What You Need to Know About Tariffs and Duty Rates — It’s More Than Just “Trump Tariffs”

Understanding the Full Cost of Imports for Small Businesses

If you're importing goods, there's a good chance you’ve felt the sting of unexpected costs.

Many small business owners think “tariffs” only refer to the high-profile duties introduced in recent years — but that’s only part of the picture.

The reality? Tariffs are stacked on top of existing duty rates, and those numbers can seriously impact your margins.

The Breakdown

Tariffs vs. Duty Rates: What's the Difference?

Duty rates are standard percentages assigned by U.S. Customs based on the product’s classification, like 11% for certain cotton goods. These aren’t new and are part of the longstanding import process.

Tariffs, on the other hand, are additional charges — often politically driven — that get added on top of the duty rate. For example, if the duty is 11% and a tariff adds 25%, you’re suddenly paying 36% in import charges. That’s a massive hit if you’re not prepared.

Why This Matters for Small Businesses

The Hidden Costs That Creep into Your Supply Chain

Too often, small operations aren’t informed about the actual landed cost of their goods. These added fees not only affect profitability but also disrupt forecasting and inventory planning. Without clarity, your pricing strategy may be based on incomplete numbers — leading to loss without even knowing it.

How BSS Helps

A Systematic Approach to Tariff Planning and Communication

At BSS, we help clients uncover these cost layers early, work with customs brokers for transparency, and build in simple tools to communicate tariff impacts to customers.

Whether it’s adjusting your SKU strategy or building in automation for product classification, we help you stay ahead — not reactive.