
Tariff uncertainty doesn’t have to stall your international sales
For retailers, few things, if any, have caused greater uncertainty or generated more headlines in recent weeks than U.S. tariffs. The 90-day pause on U.S. tariffs is welcome, but for the retailers fearing it's just a stay of execution, it doesn't need to be the case. In recent years, Australian retailers have faced - and overcome - numerous challenges. They expanded their eCommerce offering when the pandemic impacted highstreet shopping, they improved their delivery capabilities when the post-purchase experience grew in influence, and they refined their peak-season strategies, to boost acquisition, retention and revenue. The global tariffs, whilst daunting, will be another similar case.
Shipping internationally presents significant opportunities for local retailers. In fact, according to Shippit's recent State of Shipping Report, 66% of retailers are prioritising global expansion. After all, it enables retailers to tap into new customer bases, diversify revenue streams, and successfully compete effectively in international markets. The retailers who are strategic and proactive will be well-placed to navigate the short-, medium- and long-term implications of the tariffs. Retailers should treat the weeks and months ahead as an opportunity to future-proof their operations, by reassessing supplier relationships, streamlining fulfillment, and investing in technology.
The hidden costs retailers can't ignore
Tariffs grab the headlines, but it's the ripple effects that hit hardest. Australian retailers are already grappling with rising freight and warehousing costs, complex customs compliance, FX volatility, and increasing admin just to move goods efficiently. Margins are under pressure, and consumer confidence at home remains fragile. The result? Many businesses are walking a tightrope, balancing cost recovery with customer expectations.
The removal of the U.S. de minimis threshold is only the beginning. From May 2, any shipment containing Chinese-manufactured goods—even under $800—will attract duties. By the end of 2025, the threshold is likely to be removed entirely. That means more shipments, more paperwork, more costs. And for retailers considering or relying on cross-border fulfilment, that's a serious operational challenge.
Supply chain negotiations are now a resilience strategy
Retailers can't afford to adopt a 'wait-and-see' mindset. In today's climate of trade uncertainty, fluctuating tariffs, and shifting consumer demand, waiting could mean missing critical opportunities, or worse, being left behind. This isn't just a pricing issue, it's a supply chain resilience issue. The smartest businesses are treating supplier negotiations not as a cost-cutting exercise, but as a strategic lever for long-term stability. They're going back to the table and asking for more than just competitive rates: they're seeking longer payment terms to improve cash flow, greater flexibility on order volumes and lead times, and cost-sharing arrangements to manage risk collectively.
To reduce cart abandonment and deliver a more seamless checkout experience, more retailers are shifting to Delivery Duty Paid (DDP) shipping models. By including duties and taxes in the product price upfront, DDP removes surprise fees at delivery, eliminating friction and improving customer satisfaction. At the same time, savvy retailers are actively diversifying their supplier networks and exploring alternative sourcing regions to reduce overexposure to any one market, especially China. That includes building contingency into supply chains so that a disruption in one region doesn't halt operations entirely.
This kind of preparation shouldn't be about panic, it should be about control. It's about retailers ensuring they can continue to deliver reliably, competitively, and profitably, no matter how global trade rules evolve. The retailers who act now to build more resilient, adaptable supply chains won't just survive the next policy shift, they'll be positioned to thrive in the uncertainty.
What readiness actually looks like
Preparedness isn't about predicting the next policy move, it's about building the capability to adapt quickly and confidently. For retailers, that means reassessing fulfilment strategies to understand their cost exposure, securing competitive international shipping rates before the next spike hits, and investing in local inventory planning to reduce delays and duties. It also involves shifting to Delivery Duty Paid (DDP) models to create a smoother customer experience, and automating tax and duty calculations to ensure accuracy on landed costs.
Technology is a critical enabler here, automation reduces manual processing, speeds up operations, and keeps pricing competitive even as regulations evolve. But retailers don't need to navigate this alone. The smartest operators are forming strategic partnerships with logistics and compliance experts — organisations purpose-built to stay ahead of shifting requirements and deliver solutions that provide control instead of chaos. These partners help retailers turn logistics from a cost centre into a competitive edge.
The window to act is now
The next 90 days are not a grace period, they're a countdown. If recent weeks have taught us anything, it's that anything could happen in the coming weeks. Whether tariffs are lifted, delayed, or replaced with new trade policies, the message is clear; the global trade environment is volatile, and agility is the only safe bet. This isn't the time for complacency; it's the time for retailers to pressure test their operations.
Retailers who use this window to future-proof their supply chains, diversify sourcing strategies, and lean on technology to simplify complexity won't just weather the next shift—they'll position themselves to outperform competitors who stood still. Resilience isn't built overnight, but it starts with the decisions made now. Those who act early can turn short-term uncertainty into long-term advantage.