To say the last few weeks have been a rollercoaster for world trade would be an understatement. The on-again, off-again tariffs imposed by the US on allies and adversaries alike have created huge uncertainty for traders and had wide-ranging knock-on effects on the financial markets.
For importers to the US, keeping up with exactly what level of tariffs they need to pay may seem like an impossible task, as rates are often changing on a weekly or even daily basis, with little warning given to allow businesses to prepare.
What's the latest on tariff moves?
For now, the majority of president Trump's 'reciprocal' tariffs are on hold after the president announced a 90-day pause in implementation. However, the base ten percent levy remains in place, as do other tariffs such as 25 percent on steel and aluminum.
The major exception is China, where a series of tit-for-tat escalations have resulted in current import duties of 145 percent on Chinese goods entering the US, and 125 percent on those going in the other direction.
However, even with regards to China, there is uncertainty, as the Trump administration was reported to have issued exemptions for certain electronic products such as smartphones, computers and semiconductors. Mr Trump dismissed suggestions of a climbdown, writing on his Truth Social network: “There was no Tariff ‘exception' ... these products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff ‘bucket.’”
Meanwhile, commerce secretary Howard Lutnick said these products would be re-examined, “probably in a month or two”, as part of an investigation into semiconductors, which are facing their own tariffs.
How automation can help navigate uncertain times
With the tariff situation changing rapidly and unpredictably, it's vital that firms can have confidence they are paying the correct rates of duties when they import goods. Relying on manual processes or outdated systems to manage customs compliance isn’t just inefficient, it could have serious consequences for the business.
Companies can’t afford to be caught off guard by sudden tariff hikes or miss exemption opportunities due to outdated data. That’s where customs and tariff automation software becomes a strategic asset.
This technology provides real-time updates on tariff changes, integrates with official customs databases and automatically calculates duties based on the latest regulations.
This ensures companies are not paying the wrong amounts for their imports, as well as minimizing any delays at customs and reducing the risks of fines for noncompliance with ever-changing import rules. It may also make it easier to identify and apply for any relevant exemptions or special tariff programs, which is something many firms overlook due to complexity or lack of visibility.
The benefits of the right software solution
Choosing the right software solution for these processes can be the key to thriving in such a volatile time. MIC-CUST's approach, using Software-as-a-Service solutions, ensures businesses are always fully up-to-date with any relevant changes in tariff structures, export controls or other international trade regulations.
Cloud tools mean traders don't have to worry about maintaining or updating systems, as this is all done automatically as soon as new rules are announced. It also offers easy scalability and modules for integration with customs authorities around the world, making it easy to adapt to wherever the coming months will hold.