News continues to develop on the subject of increased tariffs being applied on USA imports from China. As we’ve stated before, such actions impact different industries and different commodities in different ways. We continue to engage with our key customers on this subject and pay close attention to their comments and the insight they provide.
Frequently, our customers discuss sourcing alternatives. And yes, we have seen an increase in volumes from Cambodia, the Philippines, and Vietnam. Whether these surges signal increased manufacturing of good formerly produced in China is unclear. For our part, we pay close attention to these market shifts and plan our space accordingly. Our preferred status with many of the world’s best and most versatile airlines helps make this a manageable process.
In the meantime, it was announced this week that certain goods would be ‘exempted’ from the pending September 1st increase and would instead, not be imposed until mid-December.
More information on this is available via the link below.