Search Results

Importing goods from global markets presents a myriad of challenges. Every business engaged in international trade must navigate barriers that can complicate the process. From tariffs to logistics issues, understanding these challenges is essential for success in the global marketplace. Global import/export for manufactured components Common Import Challenges One of the foremost challenges in importing goods is dealing with customs regulations. Each country has unique rules that dictate what can be imported and under what conditions. In the United States, the customs authority requires that all imports comply with federal laws, which can include tariffs, quotas, and labeling requirements. Failing to meet these criteria can lead to penalties, delays, or even the confiscation of goods. Another significant hurdle is the variability in shipping costs and delivery times. International shipping involves numerous factors, such as fuel prices, port fees, and handling charges. These costs can fluctuate greatly, making it difficult to calculate the total expense for imported goods. A sudden spike in shipping rates can erode profit margins, especially if the increase was not anticipated. Lastly, the risk of damage during transit cannot be overlooked. Goods traveling across vast distances are exposed to potential hazards, including rough handling and extreme weather conditions. Ensuring that items arrive in optimal condition often requires investing in quality packaging and insurance, adding further to overall costs. A busy shipping container port with stacked containers ready for shipment. Exchange Rate Fluctuations Exchange rates significantly impact the cost of importing goods. When a business buys products from another country, conversion rates between currencies can fluctuate wildly. If a company does not hedge against these fluctuations, it may find itself paying much more for imports than initially planned. For example, if a U.S. retailer agrees to pay in Euros for a shipment of electronics, and the Euro strengthens against the dollar before payment is made, the retailer faces a higher cost. This can lead to tough decisions like raising retail prices or absorbing the losses, neither of which is an ideal scenario. To mitigate this risk, businesses can utilize financial instruments, such as forward contracts, to lock in currency rates. This strategy helps provide predictability in budgeting for international purchases, shielding organizations from potentially harmful fluctuations. A close-up view showcasing fluctuating currency exchange rates. What are the Five Top US Imports from China? The relationship between the US and China is integral to global trade, with a hefty share of American imports coming from China. Here are the five top imports: Electronics : Items like smartphones, televisions, and computers dominate the import statistics. Machinery : This category includes a wide range of equipment from industrial machines to home appliances. Furniture : China is a leading exporter of furniture, from simple pieces to complex designs. Clothing and Textiles : Garments from China make up a large portion of apparel imports to the US. Toys : A significant part of the US's toy market is supplied by manufacturing in China. Understanding the specifics of these imports can guide businesses in making informed purchasing decisions and identifying reliable suppliers. Utilizing resources like Matt Savage's insights on china imports can also provide valuable expertise for navigating import challenges. A vibrant marketplace showing various electronic goods available for sale. Tariffs and Trade Policies Tariffs can be one of the biggest obstacles for businesses looking to import goods. Governments impose tariffs to protect domestic industries, but they also raise costs for importers. Whether dealing with permanent tariffs or temporary trade sanctions, businesses must set aside a budget for these additional expenses. Companies need to stay informed about potential changes in trade policies. For example, during tense political climates, governments often impose new tariffs unexpectedly. To minimize exposure to these risks, businesses may consider diversifying their supply chains or establishing relationships with suppliers from multiple countries. Engaging with trade associations can prove beneficial as they often provide timely updates on changes in trade law and tariffs. Staying ahead of industry news can give businesses the competitive edge needed to navigate these complexities. Inventory management and tracking Navigating Logistics and Supply Chain Issues Logistics stands as one of the most challenging aspects of international trade. Coordinating shipments, managing inventory, and ensuring timely delivery requires meticulous planning and effective management. Any disruption, whether from natural disasters, strikes, or logistic bottlenecks, can lead to delays that affect the entire supply chain. One recommendation is to utilize inventory management systems that track product levels in real time. This allows businesses to make informed decisions about ordering and stock levels, reducing the risks associated with unexpected delays. Furthermore, developing strong relationships with logistics providers can improve communication and efficiency in dealing with potential disruptions. It's also essential for businesses to plan for unforeseen scenarios. Developing contingency plans can help ensure that an operation runs smoothly even when faced with challenges. A spacious logistics warehouse filled with organized goods ready for distribution. Quality Control and Assurance Importing goods brings the challenge of ensuring that products meet quality standards. Variable manufacturing processes across different countries can lead to inconsistencies. Quality control inspections should be conducted at manufacturing sites before shipment. This can be crucial for products like electronics, which have strict safety regulations. Businesses should set quality benchmarks to assure compliance. Involving third-party inspection services can also provide an unbiased assessment of product quality. Regular audits and assessments of suppliers can further solidify relationships and ensure products meet predetermined standards. Building Resilience in Importing Strategies To summarize, the challenges in importing goods from global markets are multifaceted. Businesses must address customs regulations, shipping fluctuations, exchange rate variations, tariffs, logistics complications, and quality control processes to ensure seamless operations. Building resilience into importing strategies can greatly aid in overcoming these challenges. One effective approach is to cultivate strong relationships with suppliers, logistics partners, and customs brokers. This can facilitate smoother transactions and communication, leading to increased efficiency. Lastly, businesses can consider investing in technological solutions for inventory management and supply chain analytics. By leveraging technology, companies can make data-driven decisions that strengthen their import strategies. Importing goods is a complex endeavor, but with the right strategies in place, companies can successfully navigate the challenges of the global market. Remember to stay informed and adaptable to ensure ongoing success in your importing activities. Resource Library Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Brewing Trade War? Michelle Schulz Breaks Down the U.S.-EU Tariff Clash July 14, 2025 The Briefing with Steven Scully SiriusXM POTUS Host: Steven Scully The U.S. and European Union may be headed for a full-blown trade war—and the world is watching. On July 14, 2025, Michelle Schulz, founding and managing partner of Schulz Trade Law, joined SiriusXM’s POTUS channel to discuss the mounting tensions over President Trump’s threatened 30% tariff on EU imports. With nearly $2 trillion in annual trade hanging in the balance, Schulz warned that this standoff could have devastating consequences for global markets and American businesses alike. “We’ve been kind of living the high life until now,” Schulz said. “We’ve been drinking French wines, doing business freely with Europe—but that’s about to change.” Escalating Pressure and Global Ripple Effects The proposed tariff hike marks a sharp turn in U.S.