grow up Drew. Ignoramus Republican populism is over.

  20. Drew D.April 6, 2009 at 4:24 pm

    LOL.

    jamesmallon, I resent the lable, any lable. All that I stated was fact. And I conveyed the facts in a manner that at a minimum was SUPPORTIVE of those that lost their jobs.

    If the climate for business was good, here in the US, then I think doral wouldn’t take the risks they are taking. Instead, they have chosen the “Self Preservation” path. Unfortch., that path leads them to Asia. Good riddence. I’ll never purchase a Cannondale.

    Thats all from me, pal.

  21. PaulApril 7, 2009 at 8:32 pm

    so is this the last of American aluminum in the cycling industry?

  22. PaulFApril 9, 2009 at 11:02 pm

    It’s disgraceful! Heartbreaking and disgraceful. I bought my Cannondale from them BECAUSE they were American made. I could have spent far less and got another Chinese-slave-labor-made bike dripping in welds, but I wanted a high quality American bike, made by Americans.

    A Cannondale made in Taiwan is nothing but a worthless label slapped on a cheap Chinese bike, no different from a GT or a Specialized or a “Schwinn.”

    I really dont know where I’ll get my next bike from, but if Cannondale really goes through with this move, I won’t bother giving them any of my money.

  23. PaulFApril 9, 2009 at 11:14 pm

    Oh and two more things — first off, all you ‘opposed’ people need to do something positive and should complain directly to Cannondale. Call their main office number and tell them what you think. I did so and they gave me email addresses to write their president, which I did. Also, call that Doral company as well and tell them.

    Finally, if they dare to try that whole ‘slap a little flag icon on the bike’ thing, trying to trick consumers, I will complain to the Federal Trade Commission. That is total BS. ‘Designed’ or ‘assembled’ in the US is NOT the same as ‘Made in the USA” and sticking a flag on the bike is totally deceptive and meant to be so by Cannondale. If Cannondale wants a lawsuit or an investigation by the FTC then fine, they will most definitely deserve one!

    Keep the American flag off your new cheap Chinese bike frames!

  24. PaulApril 11, 2009 at 9:18 am

    Complaining to Cannondale may be futile, they are in the hands of Dorel; yell at them.

    Search “Boycott Cannondale” on facebook, join my group, spread the word.

  25. RandyApril 12, 2009 at 12:53 pm

    Funny people are freaking out over this. Trek has about 98% of there bikes made overseas and nobody says a word.

  26. PaulFApril 12, 2009 at 6:06 pm

    Randy, that’s inconsequential. And why is it “funny” that people are upset? Should Americans look the other way when yet another manufacturer sends jobs over to the Chinese at the expense of US manufacturing? Cannondale was the LAST major American bike manufacturer, that’s a big difference between it and Trek. Kill off Cannondale’s US plant’s and it’s all gone. China will again have taken over a US industry along with all the US jobs that went with it. People should definitely “say a word” about that.

    The congressmen from Pennsylvania should be working to help ensure this doesn’t eventually happen.

  27. Donny P.April 27, 2009 at 10:20 pm

    I had been hearing about this “happening” for a few years now, but recently a Cannondale rep told me that it was going down. It sucks. Nothing else to say about it. Don’t know if I should run out and buy the last of a rare breed or boycott the brand all together. I’m just sad about this, and that’s all there is to say.

  28. RomanMay 4, 2009 at 5:21 am

    Paul, I just joined your group. There is high unemployment here in CA. I don’t see why a bunch of Communist need our assistance. Aren’t they capitalizing our capitalism (pun intended)?
    What is more ironic than this, go to the Dorel website and they will have a cooperate video explaining how their baby seats are the best in the world, while having “Teenage Wasteland” playing in the background. Is this a sign of things to come?
    And they claim that they have “attention to detail.”

    Their Freudian Slip was that they have the crown jewel. Little do they understand that consumers of Cannonale appreciated that the bikes were truly American made.

    I wonder if the welds are going to look like toothpaste now.

  29. MikeMay 4, 2009 at 6:44 pm

    I think this is horrible.
    Every great American company eventually falls victim to a cheaper more “cost effective” way of going about production. Never mind the fact that the quality of that product will almost certainly suffer.

    The worst part of all, not only do we end up buying crap because that is eventually all that we will have to choose from, but we will eventually be paying “American Made” prices for this junk because again, there will be no other choices available.

  30. RobMay 12, 2009 at 3:00 pm

    Taiwanese workers and engineers work hard. So do American workers and engineers. IMHO the frames will be built in Taiwan because their bike factory owners made huge investments in carbon fiber manufacturing technology, just like the biggest semiconductor outsourced manufacturing companies (TSMC, UMC)are successful in Taiwan because they made huge investments and work their asses off.

    If you want to blame anyone, blame Joe Montgomery, who pissed away the company he founded by trying to make motorcycles, instead of investing in technology to keep his bicycles competititve. Doral brought a brand with a non-competitive technology manufacturing operation in PA. Rather than upgrade the technology to meet market demand, they have moved production overseas, which means they will just buy more from their established factory partners who make their other bikes.

