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International Trade Compliance and Customs Audit-Proof Your Trade Program: How Schulz Trade Law Helps You Stay Ready, Resilient, and Compliant In international trade, regulatory audits are not a remote possibility—they are an operational certainty. Whether initiated by U.S. Customs and Border Protection (CBP), the Bureau of Industry and Security (BIS), or the Office of Foreign Assets Control (OFAC), trade audits are increasing in frequency and scope. Enforcement agencies are scrutinizing everything from valuation and classification to licensing and supply chain transparency. At Schulz Trade Law , we represent and advise clients facing these challenges head-on. Our goal is to ensure you don’t just react to audits—but anticipate, prepare, and respond strategically. The New Reality of Trade Audits In 2025, the audit landscape is evolving rapidly: CBP  is conducting more Focused Assessments, targeting valuation, tariff classification, and country-of-origin declarations. BIS  is increasing enforcement around export licensing, ECCN classification, and end-use/end-user reviews. OFAC  audits are probing compliance with sanctions regimes, especially in sensitive jurisdictions. UFLPA enforcement  is driving supply chain scrutiny around forced labor, with a presumption of noncompliance unless rebutted. A single documentation gap, license oversight, or sourcing issue can trigger penalties, seizures, and reputational risk. And too often, companies don't realize their exposure until an agency arrives at their door. What “Audit-Ready” Really Means Under the Law Legal audit readiness is about proving compliance , not merely asserting good intentions. A truly audit-ready company is able to provide: Documented internal controls that align with regulatory expectations Classification, valuation, and licensing determinations backed by legal rationale Supplier and customer due diligence records Secure and retrievable documentation (within the 5-year recordkeeping window) Evidence of proactive risk management (training, voluntary disclosures, policy updates) At Schulz Trade Law , we help clients build these systems  and, when necessary, defend them  in front of regulators. The Cost of Being Unprepared Non-compliance penalties can be severe—and extend far beyond monetary fines: CBP penalties  can exceed the value of the goods themselves for false statements. BIS enforcement actions  may include denial of export privileges or criminal referral. OFAC violations  can carry strict liability, even for unintentional missteps. Detentions under UFLPA  can stall shipments indefinitely, requiring supply chain transparency many companies don’t yet have. Legal non-compliance isn’t just a paperwork problem—it’s a corporate risk. Our Legal Approach to Building Resilient Trade Programs We support clients through every stage of audit readiness and response: Step 1: Legal Risk Assessment We evaluate your program with a lawyer’s eye—identifying exposures that internal teams or outside consultants may miss. This includes: HTS and ECCN legal justifications Country-of-origin support tied to preferential treatment claims Trade agreement compliance Licensing gaps under EAR, ITAR, and OFAC Forced labor red flags and rebuttal documentation readiness Recordkeeping adequacy under 19 CFR §163 and other legal standards You receive a report of findings, with risk rankings and recommended legal remedies. Step 2: Control Development & Documentation We help you draft and formalize trade compliance policies that align with enforcement expectations: Import and export compliance manuals SOPs for documentation, screening, and license checks Voluntary disclosure strategies for correcting past issues Template updates for invoices, packing lists, and end-use certificates Legal review of supplier certifications and purchase agreements Our work product stands up to scrutiny—because we build it for that purpose. Step 3: Training & Compliance Culture Legal compliance only works if your team knows what’s at stake. We provide: Live or recorded training tailored to trade, logistics, procurement, or executive teams UFLPA rebuttal education and documentation guidance Sanctions and restricted party list screening protocols Training records to prove due diligence We work with you to ensure your staff understands their legal responsibilities—and the implications of failure. Step 4: Audit Support, Representation, and Response When an audit notice arrives, Schulz Trade Law steps in: We help you gather and prepare responsive documentation Represent your interests in all written or in-person interactions with agencies Conduct internal interviews and legal privilege reviews Develop response narratives that mitigate exposure If violations are found, we prepare and submit voluntary disclosures or corrective action plans Our attorneys serve as both your legal advisors and advocates—defending your trade program from escalation or penalty. Client Case Studies: From Exposure to Protection Manufacturer Facing CBP Focused Assessment A U.S. importer was notified of a CBP Focused Assessment. Schulz Trade Law reviewed and corrected misclassified entries, updated valuation methodologies, and trained staff. The result: a clean audit outcome with no penalties—and a documented compliance program moving forward. Exporter Under BIS Inquiry A mid-sized exporter inadvertently shipped dual-use items without appropriate licensing. We conducted a legal ECCN review, filed a voluntary disclosure, and implemented an internal license management system. No fines were issued, and BIS closed the case without further action. Why Clients Choose Schulz Trade Law We are not compliance consultants. We are legal practitioners who understand the regulatory, commercial, and reputational pressures your company faces. What sets us apart: Depth in U.S. and global trade law , not just procedure Experience with enforcement agencies , including CBP, BIS, and OFAC Confidential legal privilege , allowing you to assess risk safely Practical, executable advice , not just theoretical reviews Defensive strategy plus program building , all in one place Free Resource Audit-Readiness Legal Checklist We’ve developed a one-page, attorney-curated checklist to help assess your preparedness across CBP, BIS, and OFAC criteria. Download the checklist here .  No email required—just smart compliance hygiene. Don’t Let an Audit Define Your Business In the current regulatory environment, agencies are no longer asking whether your business intended  to comply. They want to see that you can prove it. If you’re facing an audit, concerned about your documentation, or want to fortify your program before enforcement arrives, Schulz Trade Law is ready to help. Ready to Build or Defend Your Trade Program? Contact us now for a confidential consultation with an experienced trade attorney. Subscribe  to receive updates. Resource Library Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Resources Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