-EU relations. According to the EU Trade Commissioner, any tariff above 30% would be a deal-breaker, potentially “wiping out” bilateral trade. Schulz explained that the pressure is mounting not just on European leaders but also on President Trump to strike alternative deals quickly. “When we cannot import from Europe, if it becomes too expensive, then the pressure is on the President to secure deals with other countries,” she noted. That’s already affecting U.S. businesses. Schulz shared that one of her clients recently shifted operations to Europe to avoid impending tariffs—a trend she says could become widespread. “Jobs and services are leaving the U.S. instead of coming back,” she cautioned. “This undercuts the idea of reshoring American industry.” What’s on the Line: Medical Devices, Wine, and Everyday Costs While the average American may not be closely tracking trade policy, the effects will hit close to home. From critical medical supplies to gourmet indulgences like French wine and Italian cheese, prices are set to surge. “We’re already seeing increased costs due to existing 50% steel and aluminum tariffs,” Schulz explained. “Stacking an additional 30% on top will make some goods nearly unaffordable.” For healthcare providers, that could mean tighter budgets. For consumers, the cost of luxury—and even necessity—could rise sharply. “You're looking at paying a lot more,” she said. “It will trickle down to the customers.” Informal Negotiations, Legal Battles, and the Path Forward Adding to the uncertainty is the unorthodox way this dispute is being handled. Unlike formal trade negotiations that take months or years, Schulz pointed out that this process has devolved into little more than letter exchanges. “These are just letters,” she said bluntly. “This isn’t the usual process for the U.S. in any kind of international trade deal.” Meanwhile, legal challenges are unfolding in the background. Cases in the Federal Circuit are questioning the very authority of the President to unilaterally impose such sweeping tariffs. The outcome of these cases could redefine the boundaries of executive power in trade policy. What Businesses Should Do Now Schulz offered a clear message to businesses: don’t wait. With the August 1 deadline looming and retaliatory EU tariffs almost certain, preparation is essential. “Our clients are pivoting—fast,” she said. “They’re exploring every legal and logistical mechanism available to minimize losses. But it’s not looking good.” At Schulz Trade Law , we help companies navigate international trade turbulence with confidence. If your business is grappling with tariff risks or shifting trade rules, now is the time to act. Contact us  for tailored strategies in compliance, mitigation, and global supply chain planning. SiriusXM POTUS  (channel 124) https://www.facebook.com/SiriusXMPolitics/ @SXMPOTUS 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.

Trade Alert: One Big Beautiful Bill – Opportunities and Risks for U.S. Trade and Global Supply Chains July 2, 2025 What is the One Big Beautiful Bill Act (OBBBA)? In July 2025, the U.S. Congress introduced the One Big Beautiful Bill Act (OBBBA) —a sweeping legislative proposal designed to revitalize American manufacturing , support small businesses , and reinforce domestic supply chains . While the bill’s name suggests simplicity and unity, the actual content of the legislation is far-reaching and complex. At its core, OBBBA aims to create long-term incentives for U.S.-based businesses , including: Making the Section 199A deduction permanent  for pass-through entities Expanding estate tax exemptions  to protect family-owned businesses Providing tax credits and deductions  for companies that repatriate manufacturing and distribution operations to U.S. soil Supporters hail the bill as a bold step toward economic nationalism , while critics warn it could disrupt international trade , inflate domestic costs, and create unintended burdens  for smaller import-reliant businesses. Key Benefits of OBBBA: Tax Incentives and Domestic Growth 1. Permanent Section 199A Deduction The OBBBA proposes making the 20% pass-through income deduction  under Section 199A  a permanent fixture of the tax code. This deduction has been a lifeline for LLCs, S-corporations, and sole proprietorships , helping them remain competitive against C-corporations. By securing this deduction long-term, the bill aims to: Boost small business reinvestment , Support domestically-based supply chains , and Encourage reshoring  of manufacturing operations. 2. Enhanced Estate Tax Exemptions Family-owned firms and generational businesses stand to benefit from expanded estate and gift tax exemptions . This change would: Ease succession planning , Preserve long-term family ownership, and Mitigate forced sales of assets to meet tax obligations. This provision is expected to gain support from wholesale distributors , family farms , and multi-generational manufacturing firms . Potential Drawbacks: Importers and Consumers Face New Challenges While OBBBA delivers several pro-business benefits for U.S.-based operations, it also presents notable risks , particularly for importers, small-to-medium enterprises (SMEs), and consumers. 1. Heightened Pressure on Importers The bill complements recent tariff escalations  on imported goods from several foreign nations. While tariffs aim to encourage domestic production, they also raise input costs  for companies dependent on global supply chains. Importers—particularly those in apparel, electronics, automotive parts, and food products —may face: Shrinking margins , Increased compliance costs , and Disrupted supply contracts  with overseas partners. 2. Unequal Impact on SMEs Larger corporations may have the resources to absorb or adjust to higher duties and domestic sourcing costs. However, many SMEs lack the flexibility or capital  to pivot quickly. Without global sourcing, these businesses could struggle with: Higher production costs , Limited supplier networks , and Reduced pricing competitiveness. Ironically, a bill designed to support  small businesses may unintentionally undermine those most dependent on international trade . 3. Consumer Price Implications OBBBA’s protectionist tilt, when paired with broader tariff policy, could lead to: Higher retail prices  for imported goods, Reduced access to budget consumer goods , and Strained purchasing power , particularly for low- to middle-income households . Household staples, clothing, electronics, and imported foods could all see price increases if businesses pass along the higher costs of compliance, labor, and materials. Trade Policy at a Crossroads: Nationalism vs. Global Integration The introduction of the One Big Beautiful Bill Act places the U.S. at a critical decision point in its trade and economic policy. On one hand, OBBBA signals a commitment to rebuilding American industry , enhancing self-sufficiency , and minimizing reliance on foreign nations—especially in strategic sectors  like pharmaceuticals, semiconductors, and heavy manufacturing. On the other hand, it risks decoupling the U.S. from global trade ecosystems  that have historically delivered cost savings, innovation, and supply chain efficiency. This tension echoes a broader trend in global economics: the shift from globalization to regionalization , as nations reassess the security and stability of their supply chains. Supply Chain Implications: Time to Rethink Strategy For businesses engaged in cross-border trade, the OBBBA is not just a tax bill—it’s a trigger for proactive supply chain review . Here’s what companies should begin evaluating now: 1. Cost-Benefit of Domestic Sourcing Assess whether shifting production or assembly operations to the U.S. aligns with long-term tax advantages offered under OBBBA. This analysis should weigh: Upfront transition costs , Tax savings , and Ongoing labor, infrastructure, and logistics implications. 2. Tariff Exposure Modeling Businesses reliant on imports should conduct a tariff exposure audit  to understand how OBBBA—combined with existing or future tariff regimes—will affect profitability. 3. Supplier Diversification Consider strategies to diversify or regionalize suppliers , minimizing dependence on any one country or port of entry. 