    It was either that, or go out of business, I bet.

    I love my cannondale T1000 touring bike, KV900 mtb, and the 3 other cannondales I have owned. Joe Montgomery killed his own baby, not Doral.

  31. John MJune 9, 2009 at 5:49 pm

    Cannondale is a good bike, but I would not have purchased it if it was not made in the US- my hope is that another bike manufacturer will emerge that is made in the US- I will purchase my next bike from them even if it is much more expensive than a Chinese bike of similar quality- Buy American!

  32. steve from virginiaJuly 17, 2009 at 11:08 pm

    Complaints about Cannondale sending workers overseas are largely misdirected.

    Read this:

    http://economic-undertow.blogspot.com/2009/06/peak-oil-discussion-is-over.html

    The choice is usually outsource or go out of business. The real culprit is the ongoing rise in energy costs; 500% since 1998 ($12 – 60 a barrel for crude oil). This increase is embedded in all products and services, especially energy- demanding manufacturing.

    Bicycles are like other manufactured goods, the price of energy added to cheap labor allows a business to stay afloat constrasted to the same price of energy added to expensive labor.

    Unfortunately, this expedient is not enduring. Increases in energy prices will eventually make the cheap- labor producers unaffordable as their US counterparts.

    Welcome to Peak Oil!

  33. Urban JeffJuly 18, 2009 at 9:24 am

    In my opinion, the choice was not based on sink or swim, it was based on profit. Cannondale was bought by Dorel a while back, and the corporation has made a record profit since: http://www.bicycleretailer.com/news/newsDetail/2463.html

    If energy is such a factor in the cost of doing business, I would have to think it would be beneficial to manufacture stateside and avoid overseas shipping.

    The larger issue at hand is a lack of corporate social responsibility. And this will bite the Cannondale brand in the ass.

    Regardless of who’s right or wrong, the fact of the matter is a large portion of Cannondale customers’ brand loyalty is based on the “made in the USA” label. If nothing else, without it, Cannondale will have to work even harder to gain market share.

  34. jjAugust 11, 2009 at 1:25 pm

    All rational business arguments aside, every bike being wholly designed, welded and assembled in the USA was the reason I chose to buy and eventually sell C-dales. There should’ve been more outcry about this, at least amongst bikers – and I didn’t hear Lou Dobbs mention it once. I know that most customers either weren’t aware or didn’t believe the “Made in USA” label, what with all the dubious “Designed in California” and “Assembled in the USA” marketing floating around. Randy mentioned that Trek has been in the outsourcing biz for years, and they do make very high quality products. Taiwan may very well have the best engineers in the bike business. But that company was founded by appliance salesmen and never had the soul and personality of Cannondale. I do blame Joe and misguided management for squandering their lead in state-of-the-art manufacturing in the 90s. I blame the commoditization of most industries even if it results in higher quality, easier to use devices. I have no solution aside from reorganizing as a lower-volume, more expensive, higher-end niche player – which may have resulted in the same number of job losses. At least they’d have kept the rep.

  35. DougAugust 14, 2009 at 12:28 am

    There are plenty of bikes that continue to be made in the USA. These are mainly by custom builders like Bilenky, DeSalvo, Steelman, Calfee, etc. Google NAHBS. Also, the medium to higher end Trek Madone is still built in Wisconsin.

    Buying American does cost more, because our labor and environmental standards are better than Taiwan and China… in general. Also, it is well known that China artificially suppresses the value of its currency, making those goods cheaper on the world market.

    Greed for a quick buck by larger firms, and the desire to stay in business by other companies, has resulted in a mass outsourcing of manufacturing to Asia. It is almost impossible to find a bike helmet that is not made in China.

    Protectionism is a concept that is often a threat when “buy american” is voiced. I think it is about time to consider the long range costs of buying cheap goods from China. I’d rather pay more for a quality product if it results in a paycheck for my neighbor.

    By the way. Santa Cruz bicycles builds a cyclocross bike in California. I will be purchasing their bike and spending a few hundred more instead of a Redline or Salsa or other brands that are made in China.

    If more people would stick up for some principles instead of always taking the easy and cheap choices, perhaps we would have a better situation in this country… Now to kill off a few corporate executives that walk away with $30 million a year while they lay off hourly workers with impunity…

  36. John KaySeptember 3, 2009 at 6:49 pm

    Im glad I bought the R700 USA EDITION road bike…that’s 3 Cannondale bikes I own. That’s all I need to last my remaining biking years. Sorry Cannondale.

  37. BDSeptember 26, 2009 at 2:15 pm

    I love both my 09 Cannondale 29er and 08 Synapse. Both have “Made in USA” on the frame. That’s it for Cannondale for me. I’m glad I bought them before they quit making them here. Trek still makes it’s OCLV carbon bikes in Waterloo WI.

