Executive Summary

In 2025, pharmaceutical logistics faces an increasingly complex customs environment. With evolving regulations, shifting tariffs, and heightened enforcement from agencies like U.S. Customs and Border Protection (CBP), efficient, error-free customs clearance has never been more vital. For pharmaceutical shippers—especially those moving high-value, time- or temperature-sensitive goods—delays at borders can mean product loss, compliance violations, or missed patient deliveries. This white paper explores how next-generation customs brokerage practices are transforming pharma supply chains by improving speed, transparency, and compliance through automation, digital tools, and expert-driven support.

The Evolving Customs Landscape in 2025

Pharma shipments are under a microscope. Amid ongoing global trade realignments—including expanded tariff structures, post-pandemic enforcement backlogs, and new regulatory frameworks—CBP and international customs agencies have intensified their scrutiny of imports and exports. Audits and penalties for compliance lapses are rising, and pharma cargo is increasingly flagged for thorough review.

In addition, regulations governing controlled substances, biologics, APIs (active pharmaceutical ingredients), and investigational drugs are tightening. For importers and exporters in the life sciences sector, navigating these regulations requires both legal expertise and logistical agility.

Key Challenges Facing Pharmaceutical Shippers

  1. Stringent Documentation Requirements: Errors in HS codes, certificates of origin, or FDA documentation can stall critical cargo.
  2. Port Congestion & Inspection Delays: CBP’s targeting algorithms and random inspections can cause costly delays.
  3. Limited Visibility: Many companies lack end-to-end transparency between customs clearance and freight movements.
  4. Risk of Non-Compliance Fines: Even minor documentation mistakes or licensing oversights can trigger financial penalties or cargo seizures.

The Role of Next-Gen Customs Brokerage

Modern customs brokerage firms are leveraging automation, AI, and integrated platforms to manage complexity and reduce risk. Key innovations include:

  • AI-Enhanced Document Review: Natural language processing tools can pre-screen documents for missing or incorrect data.
  • Automated Tariff Classification Tools: Machine learning algorithms suggest accurate HS codes based on product specs and regulatory data.
  • Customs Data Integration: Leading brokers now integrate with a client’s ERP or TMS to streamline entries, flag risk areas, and sync with compliance data.
  • Proactive Compliance Monitoring: Real-time dashboards track tariff shifts, restricted party lists, and changing local import/export rules.

Strategic Approaches for Life Sciences Companies

  1. Partner with a Broker Specializing in Pharma: A generalist customs broker may not understand FDA regulations, cold chain requirements, or DSCSA tracking.
  2. Digitize and Centralize Documentation: Implement structured digital workflows for certificates, lab results, SDS sheets, and packaging data.
  3. Leverage Pre-Arrival Review Systems (PARS) and Entry Visibility Tools: Stay ahead of inspections and improve clearance times with advance filings.
  4. Maintain a Customs Audit Trail: Ensure every shipment has a full compliance history and automated recordkeeping to satisfy audits.

How Euro-American Delivers a Competitive Edge

At Euro-American Worldwide Logistics, our customs brokerage services are purpose-built for the complexities of pharmaceutical and biotech logistics. We provide:

  • In-house licensed brokers with specialized knowledge of FDA, USDA, and DEA regulations
  • Seamless integration with cGMP storage and transportation services
  • Pre-clearance strategies and cross-border planning for expedited delivery
  • 24/7 clearance monitoring and real-time visibility tools
  • Dedicated support for clinical trial shipments and special permits

Our client partners benefit from reduced delays, proactive risk management, and enhanced compliance—all with the expertise to navigate evolving regulatory demands.

Conclusion

As global trade dynamics continue to shift, life sciences companies must modernize their approach to customs brokerage. By adopting digital-first, pharma-specific strategies and partnering with a knowledgeable, full-service logistics provider like Euro-American, shippers can gain speed, assurance, and control across every customs checkpoint.

References

CBP. (2025). Operational Statistics: Enforcement Actions Q1 2025. U.S. Customs and Border Protection.

FDA. (2024). Importing Human Drugs into the United States. U.S. Food and Drug Administration.

WCO. (2025). Harmonized System Update: Pharmaceuticals and Biologics. World Customs Organization.

Armstrong & Associates. (2025). 3PL Market Report – Regulatory Disruption and Logistics Innovation.

Journal of Commerce. (2025). Pharma Supply Chains Face Audit Surge at U.S. Ports.

Executive Overview

North American freight markets are entering a dynamic phase as 2025 unfolds. Full Truckload (FTL), Less-Than-Truckload (LTL), and parcel shipping trends continue to shift in response to upstream tariff strategies, forward purchasing, and uneven economic signals. Businesses across manufacturing, pharma, and biotech sectors must adapt to the evolving cost landscape—balancing risk, freight spend, and service expectations.

At Euro-American Worldwide Logistics, we’re seeing firsthand how clients are reevaluating inventory positions and delivery schedules to get ahead of inflationary spikes or tariff shocks. Our 24/7 coordination team and licensed Customs Brokers help importers and manufacturers respond in real time to these pricing trends—ensuring cost-efficient moves and compliance through every leg of the journey.

