Tariff Management
Between 2005 and 2017, the US Harmonized Tariff Schedule was modified a total of 14 times. However, it is projected to have 31 modifications during 2018 and 2019. When tariff rates, affected countries and carve outs are adjusted every month, supply chain professionals must constantly update strategies, footprint assumptions and cost models.
In the attached report, Cost & Capital reviews some of the most effective strategies for managing volatile trade deals and engaging the supply base with facts. When suppliers discuss the impact of changing tariffs on their cost structures, engaging them with up to date information, understanding how tariffs and exemptions work and leveraging the value chain are effective methods to ensure the price paid is fair
Cost & Capital works with clients to target categories affected by tariffs and research the underlying data to minimize the exposure. Our approach starts with a detailed review of payment history, value chain mapping and tariff code audit. This approach helps to determine when tariffs apply, investigate carve-outs and exemptions and map other cost changes to empower the buyers to negotiate with facts and confidence.
Please click here for a complimentary copy of our report.