International Trade Resource How Free Trade Shapes Global Markets Free trade has become a cornerstone of the modern global economy. It allows countries to exchange goods and services with fewer restrictions, fostering economic growth and international cooperation. But how exactly does free trade influence global markets? This article explores the mechanisms behind free trade, its benefits and challenges, and its impact on businesses and consumers worldwide. Understanding Free Trade and Its Role in Global Markets Free trade refers to the removal of tariffs, quotas, and other barriers that restrict the flow of goods and services between countries. By reducing these obstacles, countries can specialize in producing what they do best and import what others produce more efficiently. This specialization leads to increased productivity and lower prices for consumers. For example , a country with abundant natural resources might focus on mining and exporting raw materials, while another with advanced technology might specialize in manufacturing electronics. When these countries engage in free trade, both benefit from access to a wider variety of goods at competitive prices. Free trade also encourages competition , which drives innovation and improves product quality. Companies must constantly adapt to changing market conditions and consumer preferences to stay competitive. This dynamic environment benefits consumers by offering more choices and better products. Global shipping port showing international trade activity The Impact of Free Trade Agreements on Market Dynamics One of the most significant drivers of free trade is the establishment of free trade agreements (FTAs). These agreements are negotiated between countries to reduce or eliminate trade barriers, making it easier for businesses to operate across borders. A well-known example is the North American Free Trade Agreement (NAFTA), which created a trilateral trade bloc between the United States, Canada, and Mexico. This agreement boosted trade and investment among the three countries, leading to job creation and economic growth. Free trade agreements often include provisions beyond tariffs, such as intellectual property protection, dispute resolution mechanisms, and labor standards. These elements help create a stable and predictable environment for businesses, encouraging long-term investment. If you want to learn more about the legal aspects and benefits of such agreements, you can explore this detailed resource on free trade agreement . Business handshake symbolizing international trade agreements Is FTA Good or Bad ? The question of whether free trade agreements are good or bad is complex and depends on perspective. On one hand, FTAs can stimulate economic growth by opening new markets and lowering costs. On the other hand, they can create challenges for certain industries and workers. Benefits of FTAs: Market Access: Businesses gain access to larger markets, increasing sales opportunities. Lower Prices: Consumers benefit from reduced tariffs, leading to cheaper goods. Economic Growth: Increased trade can boost GDP and create jobs. Innovation: Competition encourages companies to innovate and improve efficiency. Challenges of FTAs: Job Displacement: Some industries may decline due to foreign competition, leading to job losses. Income Inequality: Benefits of trade may not be evenly distributed, widening economic gaps. Environmental Concerns: Increased production and transportation can impact the environment. Sovereignty Issues: Countries may feel constrained by international rules affecting domestic policies. For example, the textile industry in some countries has faced stiff competition from imports, resulting in factory closures and unemployment. However, other sectors like technology and agriculture have thrived due to expanded export opportunities. Balancing these pros and cons requires thoughtful policy-making, including support for affected workers and sustainable trade practices. Cargo ship transporting goods across international waters How Free Trade Influences Consumer Choices and Business Strategies Free trade affects consumers by increasing the variety of products available and often lowering prices. Imported goods can introduce new styles, technologies, and flavors that enrich daily life. For instance, consumers in many countries enjoy fresh tropical fruits year-round thanks to global trade networks. Businesses, meanwhile, must adapt their strategies to compete in a global marketplace. This includes: Sourcing Materials Globally: Companies can find cheaper or higher-quality inputs from different countries. Expanding Markets: Firms can sell products internationally, increasing revenue potential. Optimizing Supply Chains: Efficient logistics and production networks reduce costs and delivery times. Complying with Regulations: Understanding trade rules and standards is essential to avoid penalties. Small and medium-sized enterprises (SMEs) can also benefit from free trade by accessing new customers and suppliers. However, they may need support to navigate complex regulations and compete with larger firms. The Future of Free Trade in a Changing World The landscape of free trade is evolving due to technological advances, geopolitical shifts, and growing concerns about sustainability. Digital trade, for example, is becoming increasingly important as e-commerce and data flows cross borders. At the same time, some countries are reconsidering their trade policies, focusing more on protecting domestic industries or addressing social and environmental issues. This has led to debates about the balance between openness and regulation. To thrive in this environment, businesses and policymakers should: Embrace Innovation: Use technology to improve efficiency and reach new markets. Promote Fair Trade: Ensure that trade benefits are shared broadly and sustainably. Enhance Cooperation: Work with international partners to address global challenges. Invest in Skills: Prepare workers for changing job requirements in a global economy. By understanding how free trade shapes global markets, stakeholders can make informed decisions that foster prosperity and resilience. Schulz Trade Law keeps you informed. Free trade continues to be a powerful force shaping the world economy. Its influence extends beyond economics, affecting social structures, environmental policies, and international relations. Staying informed and adaptable is key to leveraging the opportunities and managing the challenges that free trade presents. Subscribe  to receive updates. Resource Library Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Resources Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on This Morning with Gordon Deal 100% Tariffs on Semiconductors Michelle Schulz on KRLD Radio U.S. Semiconductor Tariffs: Cost Pressures, Supply Shifts, and the Road to Domestic Production August 8, 2025 Texas State Networks KRLD Radio Reporter:  Barbara Schwarz A Sudden Jolt for the Semiconductor Industry In her August 8, 