How Rush Order Clients Are Navigating the Latest US Import Tariffs
As US import tariffs continue to shift on an almost daily basis, brands relying on global manufacturing and supply chains are facing increasingly tough decisions. At Rush Order, we’re seeing our clients adapt quickly and creatively. In this post, we’re highlighting six real-world strategies companies are using to reduce tariff exposure—and the pros and cons of each.
Whether you’re currently facing tough choices or simply want to be prepared, we hope one or more of these tactics can help with your brainstorming.
1. Ship Directly to US End Users Under the De Minimis Threshold
What’s Happening:
Some Rush Order clients are rushing to ship product directly to US customers before the $800 de minimis exemption ends on May 2, 2025. Under this rule, goods valued under $800 shipped directly to a consumer avoid tariffs entirely.
Pros:
No tariff charges
Works well for high-margin, lightweight items
Cons:
High international shipping costs per unit
Many overseas CMs are not equipped for direct-to-consumer fulfillment
Difficult to manage returns and customer service for international shipments
Limited window to act—this option may be off the table depending on when you're reading this
2. Raise Prices and Take Pre-Orders While Delaying Imports
What’s Happening:
One client is raising its product price from $119 to $139 while taking pre-orders, all while delaying its next import batch with the hope that the tariff situation improves.
Pros:
“Keeps the lights on” and provides immediate cash flow
Buys time to monitor tariff developments
Helps offset expected tariff costs
Cons:
Delayed shipping can lead to a relatively poor customer experience
Risk of customer pushback on price increases
Pre-order models add operational complexity and customer service overhead
3. Shift Focus to International Markets
What’s Happening:
Clients are diverting inventory and advertising dollars to lower tariff / duty markets like Canada, the UK, the EU, and Australia. Packaging in US English language is often sufficient for these markets, enabling quick pivots.
Pros:
Avoids US tariffs altogether
Enables revenue continuity
Rush Order can rapidly implement this strategy with its global fulfillment footprint
Cons:
May require regulatory or labeling adjustments depending on the market
Almost certainly requires government registrations and in-country tax registrations (e.g. VAT, GST, HST, etc.). These registrations can be completed with relative ease. Rush Order helps with this. Contact us if you are interested in exploring potential solutions.
Shipping costs and delivery times vary by region. Some better, some worse.
More on this strategy:
👉 How Global Diversification Can Shield DTC Brands from Tariffs
4. Land Inventory in Canada or Mexico First
What’s Happening:
Rather than shipping goods directly into the US, some brands are importing to Canada 3PL or Mexico 3PL. This includes diverting current containers on the water en route to the US. They’ll wait to move inventory into the US once (or if) tariffs subside—or just ship directly to US customers from there.
Pros:
Keeps inventory close to the US market for future use
Creates flexibility for future fulfillment decisions
May support localized marketing in Canada or Latin America
Cons:
This is a gamble on future tariff reductions
Adds warehousing and logistics costs / complexity
Not all 3PLs are equipped for this—Rush Order is
5. Explore a China +1 Manufacturing Strategy
What’s Happening:
To reduce dependency on Chinese production and the associated tariffs, some clients are exploring a “China +1” approach—adding another manufacturing hub in a different country.
Pros:
May significantly reduce tariff exposure over time
Adds supply chain resilience
Appealing for investors and long-term planning
Cons:
High upfront costs and operational disruption
Long lead times to set up new manufacturing
Still speculative—tariff policies can change
6. Utilize Bonded Warehouses or Free Trade Zones
What’s Happening:
Another strategy involves bringing goods into a bonded warehouse or foreign trade zone, deferring tariffs until the product is pulled for domestic delivery.
Pros:
Delays tariff payments
Provides more time to evaluate evolving policies
May help with cash flow planning
Cons:
Bonded warehouse space is in high demand
Not a long-term solution—tariffs are still due upon distribution
May not be viable for short-term or smaller-scale operations, as these service providers may only be seeking long term partnerships
Final Thoughts
Unfortunately, there’s no one size fits all approach to navigating higher US tariffs. Each brand’s product, cash flow needs, and customer expectations are different. This is why Rush Order supports flexible, global logistics strategies that adapt to these types of disruptions.
If you’re looking to brainstorm a path forward or explore how these strategies might work for your brand, we’re here to help. Contact us to speak with a global fulfillment expert.