4. Scenario Planning and Cash Flow Impact Prepare financial models for best-case and worst-case supply chain outcomes under the bill, including: Tariff increases , Delays in tax relief , and Changing compliance requirements. Compliance, Tax & Trade: Schulz Trade Law Is Here to Help At Schulz Trade Law PLLC , we specialize in the intersection of international trade law, customs compliance, and tax-related impacts on cross-border business . Our advisory services include: Customs & import strategy reviews Tariff mitigation and sourcing optimization Country-of-origin and classification support Regulatory compliance under evolving U.S. trade legislation Strategic planning for reshoring, FDI, and supply realignment We understand that legislation like OBBBA doesn’t just affect spreadsheets—it affects business models, market positioning, and long-term viability . Whether you're a family-owned manufacturer, a midsize importer, or a global enterprise, we provide tailored, timely guidance  to help you adapt and thrive. At Schulz Trade Law PLLC , we are closely monitoring these developments and providing clients with strategic guidance to mitigate risks, evaluate tariff exposure, and adapt compliance strategies. Our team is ready to deliver timely, tailored support to navigate these changes. 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.

Trade issues can arise unexpectedly, affecting businesses of all sizes. Sometimes, the complexity of international regulations and laws can be overwhelming. Knowing when to seek legal assistance is crucial for any business involved in trade. So, how do you determine the right moment to contact a legal professional? This blog post will explore various scenarios in which seeking help from a trade lawyer becomes necessary, ensuring your business navigates the murky waters of trade law effectively. Understanding Trade Regulations and Legal Complexities International trade is governed by numerous regulations that can vary significantly by country. In recent years, these regulations have become even more complex due to increasing globalization and changing political landscapes. For example, businesses exporting goods can run into various issues, such as: Tariff classifications Import duties Trade agreements According to the World Trade Organization, an estimated 80% of world trade is facilitated by international trade agreements. This means it's essential for businesses to comply with these frameworks or risk severe penalties. Trade regulations are complex and can affect business operations. Understanding these challenges is the first step in determining whether you need to consult with an experienced trade lawyer. They can help you navigate the legal complexities, ensuring compliance with both domestic and international laws. Signs You Need Legal Assistance from a Trade Lawyer Several indicators can suggest it's time to consult with a trade lawyer. Pay attention to the following signs: Receiving a Trade Violation Notice : If you receive a notice of violation from customs or another regulatory body, it’s crucial to seek legal help. Such notices can lead to hefty fines, delays, and even more severe legal consequences. Challenges with Import or Export Regulations : Often, businesses face confusion regarding specific import or export restrictions. An experienced trade lawyer can provide clarity and guide you through the necessary compliance measures. Disputes with Business Partners : If you find yourself in a disagreement with an overseas supplier or distributor, legal advice can help in resolving the issues without escalating them further. Navigating Trade Remedies : If your business is affected by unfair trade practices, such as dumping or subsidization by foreign competitors, it may be beneficial to consult with a trade lawyer to explore available trade remedies. Intellectual Property Concerns : If you are exporting products that include patented technology or trademarks, it’s essential to ensure you're not infringing on any intellectual property rights. Navigating trade regulations often leads to complications with imports and exports. How a Trade Lawyer Can Assist Your Business Engaging a trade lawyer can not only prevent issues but also help you resolve ongoing complications efficiently. Here’s how they can be of assistance: 1. Compliance Counseling Trade lawyers specialize in compliance matters. They can evaluate your business practices and help ensure you meet regulatory requirements. They may conduct audits of your trade operations to identify areas of potential risk. 2. Dispute Resolution In the event of a dispute, a trade lawyer can represent your interests during negotiations or mediations. Their expertise enables them to advocate effectively for your business, whether it involves customs disputes, contractual disagreements, or regulatory challenges. 3. Representation in Administrative Proceedings If your business faces administrative proceedings due to alleged violations, a trade lawyer can represent you in front of regulatory bodies. They will work to protect your rights and defend your interests throughout the legal process. 4. Drafting and Reviewing Contracts When entering into contracts with foreign partners, a trade lawyer can provide invaluable assistance. They can draft and review contracts to ensure they are enforceable and comply with international trade laws. 5. Keeping You Informed on Legal Changes Regulations can change frequently. A good trade lawyer will keep you informed about any relevant updates in trade laws that may impact your business. This can help prevent unexpected legal challenges in the future. Consulting an experienced trade lawyer helps navigate legal complexities effectively. Preparing for Your Initial Consultation Before meeting with a trade lawyer, it’s important to come prepared. Here are some steps to take: Gather Relevant Documents : Collect documentation related to your trade issues, such as contracts, invoices, and notices of violation. This will give the lawyer a clear understanding of your situation. Identify Key Questions : Write down any questions or concerns you have. This ensures that you cover all necessary topics during your meeting. Establish Your Goals : Be clear about what you want to achieve. Whether it’s understanding compliance requirements or resolving a dispute, communicating your objectives will help your lawyer tailor their approach. Discuss Fees and Costs : It's essential to understand the cost of legal services upfront. Discussing fees during the initial consultation helps avoid surprises later on. Real-World Scenarios Requiring Legal Intervention Real-life examples can help illustrate when a trade lawyer's expertise can be invaluable: Scenario 1 : A small furniture manufacturer exporting to Europe encounters unexpected tariffs due to a misclassification of their products. The business suffers losses and seeks help to rectify the issue and regain their market position. Scenario 2 : A tech startup partners with a foreign supplier, only to discover that their partner is using patented technology without permission. The startup seeks legal help to address the infringement and protect their intellectual property. Scenario 3 : A major retailer faces an investigation for violating import regulations related to labor standards. They engage a trade lawyer to assist in navigating the investigation and mitigating potential penalties. In each of these scenarios, seeking legal assistance leads to effective solutions that preserve business interests and ensure compliance with trade regulations. Taking the First Steps Toward Legal Help If you find yourself facing any of the challenges discussed, it is time to reach out for help. When you consult with an international trade lawyer , they can provide tailored advice to fit your business's unique circumstances. Don't wait for issues to escalate; proactive engagement with a legal expert can save time, money, and stress in the long run. In summary, knowing when to seek legal help for trade issues is vital for any business engaged in the global marketplace. Through proper guidance, you can navigate the complexities of international trade smoothly, allowing your business to thrive. 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.

