Future-Proofing Supply Chains: What Tech Can Do About Tariffs

Rising and expanding tariffs, shifting trade agreements, and geopolitical risk can upend sourcing and shipping strategies overnight, unless your systems are built for agility. A strong supply chain tech strategy helps you monitor risk, reroute product flows, and respond faster to cost pressures.

The Impact of Tariffs

Tariffs and duties can erode margins with little warning. This is especially tricky because tariff enforcement can change quickly, and not all tariffs impact your supply chain equally.

For example, under recent “reciprocal tariff” regimes, businesses sourcing from different regions within the same country can face dramatically different tariff rates. A slight change in product origin classification can mean tariff differences ranging from 10% to 50%, significantly affecting your cost of inventory, cost of goods sold and operating profits.

The risks of being unprepared include:

• Sudden cost spikes on imported goods
• Inaccurate landed cost forecasting
• Delays or rework from incorrect origin classification
• Lost margin due to missed duty drawback opportunities
• Transfer pricing implementation and compliance issues from tariff expense allocation

Dive Deeper: WEBINAR ON DEMAND: Navigating Tariffs

The Three Tariff Action Areas for U.S. Businesses

Tariffs are becoming a significant challenge for many businesses. Over half of mid-market manufacturers cite supply chain disruption as a top concern, and almost 70% of manufacturers are looking to reshore due to trade policies and tariffs.

We recommend focusing on these three critical areas:

Worldwide Tariff Policy Guidance

• Continuously track global policy changes, trade agreements, and tariff updates.
• Maintain precise Harmonized Tariff Schedule (HTS) codes and product classifications.
• Stay proactive with policy optimization to reduce exposure.

Policy Optimization and Risk Mitigation

Operational Mitigation Strategies: 

• Realign supply chains geographically to avoid high-tariff zones.
• Increase vertical alignment on a territorial basis to control cost and compliance.
• Utilize Foreign Trade Zones (FTZs) and Temporary Importation under Bond (TIB) programs for duty deferral or reduction.

Contractual and Financial Mitigation Strategies:

• Implement First Sale for Export strategies to optimize duty payments.
• Optimize product classifications to ensure the lowest possible tariffs.
• Refine customs and transfer pricing methods to align with changing tariff realities.

Implementation, Monitoring, and Compliance

• Use financial modeling and forecasting to quantify tariff impacts on margins and cash flow.
• Conduct ongoing tax impact assessments to adjust strategies proactively.
• Leverage broker and trade compliance managed services to ensure adherence and reduce risk.

The Role of Technology in Tariff Readiness

Technology is your best defense in a shifting tariff environment. Forward-focused organizations are using:

• Supply chain analytics to model sourcing changes and vendor risk
• Custom dashboards that layer landed cost, duties, and currency exposure 
• AI and RPA to speed up customs classification and document management 
• ERP systems that unify real-time data across purchasing, logistics, and finance 

Technology won’t eliminate tariffs, but it can give you the speed and intelligence to respond effectively.

Build a Tariff-Resilient Supply Chain

Trade shifts are no longer once-a-decade events Your technology and sourcing strategy must be built for that reality.

Start by:

• Mapping your supply chain to the country and component level to spot tariff risk gaps.
• Incorporating tariff, duty, compliance, and transfer pricing data into your analysis.
• Running “what-if” scenarios that model sourcing shifts and policy updates, including economic impact assessments.
• Building dashboards that unite purchasing, logistics, finance, and tax teams for coordinated decision-making.

Focus particularly on high-risk areas for tariff exposure:

• Jurisdictions subject to high “reciprocal” tariffs
• Electronics and components
• Construction materials (e.g., steel, aluminum)
• Chemicals and manufacturing inputs
• Food imports and perishables
• Consumer goods with complex origin structures

Real World Example: How KURU Responded to Tariff Disruption

When new U.S. tariffs were enacted in 2025, KURU Footwear faced an urgent need: they had to onboard a new U.S.-based warehouse immediately.

Thanks to earlier technology investments, they were ready.

• Scalable Platforms: KURU implemented NetSuite and Boomi, cloud-based tools designed to grow with business needs.
• Efficient Integration: The company collaborated with Eide Bailly to develop scalable integrations, aiming to eventually bring all processes in-house.
• Collaborative Execution: Eide Bailly and the warehouse partner aligned quickly to design, build, and test the new workflows.

That kind of agility didn’t happen by accident. It was made possible by a tech strategy focused on integration, scalability, and adaptability — the exact traits required in a tariff-disrupted environment. 

Tariffs Are Here — Are You Ready?

Tariffs may be unpredictable, but your response doesn’t have to be. With the right systems in place, you can identify risks early, adapt quickly, and protect your margins.

Now’s the time to build the agility your supply chain needs for whatever comes next.