2025 interview with KRLD NewsRadio 1080 , Michelle Schulz, Founder and Managing Partner of Schulz Trade Law PLLC, addressed President Trump’s announcement of a 100% tariff on semiconductor imports . The move targets chips and related materials from key suppliers like Taiwan and other major manufacturing hubs. “I think those imports are now going to slow, and there will be efforts to move semiconductor work here, but that can’t be done overnight.” Schulz emphasized that the U.S. is heavily reliant on overseas production, and an abrupt shift will require significant time and investment to transition to domestic capacity. The Challenges of Reshoring Semiconductor Production Relocating semiconductor manufacturing to the U.S. is not simply a matter of building new plants—it requires specialized labor, advanced equipment, and competitive supply chains. Schulz noted that these elements are far more expensive in the U.S. than in many other countries: “Companies would have to find skilled labor here. Wages would cost more than overseas and U.S. equipment is also more expensive.” Tariffs, intended to incentivize reshoring, may inadvertently drive prices even higher in the short term. Domestic production, while a strategic goal, will come at a cost both to manufacturers and, ultimately, consumers. What This Means for Prices and Consumers Because both tariffs and U.S.-based production carry higher costs, Schulz anticipates that price increases will be felt soon . With semiconductors serving as the backbone for countless industries—from smartphones and computers to automobiles and medical devices—the effects of these tariffs will ripple across multiple sectors of the economy. “Tariffs and domestic manufacturing both drive the price up. We should see the increases soon.” While the long-term vision may be to secure U.S. supply chains, the near-term reality is a more expensive market for semiconductor-dependent products. Don't Navigate These Shifting Trade Currents Alone If your business is facing challenges with the latest U.S.–EU trade deal, tariffs, or supply chain compliance, Schulz Trade Law  is here to help. Led by Michelle Schulz, our team specializes in regulatory clarity, strategic import/export decisions, and real-time risk assessment. Contact us today  to move from uncertainty to strategic advantage. Subscribe  to receive updates. About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

China Reciprocal Tariffs Further Suspended: What Importers Need to Know By Schulz Trade Law PLLC August 14, 2025 Introduction: Another Extension in U.S.–China Tariff Policy On August 11, 2025, President Trump issued a new Executive Order, Further Modifying Reciprocal Tariff Rates to Reflect Ongoing Discussions with the People’s Republic of China . This order extends the suspension of certain “reciprocal” tariffs  from the previous deadline of August 12, 2025, to 12:01 a.m. Eastern Standard Time on November 10, 2025 . This move continues the tariff freeze first enacted under Executive Order 14298, providing importers a three-month reprieve from higher duty rates while the United States and China continue negotiations on long-standing trade disputes. Key Provisions of the Executive Order The August 11 order specifically addresses the suspension of tariff provisions under heading 9903.01.63  and subdivision (v)(xiv)(10) of U.S. note 2 to subchapter III of chapter 99  in the Harmonized Tariff Schedule of the United States (HTSUS). Under this extension: Reciprocal tariff rates for Chinese goods remain at 10%  until November 10, 2025. Fentanyl-related tariffs are unchanged  — the IEEPA “fentanyl” tariff rate continues to be 20% for China-origin goods. Importers have additional time to adjust supply chain and pricing strategies before any potential changes in tariff rates are implemented. Why the Suspension Was Extended According to the Administration, the continuation of this tariff pause reflects “significant steps” by China toward addressing U.S. concerns  over non-reciprocal trade arrangements, as well as broader economic and national security issues . By leaving the reciprocal tariff rate at 10% rather than increasing it, the White House signals optimism about progress in ongoing discussions while also maintaining leverage should negotiations falter. This approach mirrors prior instances in trade diplomacy where temporary relief is offered as a sign of good faith, but with the clear understanding that tariff rates can be adjusted quickly if commitments are not met. Implications for Importers and Businesses The suspension’s short-term nature means companies should treat the November 10 deadline as a firm marker for possible changes . Businesses that rely heavily on Chinese imports — especially those falling under the specified HTSUS provisions — should: Review their tariff exposure  to determine the financial impact if the reciprocal tariff rate increases after November 10. Evaluate inventory strategies  to potentially front-load imports before any rate changes. Update pricing models  in anticipation of possible higher landed costs in Q4 2025 and beyond. Monitor compliance obligations  under both reciprocal and fentanyl-related tariff regimes. Sector-Specific Considerations While the reciprocal tariff rate covers a broad range of goods, certain industries may feel the impact more acutely: Electronics and Technology:  Many components are sourced from China under the affected HTSUS headings. Even a modest percentage change in tariffs can significantly affect profit margins. Manufacturing Inputs:  Raw materials and intermediate goods face cost pressures that can cascade through production lines. Consumer Goods:  Retailers relying on Chinese-manufactured products must balance cost stability with competitive pricing. For sectors not affected by the reciprocal tariff but impacted by the fentanyl tariff, the unchanged 20% rate  continues to require careful cost management and potential sourcing diversification. Compliance and Documentation Requirements It is essential for importers to maintain accurate classification and origin documentation  for all entries. U.S. Customs and Border Protection (CBP) has maintained heightened enforcement of tariff classifications, particularly in cases where preferential or reduced rates are applied. Compliance measures should include: HTSUS Verification:  Confirm that products are classified under the correct headings to ensure accurate tariff application. Origin Tracking:  Maintain robust records proving the country of origin, especially when dealing with goods assembled in multiple jurisdictions. Audit Readiness:  Be prepared for post-entry reviews and Requests for Information (CF 28) from CBP. Strategic Planning Ahead of the November Deadline Importers should not assume another extension will occur in November. Instead, businesses should take proactive steps  now: Run “what-if” cost scenarios  based on different potential tariff rates. Explore supplier diversification  to reduce dependence on China-origin goods. Engage in advocacy  through trade associations to ensure industry concerns are heard by policymakers. Consult with trade counsel  to assess opportunities for tariff mitigation, such as first sale programs or duty drawback. Schulz Trade Law ’s Role in Supporting Clients At Schulz Trade Law PLLC, we actively track developments in U.S.