Five Practical Tips to Mitigate Reciprocal Tariffs
The global trade compliance pain felt prior to Liberation Day has only gotten worse with reciprocal tariffs finally being implemented by President Trump’s Executive Order. Here are five practical tips for global trade compliance professionals to help mitigate those increased costs and risks.
Double down on determining which products can avoid reciprocal tariffs on US-originating content where US-originating content is 20% or greater.
Consider where US-originating content could be intangible (and allowable) such as intellectual property, assists and royalties, to increase US-originating content (from 18% to 20% for example).
Qualify goods for USMCA where it previously was not worth the time and expense to do so.
Review and validate existing HS codes in case products could fall into one of the HS codes in Annex II.
Get creative to reduce other costs: begin self-filing for entries that are repetitive, transition to a better product/item master (say good-bye to Excel and SharePoint) to do better and more precise analysis of trade compliance costs and risks or utilize AI-assisted HS classification automation to save time.
Learn more about how KYG Trade’s AI assistant, Kay, can help capture US-originating content, qualify goods for USMCA, validate existing HS codes and classify products thus saving time and reducing compliance risk. Schedule a Discovery Call.