How resilient is your supply chain?
With a fresh batch of US/Chinese tariffs now on line and set to ramp up in January, Maine Pointe’s Chief Marketing Officer, Simon Knowles and EVP Strategic Procurement, Rex Clothier, discuss why now is the time to stress test your supply chain.
This practical insights paper from Maine Pointe is for CEOs and supply chain leaders and includes:
- How tariffs and trade disputes are having a direct impact on current and future corporate profitability, growth and earnings
- What executives can do to protect margins and get actionable insights on the end-to-end supply chain
- Actions to mitigate risks and take advantage of opportunities
What's in this eBook?
Improving supply chain optionality
Gaining market insights regarding shifting production facilities
On 24 September, the latest batch of US tariffs, starting at 10% and increasing to 25% at the end of the year, was imposed on $200Bn worth of Chinese goods. These latest tariffs are in addition to penalties implemented earlier this year on $50Bn worth of Chinese goods.
Taken together, it means roughly half of the products that China sells to the United States each year will be hit by tariffs. In response, China announced its own duties on US goods worth $60Bn, starting on the same date. The Chinese government said the new tariffs will be levied at rates of 5% or 10%, depending on the product and will affect more than 5,000 US goods including meat, nuts, alcoholic drinks, chemicals, clothes, machinery, furniture and auto parts.
Other key US trading partners, including the European Union, are currently in talks with the US administration to avert the implementation of reciprocal tariffs on a broad range of products. On September 30, NAFTA negotiators finally managed to reach an agreement on a new trade deal, the United States, Mexico, Canada Agreement (USMCA). This is having a direct impact on current and future corporate profitability, growth and earnings.