FTL and LTL Freight Pricing Update

According to March 2025 Producer Price Index data:

  • FTL Rates: Rose by 1.6% month-over-month (up 5.6% year-over-year), reversing a 1% decline from February.
  • LTL Rates: Dipped slightly by 0.1% month-over-month but climbed 5.5% year-over-year, a sign that carriers remain cautiously optimistic about demand capacity.

Much of this activity has been attributed to front-loaded shipments, as procurement teams moved orders ahead of the April 2nd tariff implementation. This early surge in volume may create softer demand through late Q2, depending on how inventory backlogs normalize.

Parcel and Small Package Trends

E-commerce fulfillment saw mixed signals:

  • Parcel/Small Pack Rates: Rose by 6.3% year-over-year, reflecting peak activity—but saw a 0.3% decline month-over-month in March.
  • E-commerce Sales: Grew by 4.8% year-over-year, slowing from prior double-digit averages, with speculation that de minimis tariff policy shifts may be impacting consumer behavior.

For temperature-controlled parcels—especially within pharma logistics—Euro-American is actively advising clients on alternative routings and capacity pooling to prevent downstream cost escalations. In some cases, that means consolidating shipments at our GMP facilities to improve cube utilization or split-delivery planning across regional networks.

Strategic Considerations for 2025

  • Avoid Over-Commitment: Businesses relying on fixed-rate FTL contracts should reassess agreements that don’t account for tariff-based volatility.
  • Explore Multimodal Solutions: With LTL showing steadier pricing patterns, hybrid models (FTL + LTL + final-mile parcel) may offer better cost control.
  • Engage Trade Experts Early: From harmonized tariff code reviews to new duty projections, Euro-American’s in-house team of licensed Customs Brokers helps clients navigate classification risk, origin audits, and shipment declarations.

Call to Action

In a landscape where freight and regulatory risk are moving targets, agility matters. Let Euro-American Worldwide Logistics help you build smarter transportation models, stay compliant, and find cost-effective ways to deliver—even when the rules change mid-route.
Contact us today to speak with a logistics advisor or licensed Customs Broker about your FTL, LTL, or parcel strategy for the second half of 2025.

References

Logistics Plus. (2025, April). LogisticsPulse Monthly Briefing: April 2025. Retrieved from logisticsplus.com

U.S. Bureau of Labor Statistics. (2025). Producer Price Index (PCU484121484121; PCU4841224841221; PCU492110492110201). Retrieved from bls.gov

Proposed Port Fees on Chinese Vessels Under Review

The U.S. Trade Representative has proposed imposing fees of up to $1.5 million per port call on vessels built in China or operated by Chinese entities. This initiative aims to bolster domestic shipbuilding and reduce reliance on Chinese maritime assets. However, the proposal has met with significant opposition from various sectors. (reuters.com)

  • Agricultural Impact: U.S. farmers express concern that increased shipping costs could hinder exports of commodities like wheat, corn, and soybeans, affecting their competitiveness in global markets (financialtimes.com)
  • Maritime Industry Response: Executives warn that such fees could disrupt supply chains, elevate operational costs for U.S. ship operators, and potentially lead to job losses within the maritime sector (wsj.com)
  • Legislative Debate: Lawmakers and industry representatives are engaged in discussions, with hearings scheduled to address the potential economic ramifications of the proposed fees (scmp.com)

Escalating Competition for Raw Materials

Analysts predict that raw material scarcity will be a predominant concern in supply chain management over the next five years. Challenges are evident in sectors like rare earth elements and copper:​

  • Rare Earth Elements: China’s dominance in rare-earth refining has left the U.S. dependent on Chinese processing capabilities, highlighting vulnerabilities in securing these critical materials (wsj.com)
  • Copper Prices: Copper prices have surged by over 22% year-to-date, reflecting increased demand and supply constraints. Domestic sources exist, but U.S. firms seek legislative protections against foreign dumping practices that depress prices and undermine local production.​

Freight Pricing Trends

Recent data from the Producer Price Index (PPI) reveals mixed trends in freight pricing:

  • Full Truckload (FTL): February saw a slight month-over-month decrease of 0.3%, with a year-over-year increase of 1.5%.​
  • Less-Than-Truckload (LTL): Prices rose by 0.7% month-over-month in February and experienced a significant year-over-year increase of 6.1%. This trend may indicate tightening capacity within the industry ​(arxiv.org).
  • Parcel/Small Package Services: While experiencing a 1.2% month-over-month decline in February, year-over-year prices have surged by 6.2%, influenced by a 6.5% increase in e-commerce sales during the same period.​

Conclusion

The North American supply chain landscape is navigating complex challenges, from proposed regulatory changes affecting maritime operations to intensifying competition for essential raw materials. Stakeholders must remain vigilant and adaptable to these evolving dynamics to maintain resilience and competitiveness in the market.​

Whether you need a comprehensive cross-border logistics plan or targeted advice on a specific customs issue, our team is here to help you navigate the path forward. In turbulent trade waters, having an experienced logistics partner is invaluable – and Euro-American Worldwide Logistics is proud to be that dependable partner for companies across industries. Together, we can mitigate the challenges of today’s tariffs and position your supply chain for success, no matter what changes tomorrow may bring. Contact us today!

