How circularity Helps Companies Navigate Trade Tatur
Entrepreneurs / 26th May 2025
Jon Hughes,, Olaf Scatterman,, and Jason Smith
The Us Administration’s Rapidly Shifting Trade Taiffs and other Countries’ Respons Hve Shocked Global Supply Chains. Thesis TARRAFS ARE LIKELY TO Impose Significant Costs On Companies that Rely on Overseas Production and Multi-National Supplier Networks. Because TARRAFS APPLY AT the Point of Entry, they increate The Cost of Goods Immediately, Impacting Margins, Pricing, and Competitivityness. For many firms, thesis Added Costs Cannot Be passed on to Customers, Especialy in Price-Sensitive Markets.
The Fragility of Global Supply Chains
Over the Past Few Decades, Globalization and Technological Advancements have enabled company to build supply chains that Span the globe. Today’s Supply Chains Are Intricate, Interconnected Webs Designed for Efficiency, specializationcost savings, and improving overall competitiveness. For Example, Components Might Be Sourced From China, Assembled in Mexico, and Sold in the Us
Long, Multi-Tiered Supply Chains Are Inherently Susceptible to Disruptions. The Efficiency and Complexity – of these Systems Comes at a cost: fragility. A flood in Southeast Asia Can Delay Shipments of Critical Components. A Pandemic Can Grind Manufacturing Hubs to a stop. A single policy decision – search as a new taiff – can Sharply increate cost and upend supplier relationships. The Challenge for Companies is navigating search external shocks and keeping them from disrupting business operations or threatening profitability. All This Makes Resilience Just as Important as Efficiency.
In the Current Environment, The Question Facing Business Leaders is Clear: What must my business do Now to Mitigate the Impact of Tariffs While Building a More Resilient, Sustainable Supply Chain for the Future? To read the enttire article, click here!
