Trump's Tariff Onslaught: Expert Strategies to Shield Your Business from Soaring Costs
- Schulz Trade Law
- 2 days ago
- 4 min read
Updated: 17 hours ago
Trump's Tariff Onslaught:
Expert Strategies to Shield Your Business from Soaring Costs
July 14, 2025
In an era of escalating trade tensions, US companies are grappling with the financial implications of President Trump's tariffs.
A recent estimate from the JPMorgan Chase Institute highlights an additional $82 billion in costs for mid-sized US firms, with the potential for this to double if rates revert to peak levels from April.
Adding to the urgency, Trump's recent announcement on Truth Social imposes a 30% tariff on goods from the European Union and Mexico, effective August 1, 2025.
Trade attorney Michelle Schulz, Founder and Managing Partner of Schulz Trade Law in Dallas, joined "This Morning with Gordon Deal" on July 14, 2025, to discuss these developments. Drawing from her extensive experience in international trade law, Schulz shared practical advice for businesses navigating this challenging landscape. This blog post breaks down her key insights, offering actionable guidance for importers, manufacturers, and distributors facing rising tariff burdens.
LISTEN to the INTERVIEW
Understanding the Tariff Impact on US Importers and Manufacturers
The tariff announcements have sent ripples through supply chains, prompting businesses to explore every avenue for relief. Schulz emphasized the immediate challenges:
"We're hearing that they're trying every strategy they have in their side book to try to get through these tariffs, whether that's mitigation or special duty savings programs. It's very difficult for our clients right now."
Tariffs are applied as a percentage of the goods' value upon import, with the US buyer—whether an importer, distributor, or manufacturer—bearing the cost. This universality means no sector is immune, but the approach to mitigation must be tailored. Schulz explained, "We really have to look at it case by case, because each case is different. You'll have tariffs that apply to the value of the goods depending on which country you're importing from, and then the importer pays those terms as a percentage."
For businesses importing final products, parts, or items for servicing and re-export, opportunities exist to reduce exposure. One key tactic involves re-evaluating valuations through Customs rulings to lower the taxable base:
"Sometimes what we can do is take a second look at the value and get the value lower using specific Customs rulings that allow you to use a lower value. It's like chipping away at it bit by bit, because we can't eliminate the whole thing."
Proven Mitigation Tactics: From Foreign Trade Zones to Supply Chain Pivots
Schulz's firm advises clients on a spectrum of strategies, adapting to whether the client is a manufacturer or pure importer. A standout option for manufacturers is leveraging temporary imports and Foreign Trade Zones (FTZs).
As Schulz noted, "In some cases, we have companies that are importing final products. Sometimes they're importing parts of products, and in other cases, they're importing products that they will service and then ship back out. So depending on the situation, one example where we can save money is on temporary imports, where manufacturers might be manufacturing in, say, a Foreign Trade Zone in the US, they can manipulate the goods and then export them back out without ever officially entering the goods into the US and that's a big savings for manufacturers."
Beyond these, businesses are pursuing broader relief measures. "At this point, they're looking for some sort of relief. We have some clients who are pursuing litigation, some who are going in for Customs rulings on specific issues, and other clients that just continue to pivot," Schulz said. In extreme cases, this includes relocating operations:
"We recently had a company decide to move their manufacturing to France instead of the US for this reason. So in some cases, it's a complete supply chain difference."
These tactics underscore the importance of proactive trade law consultation to minimize costs and maintain competitiveness amid US import tariffs and global trade disruptions.
Future Outlook: Rising Challenges and Consumer Cost Implications
Looking ahead, Schulz anticipates a more complex environment for US importers. "I think it's going to continue to get more and more confusing and more and more difficult for the US importer, because the tariffs, the ones that have been announced as recently as today and yesterday, have been pretty high. We're looking at tariffs 20% 30%," she warned.
The ripple effects extend beyond businesses, as these costs inevitably trickle down: "That is always going to flow down into the cost of goods to the consumer, the US importer, typically can't bear that cost, and just because the profit margins aren't that great."
As trade policies evolve, partnering with experienced trade attorneys like those at Schulz Trade Law can provide the clarity and strategies needed to thrive. For personalized advice on tariff mitigation, Customs rulings, or supply chain optimization, contact our team today to safeguard your operations against ongoing trade uncertainties.
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