The recent proposal by the U.S. administration to impose substantial fees on China-built vessels docking at American ports has introduced significant complexities for the manufacturing sector. These fees, potentially reaching up to $3 million per port call, aim to bolster domestic shipbuilding but have raised concerns about unintended consequences for U.S. industries reliant on international shipping (reuters.com).

Implications for Manufacturers

Manufacturers depend heavily on efficient and cost-effective shipping solutions to maintain seamless supply chains. The introduction of these port fees could lead to increased operational costs, potential delays, and disruptions in the availability of shipping options. Such challenges necessitate proactive strategies to mitigate adverse impacts on production schedules and delivery commitments.​

Euro-American Worldwide Logistics: Your Partner in Navigating Trade Challenges

At Euro-American Worldwide Logistics, we specialize in providing comprehensive logistics solutions tailored to the unique needs of manufacturers. Our expertise encompasses:​

  • Customs Brokerage Services: As a licensed U.S. Customs Brokerage, we offer expert guidance on importing goods into the U.S., ensuring compliance with evolving trade regulations and minimizing the risk of delays or penalties. ​Euro-American Worldwide Logistics
  • Global Trade Compliance: Our team stays abreast of international trade policies, providing clients with up-to-date information and strategic advice to navigate tariff changes and trade barriers effectively.​
  • International Logistics: We manage air and ocean freight services, coordinating with a network of carriers to offer flexible and reliable shipping options that adapt to the dynamic global trade environment. ​

Strategic Approaches to Mitigate Tariff Impacts

To address the challenges posed by the proposed port fees, manufacturers can consider the following strategies:

  1. Diversify Shipping Routes and Partners: Exploring alternative shipping lanes and collaborating with carriers less affected by the tariffs can help maintain supply chain continuity.​
  2. Advance Planning and Scheduling: Proactively adjusting production and shipping schedules to account for potential delays ensures timely delivery and customer satisfaction.​
  3. Leverage Expert Consultation: Partnering with experienced logistics providers like Euro-American Worldwide Logistics offers access to specialized knowledge and resources, facilitating informed decision-making and strategic planning.​

Euro-American Worldwide Logistics is committed to supporting manufacturers through these changes, offering tailored solutions that ensure resilience and competitiveness in the global market.​

For personalized assistance and to learn more about our services, please contact Euro-American Worldwide Logistics. Our team is ready to help you navigate the complexities of today’s trade environment.

Q1 GDP Presents Mixed Signals

The Atlanta Federal Reserve’s GDPNow model has shown fluctuations in its first-quarter 2025 real GDP growth estimates. On March 3, the projection dropped to -2.8%, down from -1.5% on February 28. By March 18, the estimate had improved slightly to -1.8% . These variations are partly due to record gold imports affecting the trade balance. Despite these shifts, core economic indicators such as consumer spending and both residential and nonresidential investments continue to show positive trends. However, it’s essential to monitor areas of unexpected weakness, particularly those influenced by market sentiment and tariff-related concerns (Federal Reserve Bank of Atlanta).

Impending Reciprocal Tariffs: Dual Implications

Starting April 2, the U.S. plans to implement reciprocal tariffs on nations with higher tariff rates on American products. This policy could lead to two potential outcomes:​

  • Positive Scenario: If other countries reduce their tariffs to align with U.S. rates, American exports may become more competitively priced, potentially boosting export volumes.​
  • Negative Scenario: Conversely, if nations choose not to adjust their tariffs and the U.S. imposes matching rates, import prices could rise, affecting domestic costs and supply chains.​

The actual impact will depend on the negotiations leading up to the implementation date.​

LogisticsPULSE Global Logistics Index (GLI) Update

In February, the LogisticsPULSE Global Logistics Index (GLI) registered at 54.6, a decrease from January’s 55.8. Despite this 2.0% month-over-month decline, the index remains in expansion territory and continues to exceed the long-term trendline. Year-over-year, the GLI experienced a 1.8% reduction, compared to a 2.5% increase observed in the previous month. The GLI evaluates transportation demand using 22 global economic metrics, drawing upon two decades of data collection.​

Conclusion

As the supply chain and logistics sectors navigate these evolving economic indicators and policy changes, staying informed and adaptable is crucial. Stakeholders should closely monitor developments related to GDP fluctuations, tariff negotiations, and global logistics performance to make strategic decisions in the coming months.​

Whether you need a comprehensive cross-border logistics plan or targeted advice on a specific customs issue, our team is here to help you navigate the path forward. In turbulent trade waters, having an experienced logistics partner is invaluable – and Euro-American Worldwide Logistics is proud to be that dependable partner for companies across industries. Together, we can mitigate the challenges of today’s tariffs and position your supply chain for success, no matter what changes tomorrow may bring. Contact us today!

