You’ve probably heard the news about President Trump’s tariffs.
Let’s be serious, you’ve definitely heard the news about President Trump’s tariffs. And since you’re reading this, you’re likely wondering how they’re going to impact the promotional products industry. So are we, and while we don’t have a crystal ball, we do have some answers.
*This article was most recently updated on April 14 2025*
International Tariff Rates
Here are the rates imposed on goods from specific countries:
- China: 145% (including 20% that was imposed in Trump’s first term)
- Canada and Mexico: 25% on goods not covered by the USMCA trade pact, 10% on energy and potash
- Around 60 countries and blocs (full list here): Tariffs varying from 11% to 50% (Paused for 90 days from April 9 2025)
- All other countries: 10% on almost all goods
The tariffs levied on the group of approximately 60 countries and blocs were paused for 90 days on April 9. All other tariffs are still in effect.
Products With Additional Tariffs
Certain products carry their own tariffs, regardless of country of origin:
- 25% on all steel and aluminium, including some products that use these materials
- 25% duties on cars and car parts
These tariffs are still in effect as of writing (i.e. they were not paused.)
What Kinds of Products do Tariffs Apply To?
Almost everything. As of writing, exempt products are mainly chemicals, minerals, semiconductors, and oil products.
Some products have their own specific tariffs, notably steel and aluminum (25%), and cars and car parts (25%). On April 13, it was announced that smartphones and laptops manufactured in China would likely be exempt from the 145% tariff imposed on most other Chinese goods, but subject to a separate and as yet unspecified tariff rate.
Canadian and Mexican tariffs don’t apply to goods covered by the two countries’ trade pact with the US.
What This Means for Promotional Products
As with many industries, these tariffs are expected to have a significant impact on the promotional products industry. However, we are working with our domestic and international partners to understand what that will look like, and to find new ways to keep delivering our products to you and your customers.
Immediate impact (April through June): Many vendors stocked up on products in advance of the threatened tariffs. While those supplies last, prices will remain relatively close to pre-tariff prices, with no major increases. At the same time, US manufacturers are starting to increase production to meet demand.
Longer term impact (July onward): We don’t know exactly what will happen if these tariffs remain in effect and the pause comes to an end, but we have some predictions.
- If the pause on tariffs against those 60 countries and blocs expires on July 8, as it is currently expected to, the cost of goods from those countries will increase based on their specific tariff rates. In terms of promotional products, this is especially notable for apparel, since countries that are major producers of apparel sold in the US – including Cambodia, Vietnam, and Bangladesh – have been hit with some of the highest tariffs. China also produces US-sold clothing.
- If the tariff against China remains in place, some or all of the following is likely to happen:
- 1Vendors will eventually run out of the stockpiles they’ve built up and will need to import new products, which will be taxed at the 145% rate. This is predicted to particularly impact hard goods, which in the promotional products world means things like pens, water bottles, and stress balls. (Even though stress balls are technically squishy.)
- 2Under pressure from overwhelming orders, domestic manufacturers will be forced to dramatically extend production times.
From customers’ perspectives, this will likely eventually mean prioritizing either speed or price. We predict that we’ll be able to deliver products in line with our current production timeline, but at significantly higher prices. Alternatively, you’ll be able to pay less for domestically manufactured products, and face potentially long wait times.