Competitive Edge
May 7th, 2025
Stay Current with InterlogUSA
Questions about Tariffs?
Feeling unsure about how tariffs might affect your goods? Whether you’re exploring exemption options or just need a clearer picture, we’re here to help. Send us an email at [email protected]
Market Update
Tariffs:
The 25% tariff (Section 232) that has been imposed on imported automobiles, auto parts, and articles/derivatives of steel and aluminum will still remain, but those will not be subject to the reciprocal tariffs, per a presidential Executive Order. The Trump Administration also has said reimbursements will be provided to automakers who have already paid the double tariffs, as CBS News reports.
The initial 25% tariffs on autos/auto parts, imported steel and aluminum took effect on March 12th. Certain exclusions apply, including imports that comply with the USMCA.
Port Congestion: In past weeks/months some ports in North Europe have been dealing with congestion, and people close to the situation expect that to continue this summer. Some of the factors for this congestion is schedule reliability, new phases of carrier alliance networks, and more.
Air cargo:
According to the International Air Transport Association (IATA), global air cargo volumes grew by 4.4% year-over-year in March. Several factors may have contributed to this increase, including the typical rebound following a slower February, a year-over-year decline in jet fuel prices, and ongoing uncertainty surrounding tariffs.
SHIPS for America Act Re-Introduced
SHIPS for America Act was re-introduced last week by a variety of U.S. Senators as well as U.S. House of Representatives. In a press release from Senator Mark Kelly, a co-sponsor of the bill, said they hope this legislation will “close the gap and boost the U.S. Merchant Marine by establishing national oversight and consistent funding for U.S. maritime policy.”
Within the bill includes a goal of expanding the U.S.-flag international fleet by 250 ships in 10 years as part of a new program called the Strategic Commercial Fleet Program. As well as, expanding the U.S. shipyard industrial base by having a 25% investment tax credit for shipyard investments. It also requires that in 15 years, 10% of all cargo imported from China must be transported on U.S.-flagged vessels from 50% to 100%, as Freightwaves reports.
Did You Know? With Johnny Cargo!
Answer: B – Twenty-Foot Equivalent unit
InterlogUSA’s chat bot Johnny Cargo sure is an inquisitive soul. However, he doesn’t just ask about industry-related trivia. Johnny also loves to ask supply chain professionals about their shipping arrangements and which areas can benefit from InterlogUSA’s assistance as an end-to-end freight forwarder.
He works around the clock and is always available for conversation.
Tariff Volatility: A Best-In-Class Import Strategy
1. Audit Your HTS Codes
2. Get set up for PMS. Interested? We can help with this.
3. Use both fixed and spot market rate providers
4. Choose agility over routine – capacity is disappearing.
If you’re buying from China, now is the time to dial in your import strategy. With capacity shrinking, political pressure mounting, and tariff volatility staying on the horizon, doing nothing is not an option.
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