Thailand stands as a pivotal player in the global supply chain, with the United States being its largest export destination, accounting for over 18% of Thai exports in 2024. However, the nation’s export growth is projected to decelerate to 2-3% in 2025, influenced by potential U.S. tariffs and escalating trade tensions. These factors pose significant implications for Thailand’s economic trajectory, necessitating strategic adaptations by businesses engaged in Thai trade.​

Key Export Sectors and the “China Plus One” Strategy

Thailand’s export portfolio is diverse, with top commodities including office machine parts, integrated circuits, vehicles, and other manufactured goods. Notably, Thailand has become an integral component of the “China Plus One” strategy, wherein companies diversify their manufacturing bases beyond China to mitigate risks associated with over-reliance on a single country. This strategic shift underscores Thailand’s growing prominence as a manufacturing hub in the region.​

Impact of Reciprocal Tariffs on Thailand’s Economy

The trade relationship between Thailand and the U.S. is characterized by a tariff imbalance: Thailand imposes an average tariff of 6.2% on U.S. products, while the U.S. maintains a 0.9% tariff on Thai goods. This disparity renders Thailand susceptible to reciprocal tariff measures from the U.S., which could elevate tariffs on Thai products by approximately 5 percentage points. Such an increase is estimated to potentially reduce Thailand’s GDP growth by up to 0.2 percentage points.​

Government Initiatives and Economic Outlook

In response to these challenges, the Thai government has implemented stimulus measures aimed at bolstering economic growth to reach a target of 3% in 2025. Despite these efforts, projections indicate a potential slowdown, with growth rates possibly retracting to around 2.4%, influenced by external trade pressures and tariff escalations.​

Strategic Implications for Businesses

Given the evolving trade dynamics, businesses engaged with Thai markets should consider the following strategies:​

  1. Diversification of Supply Chains: Expanding sourcing and manufacturing operations to include multiple countries can mitigate risks associated with tariff fluctuations and trade disputes.​
  2. Enhanced Trade Compliance: Staying informed about tariff regulations and ensuring compliance can prevent potential legal and financial penalties.​
  3. Market Analysis: Conducting thorough analyses of market trends and economic indicators in Thailand can inform strategic decisions and identify emerging opportunities.​

Conclusion

Thailand’s role in the global supply chain is undergoing significant transformations amid rising trade tensions and tariff uncertainties. Businesses must adopt proactive strategies to navigate these changes effectively. Euro-American Worldwide Logistics remains committed to providing expert guidance and comprehensive logistics solutions to support our clients in adapting to the shifting trade landscape.​ Contact us today!

References

Bangkok Post. (2025). Trade war and a weaker Thai outlook.
bangkokpost.com

MUFG Research. (2025). Thailand: BoT could cut rates again in February.
mufgresearch.com

Thailand Business News. (2025). Thai Economic Outlook for Q1 2025.
thailand-business-news.com

OEC World. (2025). Thailand (THA) Exports, Imports, and Trade Partners.
oec.world

Reuters. (2025). Thai exports beat forecast in February but U.S. trade uncertainty clouds outlook.
reuters.com

Note: The data presented in this white paper is based on information available as of March 25, 2025.

Effective container processing at U.S. ports is vital for maintaining robust supply chains and supporting economic growth. Recent data indicates notable improvements in container processing times for both imports and exports across major U.S. ports, reflecting enhanced operational efficiencies.​

Improvements in Container Processing Times

Since September 2024, U.S. ports have achieved significant reductions in container processing times:​

  • Imports: The average processing time for imported containers has decreased by approximately 25%, equating to a reduction of nearly one full day.​
  • Exports: Similarly, export container processing times have improved by 25%, decreasing from 5.2 days to 3.8 days.​
  • Transshipments: Processing times for transshipment containers have also experienced comparable decreases.​

Performance of Major U.S. Ports

Specific ports have demonstrated exceptional efficiency in container processing (​gocomet.com).

  • Imports: Ports in Savannah, New York, and Norfolk, which currently handle the highest volumes of imported Twenty-Foot Equivalent Units (TEUs), process these imports in approximately 1.77 days.​
  • Exports: The ports of New York, Savannah, and Oakland, leading in export TEU volumes, complete export processing in about 1.85 days.​

Vessel Arrival Schedules

The frequency of scheduled vessel arrivals varies among U.S. ports:​

  • High Frequency: Ports in Savannah and New York have the highest number of scheduled vessel arrivals.​
  • Low Frequency: Ports such as New Orleans, Oakland, and Mobile have comparatively fewer scheduled vessel arrivals.​

Implications for Supply Chain Management

The reduction in container processing times at key U.S. ports offers several benefits:​

  • Enhanced Efficiency: Faster processing times contribute to more efficient supply chains, reducing delays and improving reliability.​
  • Cost Savings: Improved port efficiencies can lead to cost reductions in logistics and inventory management.​
  • Capacity Management: Balanced vessel arrival schedules aid in better capacity planning and resource allocation.​

Conclusion

The substantial improvements in container processing times at major U.S. ports signify a positive trend toward more efficient and resilient supply chains. Stakeholders should continue to monitor these developments and adjust their logistics strategies accordingly to capitalize on these enhancements.​

Euro-American Worldwide Logistics provides expert guidance and customized solutions to help your business remain resilient and competitive amid tariff challenges. Contact us today to learn how our experienced team can support your logistics needs and assist you in managing these complex changes.​

References

Bureau of Transportation Statistics. (2025). Latest Supply Chain and Freight Indicators.
www.bts.gov

Beacon. (2024). Container Port Congestion Statistics: June 2024.
www.beacon.com

GoComet. (2025). Port Congestion Status Data Worldwide.
www.gocomet.com

Note: The data presented in this white paper is based on the latest available information as of March 2025.

