New US Tariffs Are Reshaping Supply Chains – What’s Next?

The U.S. government just hit global trade with a sledgehammer. And it’s already shaking up how companies approach manufacturing, logistics, and supply chains. Let’s get into what these new US Tariffs means for your business.

What Just Happened?

President Trump has rolled out steep new tariffs across the board—

• 10% on all imports
• Up to 104% on Chinese goods
• 25% on auto imports
• Even retaliatory tariffs for countries that respond in kind

The message is clear: manufacture in America, or pay the price.

And it’s not just politics—these tariffs are reshaping long-standing global trade norms overnight.

What Does This Mean for Supply Chains?

The era of offshoring everything to save on labor? It’s winding down fast.

These tariffs are:

• Driving up landed costs from Asia and other high-tariff zones
• Slamming the brakes on just-in-time inventory strategies
• Forcing companies to rethink sourcing from Tier 1 to Tier 3 suppliers
• Accelerating nearshoring and reshoring conversations in U.S. boardrooms

Automation investments in reshoring manufacturing facilities are expected to grow at a CAGR of 12% through 2030 due to rising labor costs and efficiency needs.

We’re already seeing a shift. Companies like Apple, Eli Lilly, and TSMC are investing billions to manufacture on U.S. soil. And supply chain consultants (like me) are busier than ever mapping out Plan B for global networks.

What to Expect Next?

There’s still uncertainty—new US tariff policies are moving targets—but here’s what’s coming:

• Reshoring + Nearshoring will surge. Mexico, Canada, and parts of Latin America will benefit big time.
• Supplier diversification becomes critical. One-country dependency? That’s over. By 2024, over 70% of global companies reported diversifying their supplier base to reduce dependency on single countries like China. Read more about improving supply chain resilience with diversified supplier base strategies in our article, Supply Chain Resilience: Strategies with Diverse Suppliers.
• Logistics networks will get rebuilt. New DCs, new port strategies, and shifting modes (rail, intermodal, etc.) are already happening.
• Tech will lead. Automation, AI-driven procurement, and digital twins are tools companies will lean on hard to manage this shift efficiently.

Are We Watching the End of Globalization?

Not quite.

While these tariffs may mark the end of “cheap global trade as we knew it”, they don’t mean the U.S. will close itself off.
The U.S. still depends on raw materials, rare earths, and certain pharma inputs from abroad.

What we’re entering is a new phase of globalization:

• One that values resilience over cost
• One that leans on tech, automation, and AI
• One where companies manufacture closer to where they sell

Logistics Impacts Are Already Real

We’re seeing it on the ground:

• Higher shipping costs due to diversified, longer-haul routes
• Demand spikes for warehousing and bonded facilities near U.S. ports
• Carrier re-routing as import flows shift away from traditional China-to-West Coast corridors
• Cross-border logistics planning from Mexico is rising sharply

If your network still depends on a China-heavy supply base, now is the time to act.

Long-Term Strategy: Don’t Panic—Plan

We’re in transition. There will be:

• Missteps
• Overcorrections
• Even some reversals

But businesses that adapt early and build flexibility into their supply chains will come out stronger.

The smart move?
Start with a full supply chain audit. Assess exposure. Rebalance sourcing. Model total landed costs, not just unit price.

Tariffs are here. The faster you adapt, the bigger the advantage.

Final Thoughts

This isn’t a temporary blip. It’s a fundamental shift in global trade dynamics.

But no, it’s not the end of global supply chains. It’s the beginning of smarter ones.

• Logistics will evolve.
• Manufacturing will move.
• And strategic, tech-driven supply chains will win.

If you’re unsure how exposed your current network is—or how to start reshoring or nearshoring—we’d be happy to walk you through a step-by-step roadmap.

This is the moment to rethink your strategy.