Tariff developments continue to affect Iowa manufacturers, and staying informed is key to protecting your operations. CIRAS is here to help you understand the latest shifts and make proactive decisions.
In our October 27th update, Marc Schneider, CIRAS Supply Chain Lead, shared the most recent insights across three areas:
New Industry Tariffs
- New tariffs were announced last month for the furniture and timber industries including a tariff of 25% on upholstered furniture (increasing to 30% on Jan. 1st, 2026), 25% on kitchen cabinets & vanities (increasing to 50% on Jan. 1st), and 10% on softwood timber. Some exceptions were called out for imports from the U.K., Japan, or the European Union.
- New tariffs on medium and heavy-duty vehicles including 25% on medium and heavy-duty trucks (class 3 to 8) and related parts and 10% on imported buses (school, transit, etc.). Call-outs were made for vehicles assembled in North America under the USMCA agreement.
- Proposed 100% tariff on pharmaceuticals with exceptions for companies who are building manufacturing locations in the USA. This is currently pending negotiations with the industry.
- A hold on further trade negotiations with Canada was announced on October 24th and a proposed 10% additional tariff on goods from Canada in response to media advertisements by the Ontario government in the US market. There are few details yet available on latest development.
China Tariff News
- Additional tariffs of 100% to 150% on Chinese container and gantry cranes used in maritime ports was implemented in mid-October.
- Both countries have increased port fees on ships from the other countries recently in response to various trade concerns.
- An additional 100% tariff on all Chinese imports to the USA has been proposed with an effective date on November 1st, 2025, in response to restrictions on critical mineral exports by China. The US has also implemented various export controls on software exports to China.
- Trade negotiations are picking up between China and the USA during the recent ASEAN summit and a planned meeting between President’s Xi and Trump is planned for October 30th in South Korea.
Trade Deals Updates
- Various trade deals have been announced for the supply of critical minerals to the US with Australia, Malaysia and Thailand.
- The US is also negotiating with Malaysia, Thailand, Cambodia and Vietnam to reduce the reciprocal tariffs on some (not all) goods to zero.
Iowa companies should consider:
- Having your supply chain mapped and reviewed for potential tariff and risk impacts.
- Keeping abreast of the latest tariff changes and trade deals to understand their impact on your business.
- Upgrade your procurement capabilities, negotiation skills and supplier strategy.
- Have your own tariff management and supply chain strategy in place.
Visit our tariff channel to view the full recording and access previous updates for additional context. You can also explore our website for more resources and insights.
At CIRAS, we specialize in helping Iowa companies assess risk, build stronger supply chains, and plan with confidence—even during uncertainty. Contact us today to learn how CIRAS can support your company.
Questions? Contact Marc Schneider to learn more.