Introduction

As of March 2025, the global logistics landscape is experiencing significant shifts, particularly in maritime and air cargo sectors. These changes are influenced by factors such as evolving capacity dynamics, geopolitical developments, and seasonal demand fluctuations. At Euro-American Worldwide Logistics, we are committed to keeping our clients informed about these trends to facilitate strategic decision-making in supply chain management.​

Maritime Shipping: Capacity and Rate Adjustments

Recent analyses indicate that major trade lanes are expected to maintain balanced capacity or exhibit slight surplus through May 2025. This equilibrium is partly due to ongoing monitoring of the Red Sea situation, where potential resolutions could reintroduce approximately 10–15% additional capacity into the global market. Such an increase would likely alleviate some pressure on shipping schedules and reduce congestion in critical maritime corridors.​

Concurrently, the Drewry Composite Spot Container Index has reported a 25% decline compared to the same period last year, reflecting a moderation in container shipping rates. This decrease suggests a stabilization of the market following the unprecedented highs experienced during the pandemic years. Shippers should remain vigilant, however, as rates may continue to fluctuate in response to geopolitical events and shifts in global trade policies.​

Air Cargo: Rate Increases Amid Rising Demand

In the air cargo sector, spot rates have experienced an 8% year-over-year increase as of the tenth week of 2025. This uptick is accompanied by a 2% rise in total tonnage over the same period, indicating a growing demand for air freight services. Several factors contribute to this trend:​

  • Tariff Anticipation: Businesses are proactively shipping goods ahead of anticipated tariff implementations, aiming to mitigate potential cost increases.​
  • Post-Lunar New Year Activity: The conclusion of the Lunar New Year holiday typically heralds a surge in manufacturing and export activities, leading to increased air cargo volumes.​

These elements collectively exert upward pressure on air freight rates, a pattern that may persist as companies strive to navigate the complexities of international trade regulations and seasonal demand cycles.​

Strategic Recommendations

In light of these developments, Euro-American Worldwide Logistics advises clients to consider the following strategies:

  • Diversify Shipping Methods: Balancing between maritime and air freight options can provide flexibility and cost-effectiveness, especially when navigating fluctuating rates and capacity constraints.​
  • Advance Planning: Proactively scheduling shipments and staying informed about potential tariff changes can help in mitigating unforeseen expenses and delays.
  • Leverage Expertise: Partnering with experienced logistics providers ensures access to up-to-date market insights and tailored solutions that align with specific business needs.​

Conclusion

The current trends in global maritime and air cargo logistics underscore the importance of adaptability and informed decision-making in supply chain management. Euro-American Worldwide Logistics remains dedicated to providing our clients with the expertise and resources necessary to navigate these evolving landscapes effectively.​ Contact us today!

References

Air Cargo News. (2025, March 20). Air cargo rate surge flattens following tariff rush.
aircargonews.net/supply-chains/air-cargo-rate-surge-flattens-following-tariff-rush

DHL Global Forwarding. (2025, March). Ocean Freight Market Update March 2025.
dhl.com/content/dam/dhl/global/dhl-global-forwarding/documents/pdf/glo-dgf-ocean-market-update.pdf

Stat Times. (2025, March 21). Air cargo rates and demand continue on upward trend.
stattimes.com/air-cargo/air-cargo-rates-and-demand-continue-on-upward-trend-1354809

Overview

As of March 2025, two major developments—Germany’s proposed stimulus and the United States’ renewed military efforts in the Red Sea—are expected to significantly impact the global logistics and supply chain landscape. In tandem with shifting freight costs and warehousing trends, these macroeconomic and geopolitical changes are shaping strategies for importers, exporters, and logistics providers worldwide. At Euro-American Worldwide Logistics, we monitor these global indicators closely to help our clients adapt with confidence and compliance.

Germany’s Proposed Economic Stimulus: A Boost for European Trade?

Germany, often considered the economic engine of Europe, is taking proactive measures to revitalize its economy. Lawmakers have voted to temporarily lift the country’s “debt brake”—a constitutional fiscal rule—to allow increased public investment. If enacted, the plan would authorize over €500 billion in infrastructure improvements over the next decade, along with €11 billion in additional annual defense spending.

While these proposals are still under review, their potential approval could lead to substantial economic growth across Europe. A boost in public investment would likely increase demand for construction materials, machinery, and industrial equipment—much of which is imported from international suppliers. As a result, Euro-American anticipates greater cross-border shipping activity, particularly in heavy freight and project cargo sectors.

