Supply chain management took on new importance with the international tariffs that were threatened or implemented in 2025. Suddenly businesses are looking at ways to pre-purchase and stockpile supplies, to reduce costs, find new sources of goods, or route items through different countries. Alternatively, many are examining ways to pass the tariff costs on to customers.
Having a comprehensive slate of potential options to weigh for impact on your bottom line is key. There’s no one-size-fits-all situation, but your business should plan something to be folded into your long-term strategy for growth. Below are 10 options to consider discussing with your business’s counsel and strategic partner.
10 Ways to Adapt Your Supply Chain to Tariffs
With the right guidance, your business can adjust to today’s tariff realities, perhaps even coming out leaner and stronger. The right business attorney can help you find your way through these challenges, including identifying the best options for your business’s future.
Some of the adaptations to consider include:
- Explore derivatives. Creative uses of alternative components can move your finished good into a new, tariff-free category. Think of the Converse sneaker that’s classified as a slipper, evading higher import duties.
- Exemptions and exclusions. If your product is not specifically listed as exempt but it performs many of the same functions as items on the exempt list, a petition for inclusion is worth pursuing. Tweaking the product description and directing advertising at a new segment can help convince decision-makers.
- Reengineering and reclassifying. Sometimes a small change in the way a product is made can move it off a tariff list or reduce the amount of imported components enough to drastically reduce fees. Getting a product reclassified requires significant work but when successful the strategy can return huge savings, paying for itself in your first shipment.
- Duty Drawback Programs. Learn how to get a refund for duties paid on imported goods that are improved or manipulated then exported for sale.
- Preferential Trade Agreements. Find out if your products are eligible for reduced tariffs through USMCA/NAFTA, CAFTA, or other agreements.
- Foreign Trade Zones. Hold products on foreign soil until you are ready to ship them, delaying tariffs.
- Country of Origin. Legally, products can be assembled in a low-tariff country, making it your product’s final stop before entering the U.S. By moving the production line you can avoid significant costs.
- Delivery Duty Paid agreements. If your supplier becomes your importer via a Delivery Duty Paid (DDP) agreement, you pay tariffs on a lower price product.
- Trade routes. Transshipping, relabeling, and other efforts to intentionally evade tariffs are unlikely to be legal. Penalties for intentionally skirting the law can be severe.
- Pricing Strategy. Determining how to pass along tariff costs to your customers is tricky. Rather than risk turning anyone away, consider bundling products and services to distract them from higher prices, start a loyalty program for frequent buyers, or watch competitors’ prices and keep increases below that threshold.
Find a Strategic Partner for Your Critical Business Decisions
Understanding trade laws, navigating customs processes, and devising importation strategies are skills fundamental to advising businesses through the turmoil of tariffs. Developing a trusting relationship with a business advisor who knows the intricacies and impacts of shipping contracts and import duties will allow you to focus on making your business as strong and profitable as it can be.
WKFK Law has the experience and knowledge your business needs to identify pain points, zero in on potential solutions, and put a plan into practice. Contact us today for a consultation.
