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- U.S. (effective Mar 4–7, 2025): +25% on non-USMCA imports from Mexico & Canada; +10% on Canadian energy products & potash outside USMCA; +20% on all China & Hong Kong goods (up from +10%)
- China’s retaliation: raised tariffs on U.S. goods from 84% to 125%
To calculate the latest tariffs against your products, check out our tariff calculator here
Tariffs are taxes on imports that suppliers pass on via higher unit costs. This increases COGS—squeezing gross margins—drives retail price hikes (potentially reducing demand), and creates cost volatility, making budgeting & forecasting harder.
1. Diversify geographies (e.g. Vietnam + 1, Mexico near-shoring) to source from lower-tariff jurisdictions
2. Use Free Trade Agreements (USMCA, RCEP) for preferential rates
3. Classify products accurately (HS codes) to ensure correct duty treatment
4. Employ tariff engineering (modify product/component origin to meet rules-of-origin)
Learn how you can mitigate tariffs →
- Offshoring surges (+16% in 2025 survey) as companies chase lower costs
- AI-powered eSourcing tools automate supplier selection & negotiation
- Sustainability mandates push ESG criteria into RFP scoring
- Multi-region sourcing to mitigate geopolitical risk
1. Southeast Asia (Vietnam, Thailand, Malaysia) is absorbing “China + 1” relocations
2. India is emerging via government incentives and growing labor pools
3. Mexico & Poland are gaining investment in auto, electronics and aerospace as near-shore alternatives
FAQ