Export Promotion Opportunities Arising from Latest U.S. Tariffs

The recent imposition of additional 10% tariff on Chinese imports into the United States, along with the potential removal of the de minimis exemption of $800 per package from China, will significantly alter global trade patterns. As tariffs increase costs for U.S. importers and small shipments become subject to customs duties, there is a growing demand for alternative, non-US, suppliers. This shift presents substantial opportunities for foreign government export promotion agencies and foreign direct investment (FDI) agencies to bolster their exports, attract investment, and stimulate economic development.

Top 10 Imports from China to the USA by H.S. Code

China has been a primary supplier of various high-demand products to the United States.

The top imports over the last six months include:

These products are integral to various U.S. industries, from consumer goods to industrial equipment.

Key Opportunities for Foreign Exporters

1. Increased Demand for Alternative Suppliers
   U.S. importers are searching for new partners to avoid the heightened costs of Chinese goods. Foreign exporters—especially those able to meet U.S. standards and timelines—can step in to fulfill this emerging demand.
2. Competitive Pricing Advantages
   By avoiding the additional U.S. tariffs on Chinese products, exporters from other nations can maintain more competitive pricing. This positions them favorably among U.S. buyers who need to keep consumer prices stable.
3. Capitalizing on Key Product Categories
   Products with limited supplier bases outside of China offer the greatest opportunity for foreign exporters to expand quickly. Examples include:

• Space Heaters (HS 851621): Currently dominated by Chinese suppliers, yet in high demand in the U.S.
• Equipment for Lifting and Handling (HS 842860): Essential for industrial and logistics operations, with demand projected to grow.
• Cardboard Boxes (HS 481960) & Particle Board (HS 441033): Broad usage across multiple industries and a large U.S. buyer base.
• Building Sustainable Growth
  By entering the U.S. market now—while importers are actively shifting suppliers—foreign exporters can establish long-term partnerships. This can drive consistent export volumes, boost revenues, and encourage further product diversification.

Buyers of HS Code 851621 – Space Heaters

Note: These importers are heavily reliant on Chinese suppliers, presenting an opportunity for foreign, non-Chinese exporters, to fill the gap.

Practical Strategies for Foreign Exporters

1. Market Research and Product Fit
   • Identify product categories with high U.S. demand where China has been the dominant supplier.
   • Assess if your product specifications, quality, and packaging align with U.S. regulations and consumer expectations.
2. Compliance and Certification
   • Familiarize yourself with U.S. import regulations, labeling requirements, and safety standards.
   • Secure certifications (e.g., FDA approvals for certain goods, UL listings for electrical items) to build trust with U.S. buyers.
3. Pricing and Logistics
   • Offer pricing that remains competitive even after accounting for shipping, insurance, and any local taxes.
   • Optimize logistics and distribution channels—consider warehousing or distribution partners near major U.S. ports (e.g., Los Angeles, Long Beach, Newark).
4. Marketing and Promotion
   • Highlight cost advantages and product benefits to U.S. importers in promotional materials.
   • Attend industry expos or virtual trade fairs to gain direct access to potential buyers.
5. Long-Term Relationship Building
   • Position yourself as a reliable partner by offering strong customer service, flexible order sizes, and efficient turnaround times.
   • Maintain transparent communication regarding production capacity, lead times, and any potential challenges in the supply chain.