Trade Alert: Trump Extends Tariff Suspension — What It Means for Importers, Manufacturers, and Supply Chains July 9, 2025 Breaking Update: Tariff Suspension Extended Through August 1 On July 7, 2025 , President Donald Trump issued a new Executive Order titled: “Extending the Modification of Reciprocal Tariff Rates.” This directive extends the suspension  of specific reciprocal tariffs  (originally set to expire on July 9) through August 1, 2025 —providing a short-term reprieve for many U.S. importers, manufacturers, and distributors. What’s Included in the Suspension: This order temporarily lifts duties under the following tariff provisions: HTSUS headings 9903.01.43 through 9903.01.62 HTSUS headings 9903.01.64 through 9903.01.76 U.S. Note 2 to Chapter 99, Subsection III , including Subdivisions (v)(xiii)(1)–(9) and (11)–(57) This applies to goods entered for consumption or withdrawn from a warehouse  during the July 9–August 1, 2025  window. Notably, tariffs on Chinese-origin goods remain in effect , maintaining pressure on ongoing U.S.-China trade negotiations. What the Suspension Means in Practice This temporary pause  in certain reciprocal tariffs is not a rollback , but rather a strategic delay —part of the administration’s ongoing effort to leverage tariffs as a negotiation tool . For many businesses, this suspension represents: A financial window of opportunity  to accelerate imports or complete key deliveries. A chance to adjust sourcing or pricing models  before duties are potentially reinstated. A compliance challenge , requiring careful tracking of entry dates and HTSUS classifications. The U.S. government is signaling that this window could close quickly —or potentially be extended or narrowed —depending on global responses. “The Executive Order also includes language allowing President Trump to further adjust the tariff schedule, potentially reducing or narrowing the duties.” Strategic Purpose: Negotiation Leverage The flexibility written into this Executive Order is designed to incentivize foreign governments  to engage in or maintain bilateral trade negotiations  with the United States. By holding off on tariffs temporarily, the administration sends a clear signal: progress at the negotiating table can lead to economic rewards —while inaction may result in a tariff snapback. For countries other than China, the message is clear: Stay engaged or face renewed economic pressure. Conclude trade agreements, or lose preferential treatment. For businesses, this “pause” must not be confused with permanence. The current tariff climate remains volatile and subject to presidential discretion . What Should Importers and Manufacturers Do Now? 1. Audit Product Classifications Review whether your products fall under the suspended tariff headings (HTSUS 9903.01.43–.76 and related notes). Proper classification is essential to ensure eligibility  for the temporary suspension. 2. Review Entry Dates Goods must enter U.S. commerce between July 9 and August 1  to benefit from the suspension. Timing is critical. Businesses should: Coordinate logistics  to take advantage of the duty-free window. Work closely with brokers and forwarders to document entry compliance . Evaluate whether delayed shipments may incur duties if the suspension expires. 3. Model Tariff Exposure Scenarios With reinstatement likely after August 1 (or possibly sooner if the order is amended), companies should prepare for a range of outcomes : Scenario Impact Tariff suspension extended Temporary relief continues Tariffs reinstated in full Increased landed costs Tariffs narrowed to select goods/countries Strategic sourcing advantages possible Modeling landed cost exposure , inventory strategies, and customer pricing may help absorb future shocks. 4. Monitor Country-Specific Risks With China excluded  from the suspension, importers with China-heavy supply chains  must continue operating under higher-duty regimes. Companies sourcing from other nations should track: Progress in bilateral trade negotiations , Presidential communications and executive actions, and Updates to tariff schedules or Federal Register notices . Supply Chain & Market Implications For global businesses, this Executive Order highlights the need to balance agility with compliance . The risk of sudden tariff changes is no longer theoretical—it is a policy instrument used in real-time  to shape international relationships. Key Implications: Supply Chain Flexibility: Businesses with diversified sourcing may pivot to take advantage of temporary tariff relief. Those heavily reliant on countries not included in the suspension may need to re-evaluate risk . Pricing Strategy: With landed costs in flux, firms may hesitate to lock in pricing contracts or long-term sourcing agreements. Greater volatility means more margin planning . Compliance Pressure: Even a short-term change in tariff status requires precise customs documentation . Businesses must align entry records, HTS classifications, and shipment timing to avoid penalties or lost benefits. Legal Insight: Enforcement Is Still in Effect Even during this suspension, U.S. Customs and Border Protection (CBP)  continues to enforce: Country-of-origin labeling , Valuation accuracy , and Duty payment accuracy . Tariff classification mistakes can result in: Monetary penalties , Audits , or Loss of eligibility  for suspended duty treatment. If you're unsure whether your goods qualify for the suspended tariff window, consult legal counsel and a licensed customs broker. Schulz Trade Law Is Here to Guide You At Schulz Trade Law PLLC , we actively monitor developments in U.S. tariff policy, Executive Orders, and trade negotiations. Our team advises importers, exporters, and manufacturers on how to: Minimize tariff risk  during uncertain trade climates, Classify goods accurately  under shifting HTS codes, Plan shipments  for maximum tariff advantage, and Prepare contingency strategies  in case of reinstatement. Our services are customized, responsive, and grounded in real-time updates—because in 2025, every tariff decision counts . At Schulz Trade Law PLLC , we are closely monitoring these developments and providing clients with strategic guidance to mitigate risks, evaluate tariff exposure, and adapt compliance strategies. Our team is ready to deliver timely, tailored support to navigate these changes. 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.