–China trade relations and provide tailored advice  to help clients navigate uncertainty. Our team assists with: Tariff exposure assessments  to quantify potential cost impacts. Compliance strategy development  to ensure adherence to U.S. customs laws and regulations. Risk mitigation planning  to prepare for sudden changes in trade policy. Representation before CBP and trade agencies  in cases of enforcement actions or disputes. We work with importers, manufacturers, and distributors across industries to create strategies that are both compliant and commercially practical . Conclusion: Three Months of Breathing Room While the extension to November 10, 2025, provides a temporary reprieve from higher reciprocal tariff rates, it is ultimately a pause, not a resolution . The ongoing negotiations between the United States and China will determine whether the current rates remain, increase, or change in scope. Importers and other stakeholders should remain vigilant, using this window to review compliance, adjust sourcing strategies, and prepare for all scenarios . In the current trade climate, adaptability is a competitive advantage. Subscribe  to stay up to date on all Tariff and Compliance changes. About Schulz Trade Law We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

New Duties, New Risks: What Importers and Exporters Need to Know in August 2025 By Schulz Trade Law PLLC August 11, 2025 The global trade landscape is changing rapidly — and 2025 has proven to be one of the most volatile years in recent memory. In just the past few weeks, the United States has rolled out multiple sweeping trade actions, including the suspension of the de minimis duty exemption , new Section 232 copper tariffs , targeted tariffs on India-origin goods , and a significant new trade deal with the European Union . For importers, exporters, manufacturers, and supply chain professionals, these changes bring both new risks and new opportunities . This article breaks down each major development, outlines its potential impact, and offers practical steps you can take to protect your business and remain compliant . 1. De Minimis Exemption Suspended Key date: Executive Order issued: July 30, 2025 Effective: August 29, 2025 For decades, the de minimis threshold  has been a crucial tool for businesses engaged in cross-border e-commerce and small parcel trade. Under current law, shipments valued under $800 could enter the United States duty-free, provided they met all regulatory requirements. That changes on August 29, 2025 . Under the new Executive Order, all shipments — regardless of value — will now be subject to the applicable duty rate listed in the Harmonized Tariff Schedule of the United States (HTSUS) . This suspension applies to imports from all countries . Why It Matters E-commerce Impact:  Small and mid-sized online retailers that relied on duty-free shipments will now face increased landed costs. Administrative Burden:  Even low-value imports will require full customs declarations, increasing compliance costs and paperwork. Pricing Pressure:  Businesses may need to adjust retail pricing or absorb the increased costs, depending on their competitive landscape. What Businesses Should Do Review Your Supply Chain:  Identify products previously imported under the de minimis rule and determine their applicable duty rates. Update Cost Models:  Adjust landed cost calculations to account for the new duties. Enhance Compliance Processes:  Ensure your customs brokers and internal teams are prepared for the additional filings. 2. Copper Import Tariffs Introduced Key Date: Proclamation issued: July 30, 2025 Effective: August 1, 2025 Following a Section 232 investigation into copper imports, the Trump Administration has imposed a 50% tariff  on semi-finished copper products . This measure took effect August 1, 2025 , with refined copper now under evaluation for a potential phased tariff schedule . Section 232 investigations are conducted under the authority of the Trade Expansion Act of 1962 , allowing tariffs to be imposed when imports are determined to threaten national security. Why It Matters Industrial Impact:  Copper is a critical material in sectors ranging from electronics and construction to renewable energy and electric vehicles. Cost Increases:  A 50% tariff will significantly raise raw material costs for U.S. manufacturers relying on imported copper. Supply Chain Disruption:  Companies may need to secure alternative suppliers or consider reshoring production. What Businesses Should Do Audit Your Copper Usage:  Identify where imported copper enters your production process. Explore Domestic Sourcing:  Consider negotiating with U.S.-based suppliers to reduce tariff exposure. Monitor Further Announcements:  If refined copper is added to the tariff list, cost impacts could extend across additional industries. 3. Tariffs on India-Origin Goods Key date: Announcement: August 6, 2025 Effective: August 27, 2025 In response to India’s continued purchases of Russian oil, the Trump Administration has used the International Emergency Economic Powers Act (IEEPA)  to impose a 25% “Russian Oil” tariff  on goods originating from India. Crucially, this tariff does not replace  India’s existing 25% reciprocal tariff rate . Instead, the two rates stack — meaning India-origin goods could face a total tariff burden of 50% . Why It Matters Targeted Industries:  The measure could hit textiles, pharmaceuticals, automotive parts, and technology imports from India particularly hard. Bilateral Strain:  This move underscores escalating trade tensions between the U.S. and India. Supply Chain Realignment:  Businesses dependent on India for raw materials or manufacturing may need to diversify sourcing. What Businesses Should Do Evaluate India Exposure:  Quantify the share of your imports that originate from India. Consider Alternative Suppliers:  Explore sourcing options in tariff-neutral countries. Revisit Contracts:  Negotiate with suppliers on pricing and delivery terms to offset the tariff impact. 4. U.S.