  38. DanishOctober 27, 2010 at 7:55 am

    I´ve bought several C´dales through the years even though they are very expensive in Sweden. The last bike I bought was a 2008 Scalpel and my plan was to replace it with a 2011. But since they´re no longer “Handmade in USA” i´ll rather keep my old bike and when it really needs to be replaced it won´t be a Cannondale.

  39. ShaunOctober 2, 2011 at 8:30 pm

    I just purchased a 2006 Prophet Lefty from a guy here in town.I dont use it offroad,just for exercise for me and my dog.I love the fact that it says”Handmade in the USA on it.You dont see that to often on anything in the US these days.Its really sad that this happened.Im so sick of seeing Made in china on everything you pick up.The corporate thieves need to be taken out and Horse whipped.

  40. NickDecember 20, 2011 at 3:05 pm

    I have only today realised that Cannondale has followed the rest of the industry and moved its production to a ‘lower cost’ country for a short term gain to shareholders at the detriment of quality. I recently completed my first full Ironman and was extremely proud to be riding a bicycle with the words “hand made in USA” on the side. This message tells a number of things 1. that the profits of that bike went back into my own country and economy 2. that the workers in the factory making my bike were valued for their experience and not purely they are cheap 3. the company and workers were subjected to truly ‘civilised’ law and order including real civil rights I have many other reasons, but will try not to bore you. WE are the problem! on one hand we demand a higher salary, whilst on the other hand we search for the lowest cost items on the shelves – please don’t get me wrong… I’m not a communist, but a truly capitalist… I just do not like greedy capitalists who are shooting themselves in the foot by going for a quick win. Buying “made in China” may allow you to have a slightly better selection of material objects today, but the people it will really affect are our children and grandchildren (although things move in cycles, no pun intended, and maybe our grandchildren will be providing outsourcing services to the Chinese in future – unless china keeps developing in its ‘unsustainable’ way and either the country will have a revolution or they will all die of tuberculosis from all the coal they burn)

  41. Sunday ParkerJanuary 7, 2012 at 2:33 pm

    I was just about to buy a cannondale, as I thought they were made in the USA. I’m so sick of companies taking US consumer money and feeding it overseas. How do they expect people to buy their bikes here if they don’t have jobs. Seems very short-sighted, and it must take a lot of investment in building new factories, etc. How can you find something made in the USA to buy anymore? Frustrated and mad (and sad)….

  42. Doug p.January 26, 2012 at 6:41 pm

    Man I just found out they’re now made in china. Really hard to find anything American made. Soon we’ll be working for the Chinese they have all the jobs and the money. This SUCKS. I’m holding on to my proudly made in USA lefty forever!!!

  43. ericLJuly 16, 2012 at 9:57 pm

    I still have my Cannondale Los Dos Tandem— with the proud label, made in America. Does anyone recall the 1990′s Bicycling Mag article about the hard working welders at Cannondale in Pa? Sadly, those jobs were shipped to Communist, Totalitarian China.

  44. Charles McGroryOctober 10, 2012 at 9:47 am

    I have bought Cannondale all my cycling life.
    I’ve seen the latest Cannondale bikes built in Asia for sale now and they simply look totally inferior to the traditional Handmade in USA beauties.
    They have lost their distinctive look which made them stand out from the crowd and this is the reason I bought Cannondale, but not anymore.
    The new owners of Cannondale will pay the price when less punters buy their bikes and that part of their business dies.
    I’ll be looking after and preserving my good old f3000 mtb and Saeco team racing bike for years to come.
    If I had the money I would buy back Cannondale move production back to the US and make them great again!!

  45. ChrisJanuary 16, 2013 at 3:05 am

    My daily ride is the last gen capo. Best bike I have ever owned. Truly sad to see that handmade has been traded for efficiency and consistancy of production. Every morning when I get on my bike I don’t see the made in Bedford PA logo, I see imperfect welds by imperfect men who made me the perfect bike. I will continue to hand tune this piece of American cyclrey.

  46. JohnMarch 29, 2013 at 12:12 am

    Sadly, my F400 and my Adventure 600 will be the last Cannondales I will ever purchase. A big part of buying a Cannondale was buying a great bike with “Handmade in USA” on the top bar. Now, Cannondale is just another asian made bike, no more special than the next. The Cannondale name, whose panache and reputation was earned by the people who made them in Bedford, Pennsylvania is now emblazoned on a product that has no relationship what-so-ever to the real thing.
    Your choice is gone. No option remains. Your mind has been made up. You will now buy asian made bike with Shimano running gear. So I bought a Trek 7.2 FX. The Cannondale is now just another bike not worth a second glance… or my money.

  47. Tom LinkOctober 11, 2013 at 6:26 pm

    I am also one of those who purchased a Cannondale because it was made in USA. My 2001 R500 frame recently developed a crack and it was replaced under warranty with a CAAD 8 frame. I was very disappointed to see a “made in taiwan” sticker on the new frame.

    My last Cannondale.

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