For decades, Channeled Resources Group was primarily an exporter. At one point, we were shipping 60 containers a month of pressure sensitive materials and release liner around the world. Over the past 10 years, however, we’ve become increasingly reliant on imported raw materials, with roughly 35% of our inputs now coming from Europe and Asia. We also operate a Canadian division that imports from the US and exports 80% of its finished goods back into the States – placing us squarely at the crossroads of global trade.

So when tariffs shift, they impact us from every direction.

When sweeping new tariff proposals began surfacing in mid-2024 during the campaign season, we knew change was coming. Since the start of the new administration in January, that change has arrived quickly and with real implications. What started as speculation is now becoming policy, and the pace and unpredictability have challenged even the most seasoned import/export teams.

I’ve spent the past five months deep in the weeds of trade strategy. I’m not a lawyer or economist, but I’ve had to learn fast. The most important thing I’ve learned? Don’t try to navigate this alone. I brought in our legal team, who introduced us to trade specialists. We partnered with accountants and tapped into the insights of a global trade advisory group. And I leaned heavily on peers, friends who run companies in Canada and Mexico, who generously shared their own mitigation strategies.

Our Canadian operation was one of our first areas of focus. A 25% tariff was imposed, and then lifted, multiple times over a three-month period. While we’re currently in compliance with the US-Mexico-Canada Agreement and our goods are not subject to tariffs, the landscape is fluid. We’ve also begun implementing transfer pricing strategies between our Canadian and US operations, a complex but potentially effective way to reduce tariff exposure.

Of course, manufacturing more in the US is a logical solution, but it’s not an immediate one. Even if we had the right paper and equipment in place, labor constraints make it difficult to scale quickly.

The second wave of proposed tariffs, impacting goods from Europe and Asia, came just as suddenly. Initial figures were steep, then quickly revised to a 10% rate with a 90-day grace period. The speed and volatility of these changes are a reminder that agility matters more than ever.

Relying on communication

Throughout all of this, our guiding principle has been communication. Tariffs introduce uncertainty, and uncertainty affects everything: pricing, production schedules, and customer confidence. We’ve made it a priority to stay in close contact with customers, offer transparent updates, and provide options wherever we can.

Not all segments of the market will be affected equally. E-commerce, for example, is particularly exposed. Others, such as the tape segment, may actually see added opportunities. Our role is to stay nimble, strengthen our supplier relationships, and continue offering adaptable solutions that help customers manage costs and risk.

We can’t control the global trade environment. But we can prepare. We can stay informed. And we can act. That’s what we’re doing at CRG, and we’re committed to helping our customers do the same.

If you’re navigating similar challenges or simply want to compare notes, I’d welcome the conversation. We’re all facing a steep learning curve right now, and I truly believe we’re stronger when we share knowledge and strategies across the industry.

About the author: Cindy White is the president and CEO of Channeled Resources Group, a third-generation, family-owned and operated specialist in siliconized and sustainable release liners, blank labels, and pressure sensitive materials.