Tariffs and the Promo Industry: Mitigating Risk

Update – July 10, 2025

The Tariff Roller-Coaster Just Clicked Up Another Hill

The White House hit “snooze” on the looming rate hike, sliding the start date to Aug 1 while mailing out tariff letters that reshuffle the deck yet again. Japan, Korea and Malaysia are looking at a firm 25% duty; Thailand, Indonesia and Bangladesh land north of 30%; Cambodia breathes a little easier at 36%. And if your sourcing country lines up with the BRICS bloc, tack on an extra 10% for good measure.

Why Promo Buyers Should Care:

Cost creep is back. That stainless-steel bottle you priced in June could jump another buck once the 25-50% metal and reciprocal layers stack up.

Country shuffles matter. Bangladesh and Cambodia still crank out tons of T-shirts and totes for company swag, but their new 35-36% tags mean budgeting extra for that onboarding kit.

Deadline déjà vu. Trump calls Aug 1 “firm—just not 100% firm,” yet insiders whisper the target could move again if deals solidify. Bet on volatility, not certainty.

Paperwork pile-up. Customs is already asking for extra HTS codes on kitted projects, so bake a few buffer days into that brand-experience marketing calendar.

What You Can Do Right Now:

Pop your product’s HTS code into Flexport’s free Tariff Lookup Tool to see today’s duty mix—including the Aug 1 rates—before you hit “approve” on that next batch of branded merch. It’s a 30-second gut check that can save a lot of long-term headache (and keep your customer service team from scrambling later).

Bottom Line

Tariffs may be on pause, but they’re not going away. Stay nimble, lock in quotes early, and lean on Imprint Engine to steer your promotional products sourcing so your brand identity—and your marketing campaign margins—stay on track, no matter how many plot twists hit between now and August 1.

Need help decoding the fine print? Your Imprint Engine rep is just an email away, ready to translate tariff jargon into plain-English numbers and smart brand-merch plays.

Update – June 4, 2025

The Tariff Plot Continues to Thicken

Tariffs on imported goods are still bouncing around: the White House won a last-minute court stay that keeps the “Liberation Day” 10% blanket tariff alive, metal duties just jumped to 50%, and a big batch of product exemptions got a short-term reprieve. All of that means landed costs for branded merch and company swag are moving targets—so budget a little cushion and double-check quotes before you green-light the next long-term marketing campaign. 

A Lot Can Happen in a Week

Liberation Day tariffs survive—for now
A trade court tried to knock them out last week, but a federal appeals panel granted the White House an emergency stay, so the 10% blanket duty is still on every invoice while the appeal plays out.

Metal duties doubled overnight
Early this morning, June 4th, the tariff on imported steel and aluminum jumped from 25% to 50%. The move caught Canada, Mexico and the EU off-guard and drew plenty of pushback, but it’s already in force—bad news for drinkware, multitools and other metal-heavy promotional products.

Paperwork is piling up
Customs and Border Protection published a 2025 Tariff Requirements Fact Sheet that asks importers for extra codes and bonds on anything custom-kitted. That slows down freight forwarders and can add a few days to lead-times for brand merch drops.

Global rumblings keep the pressure on
EU trade chiefs huddled in Paris today, warning they’re ready with €95 billion in counter-tariffs if the U.S. doesn’t blink. The rhetoric alone tends to spook factories and inch prices upward. 

Two Action Items To Stay the Course

1. Source beyond one country. Imprint Engine’s vetted global network of suppliers can cushion landed-cost swings and keep your promotional products pipeline steady.
   
2. Order earlier, store smarter. We can warehouse long-term inventory so your merch marketing stays on-schedule—even if courts flip tariffs overnight.
   

A Tool to Try Yourself

Want to see how today’s duties hit your next piece of company merchandise? Plug your product category or direct HTS code into Flexport’s free Tariff Lookup Tool. It already reflects the Liberation Day surcharge, the fresh 50% metal rate, and the newly extended product exclusions—so you can model landed costs before you pull the trigger on that big merch marketing order.

