Oregon Business 2025

fleece from huge corporate orders at discounted prices. There is also an odd wrinkle in the tariff code that levies an inordinately high tax on fleece apparel. A fleece hoodie shipped back into the U.S. after being manufactured overseas will be taxed at nearly a 30% rate (28% for women’s clothing, 29% for men’s). That means the cost of producing a hoodie in the U.S. has a chance to be competitive with hoodies manufactured abroad in sew houses. “Making things is a lost art here in the U.S. The sewing studios are a small part of our business, and not the most lucrative, but it’s a fun and important part of our story. Any good brand has to tell a story,” John says. Kara Weld adds, “We are lucky to be so connected to our customers, and in many ways, we are telling their story through ours. We are people who get up early to bushwack in the rain to run a gnarly section of river.” to test products, to see them used in real life and informally grow a business over a pint at pFriem or on the slopes. I love to see when sectors grow their own legs organically.” But there are also challenges to being in Hood River. In addition to general obstacles inherent to the outdoor industry — climate change affecting recreation, the COVID- related inventory overhang, workaday inventory overhang, and the challenge for smaller businesses to keep up with the latest innovations and trends—the housing crisis is huge. The city was ranked the seventh most expensive micropolitan area in the U.S. by The New York Times in 2024. “Housing prices in Hood River are out of hand. The best thing for a business is to have employees stick around. How can I do that if they can’t afford housing?” says John Weld. One of his employees interjects that he found a rental from a fellow whitewater kayaker, and that’s how he moved Hood River to work for Immersion. Around the time they moved to the area, Immersion started being recognized for its dry wear — technical gear designed to be watertight — which is manufactured overseas. Yet the Welds couldn’t resist their proclivity to create products in-house. “I wasn’t sold on having a sewing studio,” says Kara. “But John pushed for it; he is a maker at heart.” When they stumbled onto a storefront for rent that had studio space in the back, there was no question about going forward. “We have about half a dozen competitors. But our crazy experience of running a sewing factory makes us stand out. It’s a part of our company DNA. When we saw an opportunity to make products on a small scale, we went for it,” John says. This is possible in part because Hood River commercial real estate prices are more commensurate with what storefront owners can pay — in contrast with residential real estate prices in the same area, which have spiraled upward. Plus, the Welds are able to buy leftovers of Polartec 23

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