Trade Alert: U.S.-Vietnam Trade Deal Announced Key Impacts and What Businesses Need to Know July 8, 2025 A Major Shift in U.S.-Vietnam Trade Relations On July 2, 2025, President Donald Trump announced via Truth Social  that the United States has reached a new trade agreement with Vietnam. While concise, the announcement included three significant components: A 20% tariff  will now apply to all Vietnamese-origin goods imported into the U.S. A 40% tariff  will apply to goods transshipped through Vietnam  from third-party countries. The U.S. will gain full access to Vietnamese markets , including zero tariffs on American exports . While further implementation details are pending, this announcement represents a dramatic policy shift  from the previously enforced 46% reciprocal tariff  on Vietnamese goods. Moreover, the new provisions are clearly aimed at deterring transshipment schemes , a growing concern for U.S. regulators as companies seek to circumvent tariffs via Vietnam. U.S.-Vietnam What the U.S.-Vietnam Deal Signals This deal underscores a recalibration of U.S. trade policy in Southeast Asia, where Vietnam has played a complex role. As China-based manufacturing has slowed or relocated, Vietnam has emerged as a strategic supply chain hub —a shift that the U.S. both benefits from and views with caution. By applying a reduced 20% tariff on Vietnamese imports , the U.S. is signaling a willingness to engage with Vietnam more constructively . However, the 40% transshipment tariff signals continued vigilance against tariff evasion , especially where Chinese goods are funneled through Vietnam and re-labeled to avoid existing tariffs. Meanwhile, the agreement’s most favorable provision—the elimination of tariffs on U.S. exports to Vietnam —marks a potentially significant win for American agriculture, machinery, and high-tech sectors . The deal could pave the way for more predictable bilateral trade and enhanced U.S. foreign direct investment in Vietnam. Comparing Old vs. New Tariff Terms Prior to this agreement, Vietnamese-origin goods faced a 46% reciprocal tariff , a holdover from earlier trade enforcement actions. For many companies, this rate created a cost burden that narrowed profit margins and discouraged sourcing from Vietnam. U.S.-Vietnam Under the new structure: Product Origin Previous Tariff New Tariff (July 2025) Vietnamese-origin goods 46% 20% Transshipped goods (via Vietnam) Varies 40% U.S. exports to Vietnam Varies 0% (duty-free) This reduction to 20% on Vietnamese goods improves predictability , but it still leaves importers with significant cost calculations. Companies need to evaluate whether savings from Vietnamese sourcing offset the still-steep tariff rates. Transshipment Crackdown: 40% Tariff Explained One of the most consequential aspects of the agreement is the 40% tariff on goods transshipped through Vietnam from other countries . This measure is designed to: Curtail “tariff engineering” , where goods are lightly modified or relabeled in Vietnam to avoid tariffs meant for other origin countries (especially China), Ensure the integrity of country-of-origin declarations , and Protect legitimate Vietnamese manufacturers  from reputational harm. This provision may impact importers using Vietnamese supply chains as routing points. Companies must now carefully audit their supply chains  to ensure that goods labeled as Vietnamese genuinely originate there. Failure to comply could result in hefty duties , audits by U.S. Customs and Border Protection (CBP), and penalties under false origin claims . Sector-Specific Impacts of U.S.-Vietnam Trade Deal 1. Manufacturing & Electronics Vietnam is a global electronics assembly hub. For firms sourcing components such as semiconductors, circuit boards, or smart devices, the 20% tariff will be a cost consideration —but not necessarily a dealbreaker. The zero-tariff access for U.S. goods, however, opens the door for U.S.-made equipment and components to enter Vietnam more competitively . 2. Agriculture & Food Exports For U.S. farmers and food producers, the tariff-free access to Vietnam is highly favorable. Key exports like soybeans, poultry, beef, and corn  stand to gain significant market share in Vietnam's growing consumer economy. Trade volume may increase as prices drop and logistical hurdles are eased. 3. Automotive & Machinery U.S. machinery exports—especially precision tools, heavy equipment, and auto components —may now expand in Vietnam. Meanwhile, American automakers sourcing parts from Vietnamese factories must recalibrate costs with the new 20% import tariff in mind. Foreign Direct Investment (FDI) in Vietnam Vietnam has long attracted U.S. FDI  due to its political stability, lower labor costs, and growing infrastructure. This agreement further strengthens that relationship by offering increased market access and clearer tariff expectations . For U.S. companies operating manufacturing plants or logistics hubs in Vietnam, this agreement offers the potential for: Lower export costs  for U.S. goods, Reduced risk of supply chain penalties , and A more stable investment climate  under U.S.-Vietnam cooperation. However, companies must remain proactive in documenting product origin  and complying with enhanced transshipment monitoring protocols. Next Steps for Businesses The deal is still new, and implementation details may follow in the coming weeks . Businesses should take the following actions now: Review Country of Origin Protocols Ensure documentation is accurate and that Vietnamese labeling reflects actual origin. Audit Supply Chains Identify potential transshipment risks and restructure sourcing to avoid triggering the 40% tariff. Update Pricing Strategies Factor the new 20% tariff into cost models for Vietnamese-origin goods. Explore Export Opportunities to Vietnam U.S. exporters should consider how the zero-tariff access improves competitiveness in Vietnamese markets. Monitor Implementation Dates Track official notices from USTR and CBP regarding effective dates and HS code-level changes. At Schulz Trade Law PLLC , we are closely monitoring these developments and providing clients with strategic guidance to mitigate risks, evaluate tariff exposure, and adapt compliance strategies. Our team is ready to deliver timely, tailored support to navigate these changes. 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.