For U.S.-based exporters, this could mean new opportunities to support Europe’s expanding infrastructure efforts. With our U.S. Customs Brokerage services and global logistics network, Euro-American is ideally positioned to facilitate these shipments efficiently and in full regulatory compliance.

Stabilizing Red Sea Routes: U.S. Naval Action May Ease Freight Pressures

In another key development, the United States has intensified its efforts to suppress Houthi rebel activity in the Red Sea and along the Suez Canal—critical maritime routes for Asia-to-Europe cargo movement. Prior disruptions forced shipping lines to reroute vessels around the Cape of Good Hope, adding significant cost and up to 11 days of transit time.

The U.S. military’s stepped-up response aims to restore secure access through these essential corridors. If successful, this intervention could:

  • Free up to 10–15% of previously stranded maritime capacity
  • Reduce oil price premiums by approximately $6 per barrel
  • Lower insurance costs for shippers
  • Decrease transit times for Asia–Europe routes

For pharmaceutical and biotech manufacturers relying on time-sensitive shipments, this would dramatically improve delivery speed and consistency. Euro-American is already advising clients on how to capitalize on this shift by optimizing multimodal shipping routes and adjusting inventory levels accordingly.

Current Logistics Indicators (February 2025)

According to the latest government data and industry indices, the logistics environment remains dynamic:

  • Airfreight Pricing: Down 7.2% month-over-month (M/M), but still 7.9% higher year-over-year (Y/Y), suggesting continued volatility as businesses pre-empt tariff impacts.
  • Ocean Freight Costs: Increased 4.7% M/M but still down 1.8% Y/Y. This rebound may reflect improved route availability and vessel efficiency as Red Sea disruptions ease.
  • Warehousing Costs: Rose 1.6% M/M and 7.0% Y/Y, pointing to sustained demand for storage space as companies buffer inventory amid trade uncertainties.

Euro-American’s cGMP-compliant warehousing solutions, along with our certified customs brokerage services, help mitigate these cost fluctuations through precision planning and trade compliance strategies.

Conclusion

From rising investment in Europe to stabilization efforts in the Middle East, global supply chains are shifting—again. Businesses must remain agile in their logistics and trade strategies to weather uncertainty and capitalize on emerging opportunities.

Euro-American Worldwide Logistics stands ready to support pharmaceutical, biotech, and high-value product manufacturers with expert customs clearance, temperature-controlled warehousing, and international transportation solutions. We help you navigate global change with precision and confidence.

Contact us today to learn how we can optimize your logistics strategy in today’s evolving market.

References

Bureau of Labor Statistics. (2025). Producer Price Indexes – February 2025. U.S. Department of Labor.

Drewry. (2025). World Container Index: Global Spot Container Prices. Drewry Shipping Consultants.

Reuters. (2025, March 12). Trump’s steel, aluminum tariffs take effect; U.S.-Canada trade war intensifies.
www.reuters.com

CBS News. (2025, March 12). Trump tariffs: 25% steel, aluminum duties spark global retaliation.
www.cbsnews.com

In this turbulent trade environment, Euro-American Worldwide Logistics serves as a critical partner for businesses facing the 25% tariffs. With decades of experience in customs brokerage, cross-border freight forwarding, and international trade compliance, Euro-American provides end-to-end support to keep shipments moving and help clients adapt strategically. Our team has been at the forefront of responding to trade policy shifts, and our solutions are tailored to mitigate the impact of tariffs while maintaining full regulatory compliance​ (es.linkedin.com). Below are key ways Euro-American’s specialists assist clients in navigating the U.S.-Canada tariff challenges:

  • Proactive Customs Brokerage & Compliance Support: Euro-American’s licensed customs brokers are experts in Canadian and U.S. import regulations. They ensure your shipments are properly classified and documented to meet CBSA requirements and minimize duties. Our team will review your product catalog and identify which items are subject to the 25% surtax, verifying HS codes against the tariff list. We help clients re-classify goods when appropriate – for example, finding an alternate valid classification if a product has multiple uses, potentially placing it outside the tariff-applicable category. All declarations are double-checked for accuracy so that you don’t overpay or underpay tariffs. Euro-American also assists in preparing Certificates of Origin and origin documentation​ (millerthomson.com) for each shipment, ensuring that if any goods are not of U.S. origin, CBSA is duly notified (saving you from an unnecessary surtax). By staying ahead on compliance – including obtaining binding rulings where needed and leveraging any Chapter 98/99 provisions – we help avoid costly delays or penalties at the border. Our compliance specialists continuously monitor CBSA memoranda and Customs Notices (like Customs Notice 25-10 outlining the surtax procedures) to keep your documentation aligned with the latest rules. The result is a smoother customs clearance process even under the new tariff regime.
  • Efficient Cross-Border Freight Forwarding: As a 3PL provider deeply familiar with cross-border logistics, Euro-American coordinates shipments to prevent unnecessary holdups and optimize routes. Since the tariffs began, we’ve observed patterns in border congestion and have adjusted routing plans accordingly. For instance, if the Ambassador Bridge or Peace Bridge is experiencing long queues due to intensive inspections, we can reroute a client’s truck to a less congested crossing or arrange for off-peak crossing times. We also work with carriers to pre-file customs entries and surtax declarations electronically, so that by the time the truck arrives at the border, much of the processing is already done – reducing wait times. Euro-American provides clients with real-time updates on border conditions and clearance status, avoiding the uncertainty that many shippers faced on their own​ (truckingdive.com). We recognize that communication is key: our operations team frequently sends updates to customers about changes in procedures and any slowdowns at customs​ (truckingdive.com). By keeping everyone informed, we enable shippers to make timely decisions (like holding a shipment if needed or expediting another). Our end-to-end handling – from pick-up at the U.S. facility, through customs, to delivery in Canada – means accountability at every step, freeing clients from juggling multiple service providers in a fraught trade lane. Simply put, we navigate the practical challenges of cross-border transport so our clients can focus on their core business, not the border.
  • Bonded Warehousing & Duty Management Solutions: Euro-American offers bonded warehousing facilities and customs-bonded logistics solutions that are particularly valuable under the current tariffs. Our bonded warehouses in Canada allow importers to store U.S. goods without immediately paying the 25% surtax, deferring duty payments until goods are sold domestically. This service is a cash-flow lifesaver for clients who import large volumes – instead of paying a lump sum to CBSA upon arrival, they can stagger the duty outlay as they gradually withdraw inventory for use or sale​ (ghy.com). If there’s a chance tariffs may be short-lived or if the goods might be re-exported, bonded storage completely avoids locking in a cost that might later be refunded. We manage all the required customs reporting for the bonded goods and ensure strict inventory control, so when our client is ready to take some product out of bond, the proper duties are assessed just on that portion. Additionally, Euro-American assists with duty drawback claims and re-export coordination. For example, one of our clients imports U.S. components, uses them in manufacturing in Canada, and exports the finished product overseas. We’ve set up a system to track the U.S. components through production and file for duty drawbacks, recovering the surtax paid on the imported inputs. This kind of detailed trade compliance management is complex, but it’s part of our comprehensive service to reduce net tariff costs for our clients. Through bonded warehousing and diligent duty recovery processes, Euro-American helps companies avoid paying more tariffs than necessary and improve their cost management during the trade war.
  • Supply Chain Strategy and Rerouting Consultation: Euro-American’s role goes beyond day-to-day shipping; we act as a strategic advisor in global logistics. In the face of these U.S.-Canada tariffs, our trade compliance consultants work with clients to adapt their supply chains for cost efficiency. We conduct analyses to identify alternative sourcing options – for instance, evaluating if sourcing certain raw materials from Europe or Asia would be beneficial when factoring in the 25% tariff on the U.S. source. Thanks to our worldwide network, we can even help arrange trial shipments from new suppliers in other countries to diversify the supply chain. If a client decides to shift production or sourcing to their Canadian operations or to Mexico (to leverage USMCA internal trade), we coordinate the logistics of moving machinery or setting up new cross-border routes. In some cases, re-routing freight through different trade lanes can also help. For example, a U.S. company with a Canadian customer base might route shipments through a U.S. bonded warehouse and then directly to overseas markets or to Canada via a third country when feasible, to change the origin of the goods. (Any such approach is carefully vetted to ensure it complies with origin rules – we don’t engage in illegal transshipment – but there are legal ways, such as substantial transformation in a third country, to alter origin.) Euro-American’s depth of knowledge in global trade agreements and tariff engineering allows us to advise on these complex scenarios. Our goal is to find creative solutions so that clients can maintain supply chain continuity and manage costs, even if it means reconfiguring distribution channels temporarily. By partnering with us, companies tap into a wealth of logistics and regulatory expertise that turns a daunting tariff challenge into a manageable logistics puzzle.
  • Ongoing Regulatory Compliance & Monitoring: One of Euro-American’s core strengths is keeping clients compliant amid changing rules. Our customs brokerage team stays up-to-date on all CBSA policy updates, amendments to the surtax order, and any U.S. policy shifts that could affect Canadian countermeasures. We actively monitor announcements from both governments. As the situation evolves – for instance, if Canada amends the product list or if any temporary pauses or exemptions occur – we immediately inform our clients and adjust our processes​ (truckingdive.com). This was evident when the U.S. announced a pause for USMCA-qualified goods; we helped our clients ensure their USMCA certificates were in place to benefit​ (truckingdive.com). On the Canadian side, should there be a change (say the second phase of tariffs coming into effect or a remission granted for certain HS codes), we will update classifications and advise clients on the new compliance steps. Euro-American also provides training and consultations to client teams. We can host briefings for your procurement, finance, or logistics staff on how the tariffs work and what internal processes you should adjust (for example, instructing your U.S. vendors on documentation, or adjusting your landed cost calculations in your ERP system). By acting as an extension of your compliance department, Euro-American ensures you stay ahead of regulatory changes rather than reacting after problems occur. Our motto is that no client shipment should be delayed or penalized for regulatory reasons – not on our watch.

