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Showing posts with the label Supply Chain

Trump Raising South Korea Tariffs

  A recent announcement could result in President Trump raising South Korea tariffs to 25%. In a January 26 social media post, Trump threatened to increase South Korea’s import levies from 15% to 25%. The president further stated that the increase will apply to imports, including automobiles, lumber, and pharmaceutical products. Goods subject to Trump’s original baseline reciprocal tariffs will also be affected by the duties.  The US initially lowered tariffs on South Korean goods from 25% to 15% as part of a trade deal in July 2025 . South Korean officials were caught off guard by the announcement and are planning to speak with the US about the issue. Why Is Trump Raising Tariffs on South Korean Imports? President Trump’s primary reason for raising tariffs on South Korea is its failure to ratify a trade deal. In 2025, both countries agreed on a trade and investment framework valued at approximately $350 billion. The deal included the US lowering tariffs on specific Korean imp...

Trump Threatening A New 25% Tariff

  A recent announcement has President Trump threatening a new 25% Tariff on Iran’s trading partners. On January 12, the President announced the levies on a social media post. Notable countries that the tariff could affect include India, China, the United Arab Emirates, Turkey, and others. Although the White House has not published final guidelines, Trump noted that the decision was “final and conclusive”. With the Supreme Court currently examining the legality of other tariffs issued by Trump, this announcement further heightens uncertainty. Why Is Trump Threatening A New 25% Tariff on Iran’s Trading Partners? The primary reason for the 25% tariff is ongoing geopolitical tensions. Ongoing protests in Iran resulted in casualties of over 2000 people, and the tariff is a pressure against it. Trump recently stated, “If Tehran violently kills peaceful protesters, they will come to their rescue.” The president issued similar “secondary tariffs” last year for countries that buy oil from V...

White House Delaying Tariffs

An announcement from President Trump has led to the White House delaying tariffs until 2027. In particular, Trump is postponing planned tariff hikes on imported furniture products for one year. Some of these products include upholstered furniture, kitchen cabinets, and vanities. In September 2025, Trump imposed a 25% tariff on these goods and planned to raise it to 50% in 2026. The White House recently signed an order postponing the increase, which took effect on January 1, 2026. This delay is part of a rollercoaster of   tariff enforcement   and reversals that has impacted the US in 2025. Why Is The White House delaying tariffs? The decision to delay a tariff increase follows the Trump Administration’s announcement of ongoing positive negotiations with trade partners. A significant issue was national security concerns related to the importation of wood products. The president initially imposed the 25% tariffs after a Section 232 investigation found that an overreliance on for...

Exporting Out Of The US

  While it is an excellent opportunity for shippers, there are numerous challenges associated with exporting out of the US. The US is one of the world’s largest exporters and an ideal location for reaching other markets. Due to its popularity, US manufacturing companies and individual shippers have benefited from shipping internationally. Despite the benefits, exporting can pose obstacles for both experienced and inexperienced shippers. Failure to understand what to expect and how to prepare can lead to delays, financial losses, and cargo losses. This article explains the challenges of exporting from the US and how to avoid these disruptions. What Are The Challenges Associated When Exporting Out Of The US? One of the most significant challenges a shipper can face when exporting from the US is regulatory compliance. There are numerous agencies governing exportations. Examples include the US Customs and Border Protection (CBP) and the Bureau of Industry and Security (BIS). Exporters ...

Importing Machinery Into The US

  Despite its use across industries, there are several aspects shippers should understand when importing machinery into the US. CBP defines machinery as mechanical equipment that performs a specific function, including equipment used in commercial, industrial, and agricultural operations. Machines also have moving parts to produce, process, or transport goods. Examples include construction equipment, robotics, and electric generators. Cargo such as raw materials, hand tools, and individual spare parts is not classified as machinery by CBP. Due to the number of items that shippers can classify as machines, importing these goods may sometimes be challenging. This article explains the importation process for machines like heavy equipment and what to expect when starting. What Should You Know Before Importing Machinery Into The US When deciding whether to import, it is essential to understand the type of machinery you are bringing in. Laws and regulations for importing can vary by mach...

China Hit A $1 Trillion Trade Surplus

China hit a $1 trillion trade surplus for the first time on December 8. Over the last 11 months of 2025, China’s surplus reached $1.08 trillion, beating 2024’s $992 billion amount. A trade surplus is the value of how much a country exports that exceeds its imports. In 2025, China’s exports rose to nearly $3.4 trillion while its imports declined to $2.3 trillion. Exports from China rose almost 5.9% year-over-year in November alone, while imports grew about 1.9%. The $1 trillion figure is also significant, given the ongoing  trade war between China and the US . With China exporting less cargo to the US, the resulting surplus could significantly impact international shipping. How Did China Hit A $1 Trillion Trade Surplus? When President Trump returned to office, the trade war between the US and China escalated. Tariffs imposed by both countries soon rose above 100%  until they reached a trade deal . The surplus stems from the actions China took following Trump’s 2024 election vic...

US Reducing South Korea’s Tariffs

  A bilateral trade deal is resulting in the US reducing South Korea’s tariffs on imports. On December 1, Commerce Secretary Howard Lutnick announced that the US will reduce levies to 15% retroactively to November 1. Previously, the US imposed tariffs of up to 25% on South Korean automobiles and other goods. The 25% came from duties the US used under Section 232 of the Trade Expansion Act. Reciprocal tariffs that President Trump imposed under the IEEPA (International Emergency Economic Powers Act) also added to the 25%. In addition to reducing duties to 25%, tariffs on airplane parts from South Korea will be eliminated. The deal will also cap future tariffs on sectors such as semiconductors and Pharmaceuticals at 15%. Why Is The US Reducing South Korea’s Tariffs? The main reason for the tariff reduction is a trade deal between the two countries. Along with the US reducing levies, South Korea will invest approximately $350 billion into strategic US industries. Some of these industri...