Tariffs may keep zig-zagging, but smart planning (and a quick cost check) will keep your branded merch, customer service promises, and overall brand identity on track.

Update – May 29, 2025

Tariffs Just Got Complicated Again. Here’s What Merch Buyers Need to Know.

Need to Skim?

Here’s the quick version:

• A federal court just tossed out a big chunk of the Trump-era “emergency” tariffs, which could pull back “Liberation Day” declarations if it holds.
• Regardless, China tariffs are down to 10% through August 12—but that reprieve is already getting messy.
• Freight rates jumped fast, and ocean delays are back in the mix.
• Canada Post may strike, but Imprint Engine shipments will keep moving.

A Big Legal Shift on Tariffs

On May 28, the U.S. Court of International Trade ruled that the government overstepped its authority in imposing certain “emergency” tariffs under the International Emergency Economic Powers Act.

Translation: This means that the following tariffs, if enforced, would become null and void:

• Trump’s 30% tariffs on China
• The 25% tariffs on Canadian and Mexican imports not covered by the USMCA
• The 10% baseline tariff on all imports
• Plus, the currently paused reciprocal tariffs on dozens of countries.

What this means for you:
Just like everything happening in the last few months, this is a wait and see. Tariffs and the promo industry have been a rollercoaster ride, and if there’s anything we’ve learned so far, everything could change in an instant, so let’s see how it plays out.

Your 90-Day Tariff Window: Now With Caveats

Whether or not the emergency tariffs get rolled back, there are still some large, current implications to account for. Back on May 14, the U.S. announced a 90-day reduction in Section 301 tariffs on many Chinese imports—from 34% to 10%. This gives merch buyers a temporary break on key categories like apparel, tech accessories, and drinkware.

But there’s a catch: a customs grace period for in-transit goods expired May 27. If your inventory is still crossing the ocean, it may now be subject to full tariffs.

What to do now:

• Move up any China-sourced orders you need for Q3.
• Review SKUs that typically carry higher duty rates.
• Confirm that any quotes assuming duty-free entry are still accurate.
• Mark August 12 as the date this current tariff relief may end.
  

Freight Costs Are Climbing—Fast

As expected, carriers wasted no time adjusting to the tariff reprieve. Several have implemented peak-season surcharges, and trans-Pacific rates jumped as much as 50% in a week.

Carrier	Surcharge Type	Route	Effective Date
CMA CGM	Peak-Season Surcharge	Asia to US/Canada	May 16
Maersk	PSS	India → US East/Gulf	May 20
Hapag-Lloyd	PSS	Med → North America	June 1

Add to that: the U.S. is considering a $1 million fee on port calls by Chinese-built ships. Some carriers are already rerouting to avoid it—which, of course, adds time and cost.

What you can do:

• Consolidate shipments to minimize per-unit freight costs.
• Check your carrier and vessel details—especially for ocean freight from Asia.
• Reserve space early, especially for oversized or seasonal items.

Panama Canal Delays and Parcel Surcharges

The Panama Canal has once again reduced daily transit slots. Expect East Coast deliveries to take 10–14 days longer than usual. In many cases, routing through the West Coast and finishing via rail is now the faster option.

On the parcel side, FedEx just raised its international fuel surcharge for Canadian shipments to 21.25%. Other major carriers are likely to follow.

Your move:
If you’re sending branded kits or merch across borders, factor in longer transit times and higher per-piece shipping costs—especially on smaller parcels.

Canada Post Strike? No Impact Here

The Canadian Union of Postal Workers issued a strike notice on May 20. A service disruption could begin as soon as May 31.

But here’s the good news: Imprint Engine shipments won’t be affected.

We use Parcel Direct with Delivery Duty Paid (DDP), which means we don’t rely on Canada Post for final-mile delivery. We also validate every shipping address and flag potential issues before your merch is in motion.

To ensure smooth delivery:

• Choose Parcel Direct with DDP for Canadian orders.
• Avoid PO Boxes—stick with street addresses.
• Double-check your data (consignee names, emails, origin declarations) to avoid hiccups.