One Big Beautiful Bill; Its Benefits and Drawbacks to International Trade July 2, 2025 The One Big Beautiful Bill Act (OBBBA) is a 2025 legislative proposal to boost U.S. manufacturing, support small businesses, and strengthen domestic supply chains. While it offers benefits, it also poses challenges for importers and small to medium enterprises (SMEs). Schulz Trade Law PLLC is tracking these developments to help trade businesses adapt. What Is the OBBBA? The OBBBA aims to: Revitalize U.S. manufacturing through incentives for domestic production. Support small and family-owned businesses with tax relief. Enhance supply chain resilience by prioritizing U.S.-based sourcing. Combined with recent tariffs on foreign goods, the act could reshape trade dynamics, impacting costs and market access. Key Provisions of the One Big Beautiful Bill Tax Incentives Permanent 199A Deduction : A 20% pass-through income deduction for wholesale distributors and family-owned firms, ensuring long-term tax savings. Enhanced Estate Tax Exemptions : Higher exemptions ease the burden on family businesses during generational transfers. Manufacturing Support Grants and loans for factory modernization. Tax credits for hiring and training U.S. workers. Incentives for reshoring production. Supply Chain Resilience Investments in critical industries like semiconductors. Incentives for domestic inventory and diversified sourcing. Opportunities SME Growth : Tax savings enable reinvestment in technology, hiring, or expansion. Manufacturing Edge : Domestic producers gain cost advantages through grants and credits. Resilient Supply Chains : Reduced reliance on global suppliers enhances stability. Challenges Importer Strain : Tariffs and domestic focus raise costs for imported goods, squeezing margins. SME Pressures : Import-dependent SMEs face higher costs and compliance burdens. Consumer Impact : Higher prices may reduce demand, especially for lower-income households. Supply Chain Shifts : Reshoring disrupts global sourcing, requiring new supplier networks. Strategies for Trade Businesses Assess Tariff Exposure : Review supply chains to identify tariff impacts and explore domestic or tariff-exempt suppliers. Maximize Tax Benefits : Use 199A and estate tax savings for growth or efficiency upgrades. Diversify Supply Chains : Source from domestic or nearshore vendors to reduce risks. Strengthen Compliance : Audit import/export processes and train staff on trade regulations. Monitor Trends : Stay updated on tariffs and market shifts with expert guidance. Conclusion The OBBBA offers opportunities for trade businesses but requires strategic planning to navigate tariffs and supply chain shifts. Schulz Trade Law PLLC is here to help you adapt and thrive. Act now to stay competitive in this evolving trade environment. How Schulz Trade Law Can Help Schulz Trade Law PLLC offers tailored support, including: Tariff and cost analysis. Supply chain optimization. Compliance and tax incentive guidance. 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.

Understanding the key principles that govern international trade is essential for any country or business participating in the global market. International trade involves the exchange of goods and services across borders, and it is influenced by various factors, including regulations, agreements, and economic considerations. In this blog post, we will explore the core principles of international trade, their importance, and how they shape the global economy. The Role of Trade Law in International Commerce Trade law is foundational for regulating exchanges in international markets. It encompasses the rules and agreements that nations or trading blocs negotiate. These laws ensure that trade proceeds fairly and efficiently. For instance, the World Trade Organization (WTO) is a vital entity that facilitates these agreements by providing a platform for countries to negotiate and resolve trade disputes. Countries adhere to various trade laws to promote fair competition, reduce barriers, and increase market access. Importantly, trade laws also work to protect intellectual property, ensuring that innovations and creative works are legally safeguarded. Law books trade law principles, showcasing its importance in international commerce. Countries that respect and implement trade law usually enjoy better relations and trade partnerships. Conversely, failure to comply with these regulations can lead to trade disputes or sanctions, adversely affecting economic health. The Importance of Free Trade Agreements One of the cornerstones of international trade is the use of Free Trade Agreements (FTAs). These agreements between two or more countries eliminate tariffs, import quotas, and preferences on goods and services traded among them. FTAs serve as a framework for managing trade relations, fostering economic cooperation, and enhancing investments. Economic benefits arise from FTAs through reduced costs for consumers and increased market access. The North American Free Trade Agreement (NAFTA), for example, significantly boosted trade flows between the U.S., Canada, and Mexico. By reducing tariff barriers, it allowed for a substantial increase in cross-border commerce. Traders discussing trade agreements, illustrating the importance of collaboration in international trade. FTAs not only promote economic growth but also encourage innovation and competitiveness among businesses. The reduction of barriers generally leads to an increase in the variety of goods available to consumers, which in turn can result in lower prices and enhanced quality. Trade Barriers and Their Implications While free trade is desirable, various types of trade barriers can impede the international exchange of goods and services. These barriers include tariffs, quotas, and import licenses, which can complicate trade relationships. Tariffs are taxes imposed on imported goods, making them more expensive. Tariffs can serve a protective purpose by shielding domestic industries from foreign competition; however, they can also lead to retaliation from other countries, creating a trade war. Quotas , on the other hand, limit the quantity of a product that can be imported, which can also distort the market and lead to shortages or price hikes. The recent trade tensions between the U.S. and China highlighted the impact of trade barriers. The imposition of tariffs by both nations led to increased prices and volatility in the global supply chain. A cargo ship docked at a port, symbolizing the complexities of trade dynamics. Countries must navigate these barriers strategically to engage in successful international trade. Doing so requires understanding the implications of such barriers, assessing the potential benefits against the costs, and adapting strategies accordingly. The Economic Theories Underpinning Trade Several economic theories provide the foundation for international trade. The most notable include comparative advantage , absolute advantage , and the Heckscher-Ohlin theorem . Comparative advantage theory posits that countries should specialize in producing goods they can produce most efficiently relative to others. For instance, if country A can make coffee more efficiently than country B, while country B produces textiles more efficiently, both countries benefit by specializing and trading with one another. 