As part of our commitment to transparent communication, we want to keep you informed about the evolving tariff landscape affecting India-origin goods. Below is a quick overview of the current environment, what we’re monitoring, and how we are positioning to protect supply continuity and cost stability for our customers.
Current Tariff Status:
The 50% total duty rate on India-origin goods (25% reciprocal + 25% ad valorem) remains in effect and is being applied to all imports received into our inventory. This rate will stay in place until the U.S. government announces a formal policy change.
Recent reports indicate active U.S.–India trade discussions, with growing optimism that a new tariff framework or phased agreement may be announced soon. While nothing has been finalized, signals point to a potential update within the next 4–6 weeks.
We are monitoring developments closely and will provide immediate updates if a rate reduction or new structure is announced.
Our Current Position & Plan:
1. Staying the Course with Our Indian Partners
After evaluating multiple sourcing scenarios over the past several months, we believe India continues to offer the strongest balance of quality, consistency, and cost control. Maintaining our current strategy also positions us to benefit quickly if tariff rates improve.
2. Contingency Plans Are Active
If the upcoming policy announcement is not favorable, we are prepared to pivot. Our contingency plan includes alternative origin options, lead-time and inventory buffers, and adjustable production capacity with qualified partners to ensure supply stability and minimize disruption.
3. Tariff Pass-Through Policy
Because tariff levels are dictated by government action, we will continue to pass through tariff charges at the actual rate incurred on each entry. These charges will remain clearly itemized on all quotes and invoices.
Recommended Customer Action Items:
- Talk with Your Sales Representative: Your rep can help you understand how current tariff rates affect your SKUs, releases, and inventory planning.
- Review Forecasts & Timing: With a possible policy shift in the next 30–40 days, adjusting order timing now may help optimize your landed costs if rates change.
- Expect Transparent Updates: We will communicate immediately if tariff rates are reduced, restructured, or rescinded.
We appreciate your continued partnership. Your sales representative is available to discuss expected costs, timing considerations, and forward-looking planning. We will keep you updated as new information becomes available.