Online Webinars
Webinar recording: Tariffs, tariffs, tariffs - What the current trade war means for Procurement and how you can stay agile
Summary
Rising tariffs, political escalations and increasing uncertainty in global supply chains - the trade war between the US, China and the EU is picking up speed again in 2025. With the return of Donald Trump to the White House and the announcement of comprehensive tariff increases for Asian and European products, German industrial companies are also under increasing pressure. For Procurement in the SME sector, the question is more urgent than ever: how do we remain capable of acting if geopolitical tensions become a permanent reality?
During the webinar, Fabian Liebscher and Torben Hinrichs from Tacto highlighted both the political causes and the specific effects on purchasing processes - and showed how companies can respond with systematic risk management, digital transparency and a strategic realignment of sourcing.
Customs duties as a political tool - Why Procurement is being hit now
Tariffs are not a new invention, but their function as an instrument of political power is once again gaining in importance. The US is deliberately using punitive tariffs to reduce trade deficits, promote domestic production and increase its negotiating power with China, the EU and other partners. The consequence: an exponential increase in the tariff burden - according to the Fitch forecast, the effective US tariff rates are already at 22% and could reach historic highs in 2025.
For companies, this means rising prices for imported raw materials, longer delivery times and serious planning uncertainty in procurement. Globalized supply networks, as are standard in German mechanical engineering or the automotive industry, are particularly affected. But regionally oriented mid-sized companies must also react - because they too are feeling the indirect effects of price increases, for example from their tier 1 suppliers.
Game theory meets Procurement: trade tariffs as a strategic dilemma
A central aspect of the webinar was the game-theoretical classification of the current conflict. The introduction of tariffs is often understood as a rational act in the sense of a short-term advantage - similar to the well-known prisoner's dilemma. However, this strategy usually leads to an equilibrium with low overall welfare, as both parties take protectionist measures and the mutual damage increases.
In practice, this means that as long as there is no stable cooperation between economic areas, volatile framework conditions are to be expected. Procurement must adapt to this - not only operationally, but also strategically.
Utilizing scope for action - with structured risk management
The webinar makes it clear that proactive purchasing organizations can use the current crisis as a starting point for a future-proof positioning. The focus should be on three directions:
- Increase supply chain transparency
Only those who know which items are affected by which tariffs can make informed decisions. Digital tools such as Tacto enable an article and country of origin-based analysis down to Tier 2 level.
- Diversify sourcing strategy
Companies with components that are heavily dependent on the USA or China are particularly at risk. Dual sourcing, nearshoring or switching to procurement markets with lower tariffs, such as Vietnam or Mexico, are becoming increasingly important.
- Check contracts and Incoterms
Who is responsible for customs clearance directly influences input tax deductibility, risk distribution and the actual total costs. Incoterms such as EXW, DDP or DAP in particular should be specifically scrutinized with regard to customs responsibility.
Digital solutions as the key to resilience
In an environment that can change fundamentally within days, traditional procurement planning is no longer enough. Companies need real-time information in order to be able to react quickly and effectively to geopolitical developments. This is exactly where modern digital purchasing platforms come in.
Solutions such as Tacto enable complex supply networks to be made transparent, customs risks to be made visible down to item level and cost developments to be simulated under various scenarios. This not only allows potential bottlenecks to be identified at an early stage, but also enables targeted measures to be derived - such as building up safety stocks for critical Categories, targeting alternative suppliers or evaluating nearshoring potential.
The big advantage: Procurement not only gains speed, but also depth in the decision-making process. Strategic decisions such as dual sourcing or make-or-buy analyses are no longer based on gut feeling, but on reliable, up-to-date data. In times of global uncertainty, operational reaction becomes strategic resilience.
Conclusion
The new trade war will not hit companies with full force - if they are prepared. Those who create transparency about supply chains, origins and incoterms and adapt sourcing strategies can not only minimize risks, but also take advantage of opportunities. Medium-sized companies in particular should take the current situation as an opportunity to restructure their purchasing organization digitally and strategically.
Outlook
Geopolitical tensions are more likely to increase than decrease in the near future. Protectionist measures could also increase in Europe. At the same time, regulatory pressure in the area of sustainability (CBAM, CSRD) is growing, adding further complexity to global procurement. Companies that invest in digital transparency and strategic sourcing now will secure long-term resilience - and competitive advantages.
Tariffs are back - and they are hitting industrial procurement with full force. The live webinar makes it clear that those who are not prepared risk rising costs, disrupted supply chains and strategic blind flights. The good news? With structured risk management, an adapted sourcing strategy and digital tools, SMEs remain capable of acting.
