Tariff Talk Thursday is Back!
Visit our Events page for details or register here.
Tariff Talk Thursday is Back!
Visit our Events page for details or register here.
OCTOBER 2, 2025
We are entering prime time for the global retail market. The 4th Quarter is underway, and we are starting it off with a bang!
Congress was unable to reach a spending deal this week, causing the U.S. Government to enter a shutdown. The impacts of this are yet to be seen, but it is clear that the longer it continues, the greater the effect will be on all markets. The retail community is urging Congress to act swiftly as the holiday season is rapidly approaching and products have already begun arriving in the country for distribution to local businesses.
The shipping industry has already faced a lackluster year, with ongoing tariff negotiations causing importers to hesitate in bringing in supplies at higher rates. Surprisingly, this trend seems set to continue, as we are seeing falling freight rates during what is typically considered Peak Season in the U.S. Lower-than-usual demand is still driving these reductions, and ocean container lines are beginning to combat the trend by increasing the number of blank sailings in order to reduce available capacity.
The next few weeks promise to be interesting, and as with everything dominating the news right now, only time will tell what the final results will be.
October 14 is scheduled to bring a new round of Section 232 tariffs, focusing on wood products, including softwood lumber and upholstered furniture; however, no official list of impacted tariff numbers has been released. This announcement follows news from the Trump administration of a 100% tariff on non-generic pharmaceuticals originally set to take effect on October 1. That action has since been delayed, with no official guidance provided to the trade industry.
Ocean carriers are warning of disruptions following a series of recent typhoons in Asia, with skipped port calls, rerouted cargo, and vessel delays expected across trans-Pacific, Asia-Europe, and Asia-Mediterranean routes over the next two weeks. Ports in southern China, Taiwan, the Philippines, and Vietnam were affected by storms including Ragasa, Tapah, and Bualoi, causing closures and congestion. Major carriers, including Hapag-Lloyd, Maersk, Ocean Network Express, and CMA CGM, are adjusting sailings and rerouting cargo to maintain schedules. While Hong Kong ports have largely recovered, some Shenzhen terminals remain heavily congested with delays of four to seven days. The upcoming 10-day National Day holiday in China may provide some relief as factories close and terminals work to clear backlogs.
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