2. Absolute advantage , on the other hand, refers to a country's ability to produce more of a good with the same resources than another country. 3. The Heckscher-Ohlin theorem emphasizes the idea that nations export goods that utilize their abundant resources and import goods that use their scarce resources. This theory underscores the relationship between a country's resource endowments and its trade patterns. These economic principles play a critical role in how countries structure their trade policies and agreements. The Future of International Trade As the global landscape evolves, the principles governing international trade will continue to change. Factors such as technological advancements, environmental concerns, and global pandemics are reshaping how trade is conducted. Countries must adapt their trade practices to respond to these new realities while upholding the core principles that promote fair and beneficial exchange. Understanding the intricacies of international trade law is essential for policymakers and businesses aiming to thrive in a competitive global market. Engaging with experts in international trade law, such as those available through Ogbo Ossai , can help stakeholders navigate these complexities, ensuring compliance and optimal performance in international dealings. The future of international trade relies on collaboration, innovation, and a commitment to fair practices that benefit all parties involved. Resource Library Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

Tariffs, Trade Wars, and Trump’s Letters Michelle Schulz Breaks It Down on The James Show July 1, 2025 The James Show WBAP Radio, Dallas-Fort Worth   Host: James Parker  Trade attorney Michelle Schulz , founder of Schulz Trade Law, joined host James Parker for a sharp, timely conversation on the high-stakes world of U.S. tariffs and international trade deals. With tariff deadlines looming, global negotiations heating up, and President Trump’s unorthodox strategy shaking up traditional diplomacy, Schulz offered clear-eyed insights into what businesses and policymakers can expect next. Michelle Schulz at 19:08 Tariffs, Trade Wars, and Trump’s Letters Tariff Trouble Ahead Schulz warned of a major trade shake-up as tariffs are poised to revert to the aggressive rates announced back in April—some hitting as high as 50%. Steel and aluminum tariffs are still in place, and more may be on the way. “The vast majority of countries are going to be confused for a little bit right now,” Schulz noted, highlighting the ongoing uncertainty. Global Tariffs Trade Snapshot Schulz gave a country-by-country breakdown of the current state of trade negotiations: United Kingdom : A rare bright spot—Schulz confirmed a finalized deal with the UK. India : Still in limbo. “We’re hopeful,” she said, but no agreement has been reached. Canada : Things cooled after digital tax retaliation, but Schulz warned this peace might not last. China : A deal has been announced —but the fine print remains unseen. Trump’s “Letter” Strategy In classic Trump fashion, the former president is sidestepping detailed trade code negotiations in favor of direct “letters” to countries—essentially imposing sweeping tariff rates across entire economies. “He’s just going to pick a number and apply it to everything from that country,” Schulz explained. While unconventional, this blunt-force approach has pushed some countries to the table. But it’s also left many industries guessing what comes next. What’s Next? Schulz predicted a mix of rollbacks and permanent tariffs, noting the administration’s leverage-based approach has yielded results—at least for now. But the volatility makes long-term planning tough for global businesses. Track the Tariff Changes in Real Time To help businesses stay ahead, Schulz pointed listeners to the Tariff Tracker  at schulztradelaw.com , featuring up-to-date listings of reciprocal tariffs, percentages, and effective dates. “Bookmark it,” she advised, “because everything could change again in the next few weeks.” Listen to the Full Interview Catch the full discussion on The James Show  podcast, available on wbap.com , and follow the show on social media for updates: X : @jamesparkershow Facebook : thejamesparkershow Instagram : jamesparkershow YouTube : thejamesparkershow 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.

No Taxes for Lesser Tariffs Canada-U.S. Trade Negotiations Rekindled Amidst July 9 Deadline July 1, 2025 On June 27, 2025, President Trump announced a pause in trade negotiations with Canada after Canada proposed a digital services tax on U.S. tech firms. In response, Canada has withdrawn its tax proposal, paving the way for both nations to resume negotiations before the July 9 deadline, marking the end of a 90-day pause on country-specific reciprocal tariffs. This brief interruption underscores the volatility of U.S.-Canada trade discussions. Trade experts and market analysts are increasingly skeptical about the U.S.’s ability to finalize comprehensive trade agreements by July 9. A Financial Times article from June 30, 2025, suggests the U.S. may prioritize “mini-deals” targeting specific economic sectors while broader negotiations continue. As a result, tech companies, manufacturers, and export-driven businesses are reassessing their duty-savings strategies and preparing for potential shifts in duties, costs, and market access. At Schulz Trade Law PLLC , we are closely monitoring these developments and providing clients with strategic guidance to mitigate risks, evaluate tariff exposure, and adapt compliance strategies. Our team is ready to deliver timely, tailored support to navigate these changes. 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.