In delivering these services, Euro-American Worldwide Logistics combines industry thought leadership with hands-on problem solving. We understand that every client’s situation is unique – the challenges of a steel importer differ from those of a consumer goods retailer. Our specialists take the time to craft customized plans, whether it’s setting up a duty-deferral program, finding a new carrier route, or filing complex customs entries correctly the first time. Through our bonded facilities, brokerage acumen, and integrated logistics network, we aim to turn a compliance challenge into a competitive advantage – helping clients maintain uninterrupted supply chains and customer service, even as competitors struggle with delays or fines. As one logistics industry report noted, “partnering with experienced logistics providers like Euro-American Worldwide Logistics can help businesses navigate these challenges, mitigate risks, and ensure seamless cross-border operations”​ (es.linkedin.com). We take pride in living up to that role, especially in these turbulent times.

Conclusion

The imposition of Canada’s 25% tariffs on U.S. goods has undeniably complicated the landscape of cross-border logistics and international trade compliance. What used to be routine U.S.-to-Canada shipments now require careful cost calculations, rigorous customs planning, and often creative supply chain adjustments. Cross-border trade has felt the strain through slower movements and higher expenses; integrated supply chains have had to absorb cost shocks on key materials like steel and aluminum; and manufacturers face tough choices in pricing and sourcing. Both U.S. exporters and Canadian importers are navigating an environment of uncertainty, balancing short-term operational fixes with long-term strategic shifts such as supplier diversification or nearshoring.

In confronting these challenges, knowledge and preparation are the best tools. Businesses must educate themselves on the new regulations – understanding tariff classifications, CBSA procedures, and options like bonded warehousing – to avoid missteps. By following best practices in customs clearance (accurate documentation, origin proof, use of duty deferral programs), companies can prevent unnecessary delays and costs. It’s also essential to maintain agility: continuously evaluate your supply chain for vulnerabilities and be ready to pivot if tariffs expand or if opportunities arise (for example, a tariff exemption or an alternate supplier opening up).

Throughout this white paper, we emphasized that professional guidance can make a decisive difference. Euro-American Worldwide Logistics stands ready as a partner in this process. With our expertise in customs brokerage and freight forwarding, we help ensure shipments are cleared efficiently and in full compliance – no small feat when regulations are in flux. Our proficiency in global trade compliance means we can identify opportunities to mitigate tariffs, whether through reclassification, duty recovery, or routing adjustments, all while keeping clients on the right side of the law. And with assets like bonded warehouses and a skilled workforce, we provide practical means to defer or reduce the financial impact of tariffs on your operations.

In essence, the goal for any business impacted by the U.S.-Canada tariffs is to remain resilient and competitive despite the added friction. By leveraging the right strategies and partners, companies can do more than just cope – they can continue to thrive. Euro-American’s customs specialists and logistics professionals have already been supporting clients in this regard, enabling them to avoid unnecessary delays, manage costs, and maintain supply chain continuity. We’ve helped clients re-route critical shipments to meet deadlines, advised on tariff code appeals that saved millions in duties, and implemented warehouse solutions that kept production lines running. This blend of strategic insight and tactical execution exemplifies how we blend thought leadership with practical action.

As the trade situation evolves, Euro-American will remain vigilant and adaptable – just as we urge our clients to be. We are committed to guiding businesses through the complexities of U.S.-Canada tariffs, import/export regulations, and international trade compliance. Whether you need a comprehensive cross-border logistics plan or targeted advice on a specific customs issue, our team is here to help you navigate the path forward. In turbulent trade waters, having an experienced logistics partner is invaluable – and Euro-American Worldwide Logistics is proud to be that dependable partner for companies across industries. Together, we can mitigate the challenges of today’s tariffs and position your supply chain for success, no matter what changes tomorrow may bring. Contact us today!

References

Canada Border Services Agency (2025). Customs Notice 25-10: United States Surtax Order (2025-1)​.
cbsa-asfc.gc.ca

Department of Finance Canada (2025). News Release: Canada announces robust tariff package in response to unjustified U.S. tariffs​.
canada.ca

Department of Finance Canada (2025). Backgrounder: List of products from the United States subject to 25% tariffs effective March 4, 2025.
canada.ca

CBS News (2025). U.S. tariffs on Mexico and Canada go into effect.​
cbsnews.com

Trucking Dive (2025). Tariffs create frenzy in cross-border trucking​.
truckingdive.com

Export Development Canada – Trade Insights (2025). How Canadian tariffs on U.S. goods may affect your business in 2025​.
edc.ca

Miller Thomson (2025). U.S. tariffs and Canadian retaliatory measures​.
millerthomson.com

Euro-American Worldwide Logistics (2025). New U.S. Steel and Aluminum Tariffs Shake Global Trade: What Businesses Need to Know​.
eawlogistics.com

LinkedIn – Euro-American Worldwide Logistics (2025). Trade War Special Report​.
es.linkedin.com

CBSA Memoranda D and CBSA web pages on Duty Deferral Program and Customs Bonded Warehouses​.
ghy.com