–EU Trade Agreement Reached Key date: Agreement announced: July 28, 2025 Effective date: TBD In one of the most significant trade developments of the year, the U.S. and European Union have announced a new bilateral trade agreement . While the effective date has yet to be set, the proposed framework includes: 15% tariff rate  on EU imports into the U.S. Elimination of tariffs  on U.S. industrial exports to the EU. $750 billion EU commitment  to purchase U.S. energy. $600 billion EU investment  in the U.S. over a three-year period. Why It Matters Export Opportunities:  The elimination of EU tariffs on U.S. industrial goods could benefit manufacturers in aerospace, automotive, and heavy machinery. Energy Sector Boost:  The $750 billion energy purchase commitment is expected to drive demand for U.S. oil, gas, and renewable energy exports. Foreign Investment Surge:  The EU’s $600 billion investment pledge could stimulate U.S. infrastructure and technology sectors. What Businesses Should Do Prepare for Market Entry:  U.S. companies looking to expand into the EU should begin compliance preparations now. Target Energy Supply Chains:  Firms in the energy sector should position themselves to capture a share of the EU’s purchasing commitment. Watch for Implementation Details:  Timelines and regulatory requirements will be key to leveraging the deal. The Bigger Picture: A Shift in U.S. Trade Enforcement Priorities Taken together, these actions signal a more aggressive, targeted approach to U.S. trade enforcement . The Administration is: Tightening import thresholds  (ending de minimis duty exemptions) Imposing punitive tariffs  for strategic materials (copper) Leveraging tariffs for geopolitical influence  (India and Russian oil) Pursuing large-scale bilateral deals  (U.S.–EU agreement) This combination of protectionist and strategic trade moves creates heightened uncertainty for global supply chains . Companies that fail to adapt could face eroded margins, supply chain disruption, and compliance risks . Practical Steps to Protect Your Business Conduct a Comprehensive Tariff Exposure Review Map your imports and exports against the updated HTSUS duty rates, Section 232 measures, and targeted tariffs. Scenario-Plan for Cost Increases Develop multiple financial models that reflect different tariff rates and sourcing changes. Diversify Supply Chains Identify secondary suppliers in tariff-neutral countries to minimize risk. Enhance Compliance Programs Ensure your internal controls, customs declarations, and supplier certifications are up-to-date. Monitor Regulatory Changes in Real Time Many of these measures have short lead times  before taking effect. Staying informed is critical. Key Trade Compliance Keywords for 2025 De minimis threshold suspension HTSUS tariff classification Section 232 copper tariffs International Emergency Economic Powers Act (IEEPA) India-origin goods tariff U.S.–EU trade deal 2025 Harmonized Tariff Schedule compliance Supply chain risk mitigation Import/export compliance strategies Tariff exposure assessment Be Proactive, Not Reactive These recent trade actions illustrate the speed and scale  at which trade policy can shift. Businesses that wait until tariffs take effect to respond often face higher costs, delayed shipments, and compliance penalties . At Schulz Trade Law PLLC , we specialize in helping clients navigate complex trade regulations, reduce tariff exposure, and adapt compliance strategies  to meet changing requirements. Whether you are a small importer, multinational exporter, or supply chain manager , our team provides the legal insight and practical solutions you need to stay competitive. Contact us today to ensure your business is prepared for the evolving trade landscape. About Schulz Trade Law We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on This Morning with Gordon Deal Navigating the 250% Tariff Threat Michelle Schulz on LiveNOW from FOX Rising Costs and Uncertainty: Michelle Schulz Discusses the Impact of Proposed Pharmaceutical Tariffs August 7, 2025 LiveNOW Fox News Anchor: Andy Mac The Staggering Scale of 250% Tariffs In her appearance on LiveNOW from FOX , Michelle Schulz , Founder and Managing Partner of Schulz Trade Law PLLC, called the proposed pharmaceutical tariffs “a massive amount” with potentially far-reaching consequences. “In the past, we were talking about tariffs around 5% or 7%—I used to think that was high. So when you think about 250% by next year , the cost of pharmaceuticals will have to increase .” President Trump’s plan would start with a small tariff, rising to 150% within 18 months and ultimately 250%, with the stated aim of boosting U.S. manufacturing. Schulz cautioned, however, that even with that goal, “there’s going to be a transition period before the infrastructure is in place, and before that’s really possible.” Goals and Realities of Tariff Policies Schulz explained that the tariffs are intended to both encourage domestic production and reduce costs through Most Favored Nation (MFN) status , a World Trade Organization (WTO) principle granting favorable tariff rates to allied countries. “Countries that are friendly with us have what they call most favored nation status… They are granted a specific tariff rate or a level of tariffs that are within a range. But that probably is not enough to offset the 250% that we may see next year.” While some companies are “scrambling to prepare,” costs are expected to rise not just for the drugs themselves but also for packaging and related healthcare products. Unexpected tariff increases on countries like India (25% due to oil trade with Russia) and Switzerland (39%) show how broad trade policy actions can reach beyond targeted sectors. Consumer and Industry Impacts Schulz stressed that pharmaceuticals are unlike other tariff-affected industries because they directly involve life-saving medications: “Hospitals [will have] to increase their costs. Pharmacies—you’re going to go to the pharmacy to get your prescription, and it may be multiples of what you owed before, because the taxes you pay are based on the price that the importer pays, and the importer is now going to be paying 250% more.” With shifting trade policies and new tariffs being announced unexpectedly, Schulz emphasized the volatility: “Sometimes you kind of have to expect the unexpected… Any country that has a surplus, we need to be looking at them and seeing if this is going to be an area where our government is going to offset that.” The proposed 250% tariffs present a volatile and high-stakes challenge for both the pharmaceutical industry and consumers—one that demands preparation, strategic planning, and careful navigation. Don't Navigate These Shifting Trade Currents Alone If your business is facing challenges with the latest U.S.