What the New U.S. Tariffs Mean for International CPG Brands
Apr 04, 2025There’s a big shake-up happening in the world of U.S. trade—and if you're an international CPG (consumer packaged goods) brand, it's something you really need to know about.
On April 2, 2025, former President Donald Trump announced a new set of tariffs that could make it more expensive and more complicated to bring your products into the United States. Here’s a simple breakdown of what’s happening, what it means, and what you can do about it.
First Things First: What’s a Tariff?
A tariff is a type of tax that the U.S. government charges on products that come from other countries. If you’re shipping your goods into the U.S., a tariff adds an extra cost at the border. The higher the tariff, the more expensive your product becomes by the time it hits store shelves.
What Just Happened?
Trump announced a sweeping new plan called the "Reciprocal Trade Act", and here are the main changes:
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A new 10% baseline tariff on all imports into the U.S., starting April 5. That means every product from any country will get hit with a 10% tax automatically, no matter what it is or where it's from.
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On top of that, Trump’s team listed 60 countries that will face even higher tariffs. These are countries he says have “unfair trade advantages” over the U.S.
Here are a few examples:
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China: Will face a total of 54% in tariffs on their goods.
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Vietnam: 46%
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Japan: 24%
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European Union (countries like France, Germany, Italy): 20%
These new tariffs go into effect on April 9, 2025.
But I Sell Snacks and Skincare—Why Should I Care?
Even if your brand isn’t selling electronics or cars, these new tariffs can still impact you in big ways.
Here’s how:
1. Your Packaging or Ingredients Might Get More Expensive
Even if your finished product isn’t being taxed, your packaging, labels, or ingredients might come from countries like China or Vietnam. That means you could see cost increases—sometimes unexpectedly.
2. Slower Shipping & Customs Delays
With stricter trade enforcement, more products will be stopped at the border for inspection. This means delays, extra paperwork, and higher logistics costs.
3. U.S. Retail Buyers May Be More Cautious
Retailers are watching this closely. If they’re unsure about your pricing or supply chain stability, they may hold off on giving your product shelf space—even if your brand is amazing.
What Can You Do Now?
Here are a few smart moves you can make to stay ahead:
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Check where your stuff comes from. Look closely at your full supply chain. Not just your product—but your boxes, labels, jars, and even machinery.
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Talk to your suppliers. Ask them if they expect price changes or delays due to the new tariffs.
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Be transparent with buyers. If you’re pitching to U.S. retailers, be upfront about your pricing strategy and any potential delays. Honesty builds trust.
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Explore alternative suppliers or manufacturers. If you’re working with companies in countries hit hard by tariffs, it might be time to explore other options—ideally from countries with fewer trade restrictions.
Bottom Line?
Yes, these new tariffs add pressure. But they don’t mean the end of your U.S. market journey. With a clear plan and some flexibility, your brand can still win here—and we’re here to help.
At Wildflower Insight, we help international CPG brands just like yours find the right path into the U.S. market, even when the rules are changing. If you’re unsure how these new trade policies affect you, reach out. We’re happy to help you navigate it all.