Exporting goods can be a lucrative venture for businesses looking to expand their reach. However, navigating the complexities of export regulations is crucial for compliance. The laws governing exports can be intricate and vary by country, making it vital for businesses to understand their obligations. Failure to comply can lead to severe penalties, including fines and restrictions on future operations. This blog post will guide you through the essential aspects of export regulations, including how to ensure compliance. Understanding Export Regulations Export regulations are rules established by governments to control the export of goods and technology. These regulations ensure that sensitive products do not enter the hands of unauthorized individuals or countries. Various organizations oversee these regulations, including the U.S. Department of Commerce and the U.S. Treasury Department. Each country has its own set of regulations, which can make understanding them challenging. A critical aspect of export regulations is determining which products require licenses for export. Certain items, especially those related to national security, technology, or dual-use goods (products that can have both civilian and military applications), typically require careful scrutiny before they can be exported. Global trade conference discussing export regulations. Key Components of Export Regulations Understanding the different components of export regulations is crucial for compliance. Here are some key elements: Export Licensing : Most countries require an export license for specific goods and technologies. This license serves as a safeguard ensuring that items are not exported to unauthorized destinations. End-User Verification : Exporters must verify who will use the products and for what purpose. This is particularly important for sensitive goods, as they can pose risks if misused. Country Restrictions : States and international organizations maintain lists of countries with which trade is restricted. For instance, exporting to countries under economic sanctions can lead to severe legal consequences. Recordkeeping : Exporters must maintain thorough records of all transactions. This includes invoices, shipping documents, and correspondence related to the transaction. Compliance Programs : Establishing a robust compliance program can help organizations manage export responsibilities efficiently. This program should include training for employees and regular audits to ensure adherence to regulations. Shipping containers representing international trade and regulations. What are Examples of Export Controls? Export controls are specific regulations that restrict the sale and distribution of certain types of products. Here are some examples that illustrate how these controls function: Arms and Military Equipment : Countries have stringent regulations in place concerning the export of arms and military equipment. For example, the U.S. International Traffic in Arms Regulations (ITAR) controls the export of defense articles and services. Dual-Use Technology : Items that can be used for both civilian and military purposes fall under strict regulations. One example is software used for encryption, which can be crucial for both secure communications and military applications. Critical Infrastructure : Exports related to critical infrastructure, such as energy production and communications, may be subject to additional scrutiny. For instance, a company exporting technology for power grid management must ensure that it adheres to the applicable regulations. Biotechnology : The export of biotech products, especially those that could affect public health or safety, is heavily regulated. This includes genetic materials and genetically modified organisms, which require specific licenses before they can be exported. Nuclear Materials and Equipment : The export of nuclear materials is one of the most tightly controlled areas. International agreements govern the transfer of nuclear technology to ensure they are used only for peaceful purposes. Understanding these controls is essential for any business involved in exporting, as violating them can lead to significant legal repercussions. Steps to Ensure Compliance with Export Regulations Ensuring compliance with export regulations doesn't have to be overwhelming. Follow these practical steps to simplify the process: Conduct a Risk Assessment : Begin by assessing your products, technology, and potential markets. Understand which items may require special licenses and which countries have restrictions. Training and Awareness : Implement training programs for your team focused on export compliance. Make sure that relevant personnel know the regulations that affect your business. Develop an Export Compliance Program : Create a detailed export compliance policy that outlines your company's procedures for dealing with export regulations. Include checks for licensing, end-user verification, and documentation practices. Utilize Technology : Many software solutions offer features to help manage compliance. They can automate recordkeeping, provide alerts for licensing obligations, and assist in monitoring regulatory changes. Monitor Regulatory Changes : Export regulations can evolve, influenced by political conditions, international relationships, and security concerns. It’s essential to stay informed about any changes that could affect your business operations. Compliance officer assessing export documentation for regulations. Importance of Seeking Legal Guidance Navigating export regulations can be complex, and seeking legal guidance is often advisable. Legal experts specializing in international trade can provide valuable insights into the intricacies of compliance. They can help reduce the risk of penalties by ensuring that all aspects of your exports align with both domestic and international laws. Additionally, having a legal counsel can be advantageous when disputes arise or when you need to navigate the nuances of specific regulations. They can help interpret laws, handle licensing applications, and provide guidance on how to approach potential compliance challenges. Final Thoughts on Navigating Export Regulations In conclusion, navigating export regulations is not just a legal obligation but a critical element in ensuring the success of your business in global markets. By understanding the key components, following practical steps for compliance, and seeking legal guidance, companies can mitigate risks associated with exporting. Investing in compliance not only protects your business but also builds trust with consumers and partners. As you look to expand your business internationally, remember that staying informed and adhering to regulations will ultimately create a sustainable and successful export strategy. The key is to approach international trade with caution and care, ensuring that you are well-equipped to handle the complexities of global commerce. To further understand how to navigate the intricate landscape of export controls, consider consulting dedicated resources or professional services to aid you in maintaining compliance and fostering growth in your export endeavors. Resources Learn more about Trade Law. We have a series of articles highlighting the key components of international trade and compliance. Contact Us Stay ahead of trade law changes! Contact us today for guidance on tariffs and regulations to safeguard your business.

What Does “Made in America” Really Mean? Michelle Schulz Unpacks Tariffs, Labels, and Legal Gray Areas on The James Show June 19, 2025 The James Show WBAP Radio, Dallas-Fort Worth   Host: James Parker  Michelle Schulz , founder of Schulz Trade Law , returned to The James Show to offer sharp insight into America’s evolving trade policies. This time, the conversation zeroed in on a deceptively simple question: What does it really mean to be “Made in America”? With tariff confusion mounting and "Made in the USA" labels under greater scrutiny, Schulz broke down the legal complexities behind origin claims—and why getting it wrong can mean big trouble for businesses. “Made in America”? Not So Fast. Host James Parker opened the discussion by highlighting a troubling example: a television labeled “Made in America,” even though almost every component came from overseas. The only domestic contribution? A single motherboard plugged in and a few screws. Schulz didn’t mince words: “To be made in America, it needs to be all, or substantially all, made in America… You really have to ask: when did it change from being one thing to another?” She explained the key concept of “substantial transformation,”  which is defined by U.S. Customs regulations and tariff codes. If a product’s essential character doesn’t change—just a minor assembly—it likely doesn’t meet the standard for a valid U.S. origin claim. Tariffs Still in Play Schulz also provided an update on the current tariff environment. While some China tariffs have eased slightly, many high-impact tariffs remain firmly in place—especially on steel and aluminum. “They're just not the focus of the news right now,” Schulz noted, “but companies are still paying attention.” Even though a court ruled that certain tariffs were improperly issued, a legal stay  has paused that decision, meaning many of the contested tariffs are still active while appeals proceed. 100% American Car? No Such Thing as a 100% American Car? From Teslas to Toyotas, Schulz and Parker discussed the murky reality behind car manufacturing labels. Even the most “American-made” vehicles are built from a global mix of components—including rare earth minerals and metals that the U.S. doesn’t currently produce. “Cars have materials like steel and aluminum that aren’t coming from the U.S.,” Schulz said. “We’re going to see 50% tariffs on those until we rebuild our domestic supply chains.” Milton Friedman's example of the pencil to explain global trade. Clothing, Pencils , and Compliance It’s not just electronics and vehicles. Schulz pointed to examples like clothing labels that claim “Made in America” even when the fabric comes from overseas: “You’ll see things like ‘Made in America of Vietnamese yarn.’ That’s where companies really need to be careful.” She also echoed a famous Milton Friedman anecdote about the complexity of making a simple pencil —with materials sourced from all over the world—driving home how interconnected global trade really is. Catch The James Show  podcast, available on wbap.com , and follow the show on social media for updates: X : @jamesparkershow Facebook : thejamesparkershow Instagram : jamesparkershow YouTube : thejamesparkershow 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.