Buying from China and shipping West? Here’s 6 key lessons from the tariff war

With U.S.-China tariffs escalating again, sellers must adapt to an increasingly protectionist, unpredictable global trade landscape. The situation continues to create volatility in global markets and economic concern, so here are the 6 lessons to take away from this, and the strategies you can use to work around them:

1. Geopolitics can wipe out your margins overnight

As we’ve seen, tariffs of 25–145% can be imposed in a matter of weeks. Trade policy shifts aren’t just probable – they’re inevitable.
Actions:
• Monitor tariff lists and proposed policy changes closely
• Set your pricing with a margin cushion; consider whether dynamic pricing software will help with this
• Consider tariff engineering, multi-country assembly, or bonded warehousing

1. China-only supply chains are obsolete

Relying solely on Chinese suppliers is now a strategic risk – consider your most viable alternatives.
Actions:
• Adopt a “China plus one” model – Vietnam, India, and Turkey are emerging as top alternatives
• Use Mexico for final assembly to leverage USMCA exemptions into the US
• Warehouse in Canada for duty deferral and de minimis routing

3. The US isn’t the only market that matters

The European Union and Middle East offer more stability, better regulatory predictability, and less tariff risk.
Actions:
Expand via Amazon Europe, which has made huge inroads into a region projected to be worth almost $1 trillion by the end of the 2020s:
◦ Ireland (new marketplace): English-speaking, Euro-based, easy logistics.
◦ Germany, France, Italy: Huge consumer base and existing Amazon infrastructure, and our strategic partners can support with localisations, translations and optimisation
◦ Comply with various product marking, packaging, EU VAT and EPR regulations – which AVASK can support you with

Also consider the Middle East and Africa – the e-commerce market in this region is expected to grow from USD 155.16 billion in 2025 to USD 302.43 billion by 2030, with a compound annual growth rate (CAGR) of 14.28%.Actions:

• Amazon UAE and Saudi Arabia offer fast growth and low competition in many categories.
• Localise listings and optimise for mobile-first consumers.
• Ensure General Certificate of Conformity (GCC) compliance and partner with regional 3PLs.

4. Quality and compliance are now defensive weapons

Regulatory and platform scrutiny is increasing. Low-quality products or unverifiable supply chains risk delisting or bans – so make sure you’re supported by secure, reliable platforms and service providers such as AVASK. Our data is stored in Europe, so it’s GDPR-compliant.
Action:
• Ensure every invoice, supplier, and label is fully audit-ready.
• Comply with EU product safety, waste, and consumer rights regulations, and keep up with the ever-evolving Extended Producer Responsibility regulations
• Use compliance as a competitive differentiator, especially in Europe and the Middle East where trust drives loyalty. If you sell fashion and related products, you’ll need to think about having your Digital Product Passports ready for the 2026 seasons.

5. Local fulfilment = faster growth

Long shipping times and customs delays kill conversions.
Action:
• Use Fulfilled by Amazon (FBA) across the Pan-EU network.
• In the Middle East, work with Amazon’s local fulfilment or regional 3PLs to offer Prime-equivalent delivery.

6. Stay on your toes!

Flexibility and agility isn’t a luxury – in stable times and turbulent times, it’s your smartest survival tool. No company is too big to fail if it doesn’t move quickly with the times.
Actions:
• Diversify marketplaces: U.S., EU, Middle East.
• Maintain multiple fulfilment strategies (Fulfilled By Amazon, FBM, 3PLs).
• Scenario model for tariffs, shipping disruptions, and regulatory shifts so you can work out the best strategy to get ahead of changes

Your main takeaways:

U.S. tariffs are a warning shot. The sellers who succeed in 2025 and beyond will be looking beyond Amazon to explore other marketplaces growing within Europe and beyond:
• Diversify your sales and supply geography
• Upgrade your tax and environmental compliance and logistics game with expert support from AVASK, and our sister company KATA Global Logistics
• Lean into European expansion and the Middle East, where the next wave of e-commerce growth is already unfolding

Survival is no longer about cutting corners and finding the cheapest suppliers – it’s about finding new markets and the smartest routes to your customers.