President Donald Trump issued an executive order on August 6 targeting countries indirectly supporting Russia. This includes an additional 25% tariff on all imports from India into the U.S., effective August 27.

This new levy stacks on top of existing tariffs, unless specific exemptions apply, for a total of 50%. Goods loaded onto a vessel and in final transit to the U.S. before 12:01 a.m. EDT on August 27 and entered for consumption before 12:01 a.m. EDT on September 17, 2025 are exempt from the added duty.

International business attorney James K. Wholey told Law360 he has had discussions with clients in industries such as textiles concerned about a 25% tariff being “economically unsustainable” for their businesses. Wholey expects further negotiations between the U.S. and India before the 25% secondary tariffs take effect.

Many Canadian imports now face a 35% tariff, up from 25%, effective August 1. Goods determined by U.S. Customs and Border Protection to have been transshipped to evade the additional duty are subject to a new 40% duty. However, many products that qualify under USMCA remain exempt from tariffs for the time being.

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  • USMCA is due for a joint review process beginning July 1, 2026, through which all three countries must confirm to continue the agreement. If the three countries do not agree to extend the agreement, it will terminate in 2036.

Hours before a 30% tariff rate for Mexico was set to take effect, Trump said on July 31 that he would not raise U.S. tariffs on Mexican goods beyond the current 25% for 90 days, buying more time to reach a trade agreement.

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Tariffs Take Effect On Promo

In May and June, the promotional products industry’s revenue only grew by 0.37% compared to the same months in 2024, which continued a downward trend for the year and reached a low for any point in 2024 or 2025.

There are plenty of internal and external factors for slowed growth in the promo industry (as well as many other global industries), but one topic that has been hard for any firm to avoid for all of 2025 has been tariffs. The implementation of tariffs has put a financial strain on promo firms, and the uncertainty surrounding threatened tariffs (essentially shifting since March) has hampered long-term planning.

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Just as likely are the ramifications that tariff-related factors are having on client orders and how they might be changing during this period.

“Tariff pressure is reshaping global sourcing in 2025,” says Alok Bhat, market economist and PPAI’s research & public affairs lead.

RELATED: PPAI Research: Two Thirds Of Suppliers Expanding Their Sourcing Footprint

Although a baseline 10% tariff rate for imports into the United States will remain, that rate will apply only to countries with which the U.S. has a trade surplus, according to an executive order signed July 31.

Countries with which the U.S. has a trade deficit – of which there are about 40 – will now pay a 15% tariff. However, more than two dozen countries have tariff rates that are higher than 15% either because they’ve previously reached a trade agreement with the U.S. or because Trump sent their leaders a letter dictating a higher tariff.