Adapting to Anticipated Tariff Changes in the Promotional Products Sector
November 26 2024
Current Situation:
As trusted partners, we wanted to take a moment and address recent developments regarding potential tariff changes that could impact our industry in the coming months.
On November 25th, President-elect Trump announced his plan for tariff increases. The plan, implemented through executive order, would impose a 25 percent tariff on all goods from Mexico and Canada, and would add an additional 10 percent tariff on products from China. While specific outcomes are not yet known, these tariffs could significantly impact the cost of goods and delay delivery times, potentially affecting business operations.
Many American companies and retailers are beginning to prepare for the implementation of new tariffs, setting expectations with customers to expect price increases. Some companies have begun to stockpile goods imported from China and other countries, while also exploring alternative options for manufacturing.
We want to reassure you that our team is closely monitoring these developments and assessing any potential impact on our business. While a large majority of our industry sources via China, BDA does have a diverse supply chain network which stretches across the globe with many product categories primarily sourced via other countries of origin.
Our commitment to delivering high quality service and ensuring your success remains our priority, and we want to reassure you that we are here to support you through any challenges that may arise from these developments.
How Clients Can Prepare:
While BDA is closely monitoring the situation and will share information on any major changes, there are actionable steps that clients can take to avoid delays and price changes, when possible:
- Order Early: By placing orders earlier than planned, businesses may potentially reduce their exposure to tariff increases; however, this is not guaranteed.
- Communicate Concerns: If you have any questions or would like to discuss how these potential changes might impact your business, feel free to reach out. BDA is always here to assist and provide any additional information you may need.