A 2025 Supplier’s Survival Guide: Thriving in a 30/10 Tariff World

Your action plan for making margin moves when the rules keep changing.

Let’s state the facts:

🔺 U.S. tariffs on Chinese imports are holding steady at 30% 🔻 China’s tariff on U.S. goods is just 10%

That’s not a level playing field. And if you’re a retail supplier, you’re feeling it.

Margins are tighter. Forecasts are harder. Buyers are more cautious.

This isn’t a temporary fluctuation. This is the new normal—and your business strategy needs to catch up fast.

So What Now?

This isn’t about doom and gloom. It’s about adapting. And winning—even when the rules are changing.

Here’s your 5-step action plan to not just survive, but thrive:

1. Know Your Post-Tariff COGS—Every Line Item

This sounds obvious, but many suppliers still run their pricing models based on FOB cost + estimated freight. Wrong move.

In a 30% tariff world, your fully loaded landed cost needs to include:

• Country-specific duties

• Surcharges

• Brokerage fees

• Warehousing and demurrage risks

A fictional brand, CoreFuel Protein, found it was underpricing 3 SKUs by $0.73 each because it forgot to factor in reclassed customs codes post-tariff. That $0.73 nearly tanked its retail margins.

2. Don’t Assume “Made in China” Is Dead—But Have a Backup Plan

Yes, China is more expensive. But it’s still reliable, mature, and fast.

Use the 30% tariff as a wake-up call to build optionality, not panic. Test Vietnam, explore India, and talk to your broker about dual sourcing—but don’t rip the cord just yet unless you can model the risks.

3. Keep Your Buyers Informed—They Hate Surprises

If you need to raise prices, justify it with data. Bring in tariff memos, carrier cost tables, and updated COGS breakdowns. Retailers may not love it, but they’ll respect your transparency.

A few even allow cost-sharing if you can show proactive mitigation efforts.

4. Audit Retailer Deductions—Now

You can’t afford to let even $10,000 in invalid chargebacks slip through the cracks.

Because if you’re absorbing tariff costs and silently losing 3% of your revenue to deductions, you’re not just under pressure—you’re bleeding out.

Deduction recovery isn’t just a finance function. It’s margin defense.

5. Model Export Opportunities—Yes, Really

Here’s the curveball: China only slapped 10% tariffs on U.S. goods. That’s a lot more favorable than you might think.

If you’re in:

• Beauty

• Wellness

• Kids’ snacks

• Supplements

You may have a chance to expand into China, while your competition is shrinking back.

It’s not for everyone, but if you have a differentiated product, now might be the right time to explore new markets.

Conclusion: You Can’t Control the Rules—But You Can Control the Gameplan

Tariffs aren’t going away. Retailers won’t lower their expectations. But your margin still has room to breathe—if you play smart.

Survival in 2025 isn’t about cutting to the bone. It’s about acting with strategy, discipline, and the courage to look at your numbers differently.

Take Action

Need a gut check on your retail health? Let’s talk sourcing, deduction recovery, and growth—because at Woodridge, we help suppliers thrive in every climate.