Sun, 06 Jul 2025

Sun, 06 Jul 2025 How tariffs are shifting global supply chains

Trump's 90-day pause on his sweeping tariffs plan is about to expire. But already some firms are radically changing how they work.

* A 90-day pause on US tariffs on Chinese imports is set to expire, causing uncertainty for companies that have been affected by the tariffs.
* Companies such as Learning Resources, an Illinois-based educational toy firm, have had to rethink their supply lines due to the tariffs.
* Rick Woldenberg, CEO of Learning Resources, says his import taxes bill has increased from $2.5m to over $100m due to the tariffs.
* The company is moving production from China to Vietnam and India, but this process is expensive and uncertain.
* Many Canadian companies are facing a double hit to their supply chains due to US tariffs on imports and reciprocal tariffs from Canada.
* Other businesses around the world are looking at exporting less to the US as American import partners have to raise prices to cover tariffs.
* Companies such as Cluck Clucks, a Canadian fried chicken chain, are having to limit menus and increase prices due to supply chain disruptions caused by tariffs.
* Global supply chain expert Les Brand says that companies face significant challenges in switching manufacturing to different countries, including quality testing and knowledge transfer costs.
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