What to Do Right Now

Here’s your action checklist:

1. Keep your eyes peeled for more news from us as it relates to the Tariff strike-down to see if anything you’ve done is affected.
2. Confirm that your in-transit China-sourced orders aren’t unexpectedly hit with new duties.
3. Pull forward key summer inventory before the 90-day tariff window closes.
4. Lock in new vendor quotes—prices are already shifting.
5. Reevaluate freight routing based on canal delays and rate hikes.
6. Use DDP and street addresses to sidestep Canadian delivery issues.

How Imprint Engine Helps You Stay Ahead

At Imprint Engine, we don’t just watch the market—we plan for it.

Whether it’s tracking shifting tariff policy, consolidating shipments to reduce costs, or routing your branded merch around delivery disruptions, we’re built to keep your campaigns moving without surprises.

From onboarding kits to large-scale brand activations, our team knows how to navigate complexity without slowing you down.

Have a project coming up? Let’s build a plan now—before the next round of trade drama hits.

UPDATE – MAY 12, 2025

U.S.–China Tariffs Take a 90-Day Breather

Just as we were hitting “publish,” on the latest update to tariffs and the promo industry, the White House and Beijing made a rare move: they hit pause. As of this morning, the two sides have agreed to roll back tariffs for 90 days. That means the sky-high 145% hit on Chinese goods drops to 30%, and China’s 125% countermeasure slides down to 10%. It’s temporary, but it’s real—and it reshuffles the deck yet again for anyone sourcing from the world’s biggest promo factory floor.

Why the pivot? Both sides are feeling the burn. U.S. retailers were bracing for higher shelf prices, and China’s exporters were losing ground fast. So, they called time-out. It won’t fix everything, but it could make Q3 shipping less painful—and Q2 buying way more strategic.

Still in play:

• April 2 “Liberation Day” order: A blanket 10% duty on every import. That’s now your starting line.
• Reciprocal tariffs: Still paused—but only for 90 days, and only some.
• China-specific surcharges: Down to 30% from 145%, but still hefty.
• De minimis is gone: Parcels from China, Hong Kong, and Macau—no matter how small—now clear with duty. That’s official since May 2.
• Mexico & Canada: If your goods don’t meet USMCA rules, expect 10%–25% levies tied to fentanyl and migration triggers.

Last Week’s News – U.S.–U.K. Metals & Autos Deal
Last week’s détente with the U.K. still stands: 232 duties on UK steel and aluminum are scrapped, and the first 100K UK-built cars per year now drop to the baseline 10% rate.

Why it Matters for Merch Buyers

• Sourcing from China? The clock’s ticking. That 90-day tariff dip might make high-volume China projects pencil again—if you act fast.
• Got a “Made in Britain” brief? Think double-wall drinkware, etched metals, banner gear. The U.K. deal shaved 15%+ off landed cost.
• De minimis killed small-parcel duty-free from China, but larger bulk buys just got cheaper for a limited time.
• Diversifying still pays: This truce could unravel—or expand to new regions. Either way, ally sourcing lanes (like EU, LATAM, South Asia) are more valuable than ever.

How We’re Staying Ahead of Tariffs and the Promo Industry Challenges:

• Multiple price checks, one ask. Want to compare China’s new rate vs. Vietnam or India? We can price them all side-by-side, so you choose risk versus savings.
• Pivot-ready production. Our global factory network is built to absorb shocks. If China goes hot or cold, we’ve got options.
• Pre-buy strategy. Lock in blanks now while the numbers look good. Decorate later—duty saved, timeline intact.

Action Checklist

1. Pursue China orders now to ride the 90-day tariff relief wave
2. Request an updated landed-cost snapshot—rates may have shifted in your favor
3. Keep your sourcing brief flexible. Ally deals are evolving fast
4. Stock up this quarter for fall launches to lock in today’s lower costs

We’re still leaning hard on our factory partners and freight teams to absorb what they can, so your numbers stay steady. Want help pressure-testing your current spec against this week’s headlines? Just ask.

We’ve got our eye on the trade wires—so your merch stays on time, on brand, and on budget.