–EU trade deal, tariffs, or supply chain compliance, Schulz Trade Law  is here to help. Led by Michelle Schulz, our team specializes in regulatory clarity, strategic import/export decisions, and real-time risk assessment. Contact us today  to move from uncertainty to strategic advantage. Subscribe  to receive updates. About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on This Morning with Gordon Deal The Staggering Impact of 250% Tariffs: Insights from Michelle Schulz on KSL Radio August 7, 2025 Inside Sources KSL Radio Salt Lake City, Utah Navigating the Tariff Storm: Michelle Schulz Unpacks the Challenges for Businesses and Consumers Host: Holly Richardson The Shock of 250% Tariffs When asked for her first reaction to the news of proposed 250% tariffs, Michelle Schulz , Founder and Managing Partner of Schulz Trade Law PLLC , did not mince words: “I’m shocked. Honestly, I’m shocked. In the past, when I’ve been trying to save money for clients, I would think 10% is too high. 7% is too high. 250% is a game changer, and it could put some companies out of business.” Speaking with KSL Radio 's "Inside Sources" in Salt Lake City on August 7, 2025, Schulz explained that while previous tariff hikes were already difficult for importers to absorb, these unprecedented rates could reshape entire industries—especially for companies heavily reliant on foreign-made pharmaceuticals and other essential imports. Why Manufacturing Moved Overseas and the Current Challenges Addressing why pharmaceutical manufacturing shifted abroad in the first place, Schulz cited both cost and expertise: “A lot of it is because we can get that work done less expensively elsewhere. Also, in many cases, the expertise is elsewhere. Germany’s scientists and research capabilities are pretty advanced. Switzerland is very good at producing drugs.” With 250% tariffs now looming over imports from countries like Germany and Switzerland—where the U.S. already imposes a 39% reciprocal tariff—companies face difficult decisions. Some major players, such as Eli Lilly and Johnson & Johnson, have committed to U.S. investments. But for many others, Schulz said, the conversation is less about reshoring and more about leaving the U.S. market entirely: “What I’ve heard is that clients are planning on moving their operations to other countries and maybe just foregoing sales in the U.S.” For smaller firms without the capital to build domestic manufacturing infrastructure, the shift could mean abandoning the market, potentially reducing the availability of high-quality medications, including generics and over-the-counter drugs. Consumer Impact and the Long-Term Outlook The ripple effect of 250% tariffs will almost certainly reach consumers. Initially, some companies absorbed the extra costs to avoid price hikes, but Schulz noted that approach is no longer sustainable: “250% is not something they can keep going. There’s a risk they will have to pass on very high prices to the consumer if they want to stay in business.” Even generics and everyday medicines like Tylenol could see price spikes: “Generics will be impacted, also over-the-counter drugs… It’s anything—generic, over-the-counter, prescription—they’re all going to have to go up.” And while some might hope for relief if tariffs are rolled back under a future administration, Schulz cautioned that it’s not that simple: “Our clients generally are realizing this is here for a while, because to change that back is going to require a lot of work.” The bottom line? The 250% tariffs represent a seismic shift in U.S. trade policy—one that will challenge businesses, reshape supply chains, and almost certainly hit consumers’ wallets. KSL Radio , Salt Lake City, Utah About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on This Morning with Gordon Deal Tariffs, Emergency Powers, and Legal Uncertainty Michelle Schulz Breaks Down the Latest U.S. Trade Moves August 1, 2025 This Morning with Gordon Deal Host: Gordon Deal What happens when emergency powers are used for trade deals? Michelle Schulz explains the legal and economic ripple effects. “It’s About to Get Interesting” Sudden Tariff Hikes and Vague Deals Michelle Schulz opens by highlighting the confusion and volatility surrounding current U.S. tariff policy: “We are now looking at a snap back to the reciprocal tariffs, plus other overlapping tariffs… that the U.S. importing companies will have to pay.” Unlike traditional free trade agreements, Schulz notes that these new arrangements with countries like the EU and Japan lack legal detail and transparency: “This is more like a letter or a statement on Truth Social... It doesn't address the details.” The result? U.S. businesses are left without clarity, facing potentially high tariffs of 10–15% with little room for planning or negotiation. “Is This an Emergency or Leverage?” The Legal Questions at the Heart of Tariff Authority The Trump administration is relying on the International Emergency Economic Powers Act (IEEPA)  to justify the tariffs. But Schulz questions whether this law was ever meant to apply: “Many would say this is not an emergency, this is a deal… This is leverage.” She explains that traditional trade remedies under Sections like 232  (for national security concerns) go through investigations and proper channels. These new reciprocal tariffs are broad, fast-tracked, and based on a controversial interpretation of emergency powers: “The legal argument is this is not an emergency… You don't have the right to use that particular law to require U.S. importers to pay this tax.” Global Consequences Lost Leverage and Shifting Supply Chains Beyond legal concerns, Schulz warns that U.S. trade unpredictability is already leading global companies to consider leaving the American market: “We have already seen clients either move their services, move their manufacturing, or at least consider it… It may not be worth it to be in the U.S.” She adds that if courts eventually decide these tariffs are unlawful, it could undercut U.S. credibility and disrupt global trade relationships even further. This Morning with Gordon Deal About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

International Trade Compliance and Customs How to Ensure Smooth Customs Processes Navigating customs processes can be a complex and time-consuming task for businesses involved in international trade. Delays, fines, and compliance issues can disrupt supply chains and increase costs. However, with the right knowledge and preparation, you can ensure your shipments clear customs smoothly and efficiently. This article provides practical tips and insights to help you manage customs procedures effectively. Understanding Customs Processes Customs processes involve the inspection, documentation, and clearance of goods entering or leaving a country. These procedures are designed to enforce import and export regulations, collect duties and taxes, and protect national security. Understanding the key steps in customs processes is essential for avoiding delays and penalties. Typically, customs clearance requires submitting accurate documentation such as commercial invoices, packing lists, and certificates of origin. Customs authorities may also inspect shipments physically or through X-ray scanning. The complexity of these processes varies depending on the type of goods, their value, and the destination country’s regulations. Key components of customs processes include: Classification: Assigning the correct tariff codes to goods. Valuation: Declaring the accurate value of goods for duty calculation. Documentation: Providing all required paperwork. Inspection: Physical or electronic examination of shipments. Payment: Settling any applicable duties and taxes. By mastering these components, businesses can reduce the risk of shipment holds and fines. Customs officer inspecting cargo at port Best Practices for Efficient Customs Processes To ensure smooth customs processes, businesses should adopt best