How to Stay Competitive Among Recent Tariff Shifts

As recent tariff changes continue to reshape the logistics landscape for companies importing and exporting goods between Mexico, Canada, and the U.S., staying ahead of the curve is essential. Navigating these shifts requires a strategic approach to minimize costs, optimize supply chains, and ensure compliance with new regulations.

Below are a few key tactics to help mitigate these challenges.

Leverage USMCA Benefits

Ensure proper classification of goods under the US-Mexico-Canada Agreement (USMCA) to qualify for reduced or zero tariffs.

Strengthen Customs Compliance

Work closely with customs brokers to ensure all paperwork and declarations are accurate and optimized for duty relief.

Use Foreign Trade Zones (FTZs)

Consider utilizing FTZs near the border to defer, reduce, or even eliminate tariffs on goods in transit.

Diversify Supplier Base

Source from multiple countries or within the trade bloc (US-Mexico-Canada) to mitigate risk from future tariff changes.

Invest in Trade Management Software

Use tools to track changes in tariffs, classify goods correctly, and ensure compliance across multiple jurisdictions.

Reevaluate Supply Chain Routes

Explore alternative ports of entry/exit or trade routes that might offer reduced tariff exposure or faster processing times.