February 20, 2025

The global trade landscape is shifting rapidly, and tariffs and the promo industry are more interconnected than ever. With existing tariffs on Chinese imports as high as 25%—and proposals for even steeper duties on goods from China, Canada, Mexico, and beyond—pricing uncertainty is a growing concern for businesses that rely on branded merchandise.

What’s at stake?

For industries dependent on global supply chains, tariffs in the promo industry don’t just mean higher costs—they require agility, strategic sourcing, and proactive problem-solving. At Imprint Engine, we’ve been preparing for this moment for years. Our supply chain strategies ensure that no matter how trade policies shift, you get high-quality products at the best possible prices.

How We’re Staying Ahead of Tariffs and the Promo Industry Challenges

1. Diversified Sourcing for Maximum Flexibility

We don’t rely on any single country for production. Our global network includes factories in Vietnam, India, Bangladesh, the EU, and the Americas, allowing us to pivot swiftly when tariffs increase. This flexibility is crucial for keeping costs down without compromising quality.

• Example: We’ve already transitioned much of our apparel production from China to Vietnam and Bangladesh, reducing exposure to tariffs in the promo industry while maintaining top-tier product standards.

2. Locked-in Pricing to Minimize Surprises

Strong supplier relationships allow us to negotiate stable pricing even in volatile markets. By securing bulk inventory and establishing long-term agreements, we help clients avoid unexpected cost spikes.

• Example: We recently worked with a key factory partner to lock in bulk pricing for print materials, shielding our clients from tariff-driven price increases in the promo industry.

3. Localized Production to Reduce Costs and Delays

By leveraging regional manufacturing, we cut down on shipping costs and bypass certain tariffs entirely. Our expanded European production capabilities support global brands efficiently, while our near-shore options in Central and South America offer alternatives for U.S. clients.

• Example: We’ve shifted select signage production to U.S.-based manufacturers, helping clients sidestep tariffs in the promo industry while maintaining brand consistency.

4. Smarter Solutions to Keep Costs Under Control

We go beyond just shifting suppliers. Our team actively explores alternative materials and innovative product designs that avoid tariff-heavy classifications without sacrificing quality.

• Example: When tariffs increased on steel and aluminum imports, we sourced alternative materials for reusable drinkware to maintain competitive pricing.

5. Real Understanding of Tariff Impact

A 10% tariff doesn’t always mean a 10% price increase. Since tariffs apply to Freight on Board (FOB) costs rather than final retail pricing, actual price hikes are often in the 4-7% range. We leverage these nuances to develop cost-saving strategies that keep your budgets intact.

6. A Balanced Approach to U.S. vs. Overseas Production

Moving everything to domestic production isn’t always the answer—U.S. manufacturing often remains more expensive than even tariff-affected imports in the promo industry. Instead, we take a strategic approach, balancing domestic and international sourcing to optimize cost, speed, and quality.

7. Continuous Expansion of Our Factory Network

We don’t just react to changes—we stay ahead of them. By constantly evaluating and onboarding new suppliers that meet our high standards for quality, ethics, and sustainability, we ensure that we always have the best sourcing options available.

What This Means for You

The trade landscape may be uncertain, but your promotional product strategy doesn’t have to be. By partnering with Imprint Engine, you benefit from:

Minimal Price Disruptions – Our proactive sourcing approach helps keep cost increases to a minimum.
Early Order Advantage – Planning ahead can lock in the best pricing before new tariffs in the promo industry take effect.
Creative, Cost-Saving Solutions – We always explore alternative materials, suppliers, and production strategies to optimize your budget.

The Bottom Line

Tariffs and the promo industry are evolving, but they don’t have to disrupt your budget—that’s where we come in. Our expertise in navigating trade complexities ensures you can focus on growing your brand while we handle the logistics and pricing challenges.

If you have upcoming projects and want to discuss how we can help you stay ahead of pricing shifts, let’s connect. We’re always thinking a few steps ahead—so you don’t have to.

📩 Let’s talk strategy. Reach out today to discuss the best approach for your next campaign.