practices that streamline documentation, communication, and compliance. Here are some actionable recommendations: Prepare Accurate Documentation Errors in paperwork are a leading cause of customs delays. Double-check all documents for accuracy, including product descriptions, quantities, and values. Use standardized formats and ensure all required certificates are included. Classify Goods Correctly Misclassification can lead to incorrect duties or shipment rejection. Use the Harmonized System (HS) codes accurately and consult customs experts if unsure. Understand Import and Export Regulations Each country has specific rules regarding prohibited items, restricted goods, and licensing requirements. Stay updated on these regulations to avoid surprises. Use Trusted Customs Brokers Experienced customs brokers can navigate complex regulations and handle paperwork efficiently. Partnering with a reliable broker reduces the risk of errors and speeds up clearance. Maintain Clear Communication Keep open lines of communication with suppliers, freight forwarders, and customs officials. Promptly address any queries or requests for additional information. Leverage Technology Utilize customs management software to automate document preparation and track shipments. Electronic filing systems can expedite clearance and reduce manual errors. Plan for Inspections Be prepared for potential inspections by maintaining organized records and ensuring goods are properly labeled and packaged. Implementing these practices will help minimize delays and ensure your shipments move through customs without unnecessary obstacles. Shipping documents and customs forms on desk How to get into customs compliance? Achieving customs compliance is crucial for businesses to avoid penalties and maintain smooth operations. Customs compliance means adhering to all laws, regulations, and procedures related to importing and exporting goods. Here are steps to get started: Conduct a Compliance Audit Review your current import/export processes to identify gaps or risks. Check if all documentation is accurate and if your classification and valuation methods are correct. Train Your Team Educate employees involved in shipping and logistics about customs requirements and best practices. Regular training helps prevent mistakes. Develop Internal Controls Establish procedures for verifying documentation, classifying goods, and managing shipments. Use checklists and approval workflows to ensure consistency. Engage with Customs Authorities Build relationships with customs officials and seek guidance when needed. Some countries offer programs for trusted traders that provide expedited clearance. Stay Updated on Regulations Customs rules can change frequently. Subscribe to updates from customs agencies and industry associations. Use Professional Services Consider consulting with customs compliance experts or legal advisors to ensure your processes meet all requirements. By following these steps, your business can reduce risks and improve the efficiency of customs clearance. Compliance officer reviewing customs regulations Common Challenges in Customs Processes and How to Overcome Them Customs processes can present several challenges that disrupt supply chains. Understanding these issues and how to address them is vital. Incorrect or Incomplete Documentation Missing or inaccurate paperwork is a frequent cause of delays. To overcome this, implement strict document verification procedures and use templates to standardize submissions. Misclassification of Goods Incorrect tariff codes can lead to fines or shipment rejection. Use reliable classification tools and consult experts when in doubt. Delays in Payment of Duties and Taxes Late payments can hold shipments at customs. Set up efficient payment systems and budget for duties in advance. Changing Regulations Sudden changes in customs laws can catch businesses off guard. Maintain a regulatory watch and adapt processes promptly. Language Barriers and Communication Issues Misunderstandings with customs officials can cause problems. Employ multilingual staff or translators and maintain clear, professional communication. Physical Inspections and Sampling Inspections can delay shipments. Prepare goods properly and keep records ready to facilitate quick inspections. Addressing these challenges proactively will help maintain smooth customs operations. Tips for Maintaining Long-Term Customs Efficiency Sustaining efficient customs processes requires ongoing effort and adaptation. Here are some tips for long-term success: Regularly Review and Update Procedures Customs regulations evolve, so update your internal processes accordingly. Invest in Staff Training Continuous education ensures your team stays knowledgeable about best practices. Build Strong Relationships with Partners Collaborate closely with suppliers, freight forwarders, and customs brokers to streamline operations. Monitor Performance Metrics Track clearance times, error rates, and costs to identify areas for improvement. Adopt Advanced Technologies Explore automation, AI, and blockchain solutions to enhance transparency and efficiency. Engage in Industry Networks Participate in trade associations and forums to stay informed and share insights. By focusing on these areas, your business can maintain smooth customs processes and support global trade growth. Busy shipping port with containers and cranes Smooth customs processes are achievable with the right preparation, knowledge, and partnerships. By understanding the steps involved, adopting best practices, and committing to ongoing compliance, businesses can avoid costly delays and penalties. For specialized guidance, consider consulting experts in customs compliance  to tailor solutions to your unique needs. Subscribe  to receive updates. Resource Library Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Resources Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on WBAP's The James Parker Show, Texas Why the New U.S.-EU Trade Deal Could Raise Prices for Medicine, Machinery, and More Michelle Schulz Explains July 29, 2025 The James Show WBAP, News Talk, Texas Host: James Parker A New Trade Deal, A New Price Tag for American Consumers In a recent appearance on WBAP Radio, The James Parker Show (Dallas-Fort Worth), international trade attorney Michelle Schulz , founder of Schulz Trade Law, unpacked the economic impact of the latest U.S.