Tariffs, Supply Chains, and Opportunities in Manufacturing

Manufacturing expert, Marshall Taylor, shares manufacturing insights in the current economic environment

By Marshall Taylor 

Newton’s Third Law of Motion reminds us: for every action, there is an equal and opposite reaction. That principle holds true not only in physics but in global trade policy.

The Elephant in the Room

Everyone is talking about tariffs—and for good reason. They continue to reshape supply chains, customer demand, and global competition. 

If you’re in manufacturing, you are likely already feeling the effects: 

• Some manufacturers are benefiting from new customers reshoring production back to the U.S.

• Others are experiencing slower orders as long-time customers ride out uncertainty.

Either way, tariffs affect us all—whether through higher raw material costs, supply chain challenges, or new opportunities in domestic manufacturing. 

Tariffs Are Nothing New 

U.S. tariff policy has shifted through several major eras. At their core, tariffs serve two purposes: 

• Revenue: generating funds for governments.

• Restriction: incentivizing buyers to choose local.  

But the effects are rarely simple. Each tariff creates ripple effects—both positive and negative—including cost increases, retaliation, and new market openings. The key is positioning your business to take advantage of the opportunities while mitigating the risks. 

A Resilient Industry 

If the past few years have proven anything, it’s that manufacturing is resilient. From COVID disruptions to supply chain volatility, we’ve seen ingenuity and perseverance carry businesses forward. The same strength applies today. 

Practical Strategies for Manufacturers 

At Marvel Manufacturing, we believe resilience comes down to preparation and adaptability. Here are a few ways to thrive in today’s market: 

• Communicate: Stay transparent with suppliers and customers about forecasts, lead times, and potential delays. Strong communication keeps everyone ahead of the curve.

• Have a backup plan: Avoid single-source dependence. Build relationships with alternative suppliers now. Don’t wait for your products to be backordered or to be hit with major price increases before you start shopping around.

• Renegotiate wisely: Explore price agreements or blanket orders that benefit both you and your suppliers. Remember that your vendors are experiencing the same economic pressures that you are. You may be able to lock in legacy prices, which is a win for both you and your supplier.

• Optimize inventory: Stock strategically to avoid costly shortages—without overextending. Contrary to what some lean manufacturing purists may tout, lean does not mean that you have zero inventory. Lean manufacturing principals suggest you have an appropriate amount of inventory.

• Seize opportunity: Look for new customers or industries that are reshoring production due to tariffs. Without a doubt there are companies like yours that are finding ways to leverage this new market.  
  

Why It Matters

Manufacturing keeps the world turning. Every product—from cars and smartphones to airplanes and agricultural equipment—traces back to our industry. Tariffs may shift the landscape, but manufacturing itself isn’t going anywhere. 

At Marvel Manufacturing, we see these challenges as opportunities to support our customers with reliable, high-quality machining. No matter the market conditions, we remain committed to helping you grow your business.

We're excited to learn about your manufacturing needs. We know we're not the right choice for every job, but we'd be happy to discuss how we can be a good partner for your company.

Interested in chatting? Give us a call to explore how we can help your company succeed. If we can meet your requirements, we'll provide a detailed estimate. Contact: (208) 748-6600 or sales@marvelmanufacturing.net.