What The New Tariffs Mean For Your Brand - Even US Brands

Hey everyone,

As I’m sure you’re all aware…

There’s a massive shift happening for anyone who sells into the U.S. from Canada, Mexico, or China—and it starts now. As of March 4th, the U.S. has slapped a 25% tariff on pretty much everything crossing the border from Canada and Mexico.

And if that wasn’t enough? China is back in the crosshairs.

The U.S. has also increased tariffs on Chinese imports from 10% to 20%, with even more hikes coming later this year. On top of that, China has responded with its own tariffs on U.S. agricultural products, which means supply chains and costs are about to get even more unpredictable.

Let’s break this down into what’s actually happening, what it means for your brand, and what you need to do in the next few months to protect your business.

What’s Changing Right Now:

Canada & Mexico:

• 25% Tariffs are live on almost all goods from Canada & Mexico.
If you’re shipping anything from Canada or Mexico into the U.S., it’s now 25% more expensive for your customers.

• U.S. customers are in for a shock.
Most U.S. consumers don’t even know these tariffs exist yet. They’re going to see price jumps and wonder what’s going on.

• Fulfillment and supply chains are taking a hit.
Brands that rely on Canadian or Mexican fulfillment will need a serious rethink. Shipping into the U.S. from these countries just got a lot more expensive.

China:

• Tariffs on Chinese imports have doubled from 10% to 20%.
If you’re sourcing products or raw materials from China, your costs just went up—and could increase even further if another round of tariffs gets approved.

• China is hitting back.
In response, China has imposed its own tariffs on U.S. agricultural goods. While this doesn’t directly hit eCommerce, it adds pressure to global supply chains and could impact broader inflation.

• More restrictions may be coming.
There are discussions about additional measures targeting Chinese imports, so if you're sourcing from China, this is just the beginning.

The De Minimis Rule (321 Exception) – Still Here (For Now)

One small saving grace—the $800 de minimis rule is still in effect, meaning orders under $800 can still cross the U.S. border duty-free.

But let’s be clear: this won’t last. The Trump administration is aggressively looking to close this loophole, and there’s heavy lobbying to make it happen.

If your business depends on de minimis to ship affordably into the U.S., you need a backup plan now.

What This Means for Your Brand in the Next 90 Days

If you’re selling into the U.S. from Canada, Mexico, or China, here’s what you should be doing right now:

Reassess Your Pricing:

• Can you share some of the cost with customers?

• Do you raise prices across the board?

• Do you absorb part of it and cut costs elsewhere?

Waiting too long to adjust will crush your margins.

Rethink Your Fulfillment Strategy:

• If you're shipping from Canada or Mexico, should you move inventory into the U.S. to avoid tariffs?

• If you're sourcing from China, do you need a backup supplier in another country?

• Do you shift some production to the U.S. or another low-tariff country?

These are decisions you need to make now, not later.

Diversify Your Markets:
If 90%+ of your sales are U.S.-based, you’re way more vulnerable than you were a week ago. It’s time to think about:

• Pushing harder into Canada (yes, even with our annoying import rules).

• Exploring markets like Europe, Asia, and Australia where these tariffs don’t exist.

 Lean Into Your Brand Story:
If you’re competing purely on price, these tariffs will wipe you out. If you stand for something—premium quality, sustainability, craftsmanship—this is the time to lean into it hard and justify the higher price points.

Stay on Top of Policy Changes:

• The tariff list could expand (more products could get hit).

• De minimis could disappear (meaning every shipment, no matter the size, could get taxed).

• Canada and Mexico may retaliate (which could mess with suppliers and fulfillment options).

This isn’t a one-time event—it’s an ongoing shift. Be ready to pivot.

Jordan West