-EU trade deal. While the Biden administration avoided the harshest proposed tariff levels—settling on a 15% rate instead of the threatened 30%—Schulz cautioned that the average American consumer is far from spared. “Fifteen percent may sound better than thirty,” Schulz said, “but it’s still significantly higher than the historical average of 2.5%. This will increase the cost of the goods Americans rely on—especially high-value imports from Europe.” Industries on the Line: Pharma, Machinery, and High-Tech Manufacturing Unlike many consumer goods imported from Asia, which are typically low-cost, U.S. imports from Europe include essential and complex items: pharmaceutical drugs, medical imaging devices, and high-precision industrial equipment. Because these items are ad valorem taxed —tariffs based on the item’s total value—the percentage hit becomes especially painful. And that’s not the end of it: key raw materials like steel, aluminum, and copper remain under a 50% tariff , impacting everything from construction to oil and gas equipment. “These aren’t just finished goods. They're the building blocks of America’s high-tech economy,” Schulz explained. “Higher costs ripple through the supply chain, affecting industries that manufacture, innovate, and build.” Few Wins for U.S. Exporters —And Big Risks for Consumers While trade deals often promise reciprocal benefits, Schulz emphasized that this agreement offers little in return  for American exporters. “Very few U.S. products are made entirely from domestic inputs. We rely on global supply chains,” she said. “This deal doesn’t suddenly make U.S. goods cheaper or more competitive abroad.” The area of greatest concern? Pharmaceuticals.  Germany, one of America’s top trading partners, supplies a significant portion of U.S. medications. Schulz warns consumers to brace for a 15% average price hike—and start comparison shopping now. “Fifteen percent is a huge increase for drug prices,” she said. “That’s the new baseline. If you rely on medication, now’s the time to look at alternatives and check where your prescriptions are coming from.” About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on SiriusXM's Road Dog Trucking Rising Tariffs, Revenue Gains, and Compliance Risks Michelle Schulz Breaks Down the U.S.-Japan and EU Trade Deals July 29, 2025 Road Dog Trucking SiriusXM Host: Mark Willis Trade Deals Bring Tariff Relief —But Not Without Pain In her July 29 interview on SiriusXM Road Dog Trucking , Michelle Schulz , founder of Schulz Trade Law , explained how the newly finalized U.S.-Japan and U.S.-EU trade deals may lower headline tariffs—from a threatened 30% down to 15%—but still pack a financial and logistical punch for importers. “Fifteen percent is still expensive, but it’s better than 30,” Schulz said. “Importers are on the hook for those duties, and they’re having to raise prices or renegotiate contracts to stay afloat.” Customs Revenue Soars —While Businesses Scramble Customs and Border Protection has aggressively ramped up collection efforts, bringing in not just tariffs, but additional fees such as merchandise processing and harbor maintenance. According to Schulz, the average tariff rate has jumped from 2.5% to 13.5% , with no clear relief in sight. “Ports are benefitting. So is Customs. But manufacturers, distributors, and shippers are rethinking everything—from how much they import to whether they use Foreign Trade Zones or restructure contracts,” she said. The uncertainty around which countries or industries may face higher tariffs next is forcing companies to strategize in real time. With threats looming against Brazil, Canada, and Mexico, Schulz calls it a “roller coaster” for global supply chains. Compliance is Now Critical —and Risky With more scrutiny from Customs, Schulz warns that mistakes—intentional or not—can be costly. “Customs has been directed to pursue full penalties without mitigation. That means even a $10,000 duty underpayment could lead to a $30,000 fine,” she said. “And if there’s evidence of fraud or deception? That can go criminal.” Companies must now keep five years of records, monitor their Customs Bonds, and avoid undervaluation or incorrect tariff classifications. Schulz notes that “focused assessments” (audits)  are on the rise, and compliance programs are no longer optional—they’re essential. “Customs is like the IRS. You don’t want to play games,” Schulz advised. “They’ve seen every scheme.” About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Michelle Schulz on Bloomberg TV's Balance of Power Tariffs, Trade Talks, and Tensions: Michelle Schulz on the U.S.–EU and U.S.–China Trade Fronts July 28, 2025 KNX News KNX Radio, Los Angeles Michelle Schulz , founder of Schulz Trade Law, joined KNX Radio to discuss the importance of U.S.–EU trade relations , tariff confusion facing U.S. companies, and the cautious optimism surrounding U.S.–China negotiations. Founder of Schulz Trade Law on Tariff Troubles Strengthening the U.S.–EU Trade Relationship Appearing on KNX Radio Los Angeles, Michelle Schulz emphasized the enduring significance of the U.S.–EU trade relationship. She underscored how integrated the two economies are—particularly in key sectors like auto parts, pharmaceuticals, and aerospace components —and explained why continued diplomacy is essential. “The EU is essentially America’s biggest trading partner... It's a really important trade relationship,” Schulz noted.“We need to keep these discussions going, because 15% is better, but it's not great.” While the 15% tariff rate may offer relative relief compared to earlier threats, Schulz pointed out that the current deal falls short of what many businesses and allied nations hoped for. U.S. Importers Bear the Burden of Uncertainty Schulz turned attention to the challenges on the ground, describing how U.S. companies must now interpret a patchwork of tariff rules without clear guidance. “It’s the U.S. companies that are navigating the tariff code and the percentages, and which ones will stack on top of one another—and which won’t,” she said. “The administrative burden is high on the U.S. importer.” This lack of clarity has created real-world confusion, forcing companies to devote time, resources, and legal review to ensure compliance—all while trying to maintain competitive pricing in a volatile global market. U.S.–China Trade Talks Offer Temporary Breathing Room Looking east, Schulz commented on the upcoming U.S.–China negotiations in Stockholm , noting that a 90-day pause on additional tariffs  is likely—providing a short-term reprieve for importers and manufacturers. However, she stressed that without concrete terms or a long-term strategy, businesses can only make cautious moves. In both trade relationships—with Europe and China—Schulz described a climate of measured hope , but warned that optimism must be paired with precision and legal foresight. Mitigate the complexity Whether your business is dealing with EU tariffs or China compliance, Schulz Trade Law offers the expertise to navigate complex international trade environments. Contact us today  to develop a strategy that protects your business. Subscribe  to receive updates. KNX News KNX Radio , Los Angeles https://www.facebook.com/KNX1070 @knxnews https://www.instagram.com/knx1070/ About Us We are a dedicated team of trade law professionals, committed to helping businesses navigate the complexities of international regulations and tariffs. With deep industry knowledge and a client-first approach, we provide clear, actionable insights to protect your interests and drive success in a dynamic global market. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.