President Donald Trump announced new tariff rates on dozens of trading partners just before hitting his trade deal deadline Aug. 1.
Trump clarified in that executive order that most of the tariffs won’t go into effect until Aug. 7. This coming after he already delayed the bulk of his tariff actions a few times. The order comes in addition to already announced tariffs including a baseline of 10% for trading partners.
“The tariff topic has already created a lot of uncertainty for companies with global supply chains for the past seven months, and will continue to do so as not all countries have reached new agreements with the U.S.,” said Michelle Comerford, industrial and supply chain practice leader at Biggins Lacy Shapiro & Co. “For U.S. manufacturers with domestic supply chains, this could create a competitive advantage — but for those reliant on imports, it adds cost pressures and more risks of disruption. We expect many firms will revisit sourcing strategies and accelerate plans for regionalized manufacturing footprints as a result.”
Comerford added that tariffs alone won’t be enough to drive reshoring for manufacturing but also noted they certainly are a catalyst for that. The challenge now, she said, will be navigating this policy shift while managing costs, timelines, supply continuity and other risks.
Michelle Comerford is the Industrial & Supply Chain Practice Leader at Biggins Lacy Shapiro & Co., one of the largest, most highly regarded site selection and incentives advisory firms in North America. BLS & Co. helps manage the complexities associated with finding optimal location and securing incentives to support new ventures. Michelle has recently been published in fDi Magazine, Inbound Logistics, Trade & Industry Development, Supply & Demand Chain Executive, among others.