Top US Coffee Importer Shifting

The international shipping industry could soon see the top US coffee importer shifting from Brazil. Responsible for nearly 30% of the unroasted coffee brought into the US each year, Brazil is the US’s largest supplier. However, in October, both Peru and Colombia overtook Brazil in the amount of coffee beans imported into the US. Other countries, like Mexico, and producers in Africa and Southeast Asia have also seen a significant growth in coffee imports. In May of 2025, the total amount imported from all countries exceeded 4600 TEUs. This article will explain the reason for the change in   coffee imports   and what it could mean for the shipper. Why Is The Top US Coffee Importer Shifting? A primary reason for the change in coffee-importing countries is President Trump’s tariffs. Since his return to office, Trump has been imposing levies on the US’s biggest trade partners. Some of the justifications include addressing unfair trade practices and strengthening the US economy. In ...

US Cutting Tariffs On 200+ Items

  An executive order signed by President Trump on Friday, November 14, has the US cutting Tariffs on 200+ Items. More specifically, the levies that Trump placed on over 200 classifications and eleven categories of agricultural products are now exempt. Some of these food products include beef, coffee, avocados, cashew nuts, tomatoes, and more.  On April 5, 2025, Trump began enforcing a 10% baseline tax on all imports into the US.  He imposed them under the IEEPA (International Emergency Economic Powers Act (IEEPA) declaring it a national emergency. The recent order will remove specific agricultural goods from the reciprocal tariffs. This article explains the purpose of the exemption and what it will mean for international shipping. Why is the US Exempting Tariffs On Agricultural Products? President Trump’s main reason for the tariff rollback is the administration’s progress on numerous trade deals. Since imposing tariffs, the US has reached “framework” deals with agricultu...

Trump Is Raising Canada Tariffs

President Trump is raising Canada tariffs by 10% after an announcement on October 25. In a social media post, Trump said he would increase duties on Canadian imports due to a TV ad. The president will add the 10% to previously imposed tariffs, raising the total amount to 45% for certain goods. Canadian imports have been subjected to a 35% tax since August 1. The tariff increase will not affect importations that fall under the USMCA (United States-Mexico-Canada Agreement). Trump has not yet specified the scope of the latest raise and what goods will be affected. This article will explain Trump’s goal behind the tariff increase and its impact on shippers. Why Trump Is Raising Canada Tariffs By 10%? The 10% rise came after Canada aired a TV ad featuring former president Ronald Regan criticizing tariffs. Trump immediately responded by calling the advertisement a fraud and stating, “All trade negotiations with Canada are hereby terminated”. The Ronald Regan Presidential Foundation also issu...

IEEPA Tariffs Impacting Small Importers

  While less talked about than large corporations importing into the US, shippers have seen the IEEPA tariffs impact small importers. Smaller and mid-sized importers like mom-and-pop stores have suffered significantly from President Trump’s IEEPA taxes. Earlier this year, Trump used the IEEPA (International Emergency Economic Powers Act) to impose reciprocal levies for most US importers.  After an appeals court ruled the levies Illegal, the Supreme Court agreed to hear the case on an expedited schedule.  With the case going to the Supreme Court next month, smaller importers have a high level of uncertainty. This article will explain the potential impact on smaller importers and how to protect their cargo during this time. How Are The IEEPA Tariffs Impacting Small Importers? The impact of Trump’s IEEPA tariffs on small to mid-sized importers may depend on the Supreme Court’s final ruling.  Shippers could be eligible for a refund if the court decides the tariffs are il...

US-China Trade War Continues

The US-China Trade War Continues, with the Chinese government recently charging port fees on US ships. On October 14, China began imposing fees on US-owned vessels docking in Chinese ports. The charges came after both countries agreed to reduce reciprocal tariffs imposed on each other. By April, the US had levies on China up to 145% while China had up to 125%.  In May, the countries agreed on a 90-day truce and reduced the tariffs to 30% (US) and 10% (China).  The countries extended the pause to November 10, before China retaliated with new port fees. President Trump responded by announcing that he will impose a 100% tariff on Chinese imports starting in November. Why Are The Countries In A Trade War? China and the US have been in a trade war for years due to issues such as trade imbalances and intellectual property (IP) theft, and both countries are trying to protect their economic interests. The US is also fighting against the inflow of drugs, with China being the most popul...

IEEPA Tariffs Supreme Court Ruling

  President Trump’s IEEPA tariffs Supreme Court ruling could potentially reshape international trade.  On November 5, the Supreme Court will hear two consolidated cases – Learning Resources v. Trump and Trump v. V.O.S. Selections.  In V.O.S. Selections vs Trump, the US Court of Appeals argues that the IEEPA does not authorize sweeping tariffs. Trump recently used the IEEPA (International Emergency Economic Powers Act) to impose reciprocal tariffs for most US importers. Due to the situation’s urgency, the Supreme Court agreed to review the case on an expedited schedule. The outcome of the ruling may significantly impact trade for shippers and the US government. What Are The Major Risks for Trade From Trump’s IEEPA Tariffs Supreme Court Ruling? The Supreme Court’s ruling has various risks, including redefining presidential authority over trade and policy. If the court rules against the Trump administration, the scope of what presidents can do under IEEPA may ...