May 5, 2025

Tariffs, Trade, and Tacoma: Navigating Global Shifts in 2025

 

As international trade policies continue to shift in 2025, businesses across Tacoma-Pierce County are feeling the ripple effects. Whether it’s manufacturers dealing with rising input costs or logistics firms navigating new compliance challenges, tariff changes are reshaping the region’s economic landscape.

For companies based near the Port of Tacoma – a major gateway for Pacific Rim trade – these policies are particularly significant.  To better assist local Pierce County businesses the EDB asked Port Commissioner, Kristin Ang, some key questions.

  1. For companies based near the Port of Tacoma that rely on imported components or products, what changes in the first quarter of 2025 are particularly significant?

In early 2025, escalating trade tensions and a new wave of tariffs—some reaching as high as 145% on goods from China—have created serious volatility across global supply chains. Even without full implementation, the uncertainty alone is disrupting operations. For importers, unpredictability can be just as damaging as the tariffs themselves.

From late 2024 through the first quarter of 2025, The Northwest Seaport Alliance (NWSA) experienced a sharp increase in container volumes, largely driven by importers frontloading shipments ahead of the anticipated tariffs. In fact, container volumes rose 19% year-over-year, with full imports up 26.6%, leading to more vessel calls and expanded intermodal rail activity. While import activity surged, export volumes remained flat, signaling a notable shift in overall market dynamics.

Manufacturers and distributors, especially in the automotive, electronics, and industrial sectors, are already feeling the impact of rising costs and supply chain delays tied to global uncertainty. These pressures could eventually influence car prices, repair availability, and even production timelines across the region. At the Port of Tacoma, we’re watching this closely, particularly in auto imports and parts, which are among our top import categories. The Port is now a Top 5 auto importer in North America, a position strengthened by GLOVIS America’s consolidation of Hyundai and Kia shipments at our gateway. In 2023 alone, the Northwest Seaport Alliance handled 338,330 auto units, nearly doubling the previous year’s volume—a milestone for our region and its role in global trade.

The Northwest Seaport Alliance is the second-largest agricultural gateway in the U.S., with most of our exports tied to farm-based products. As trade tensions rise, exporters are already canceling orders to China and scrambling to find alternative markets. We’ve seen this before: during the previous tariff wave, Washington’s apple exports dropped from 11,000 containers to just a few hundred; a market that still hasn’t fully recovered. Today, tighter container availability and rising shipping costs are once again putting pressure on agricultural exporters, from apples to seafood, with long-term consequences if market share is lost.

  1. What can these businesses do to adapt to these changes and minimize their negative impact?

Adaptability is going to be key. Many businesses are exploring ways to diversify sourcing by looking to countries like Vietnam, India, and other parts of Southeast Asia where tariffs may be lower. While these markets are growing, China remains Washington ports’ largest trading partner by far, so this isn’t a short-term fix but it can be part of a long-term strategy.

We’re also seeing businesses get smarter about inventory management —stocking up where feasible, building redundancy into logistics plans, and strengthening relationships with transportation partners. Some are seeking new export markets to replace lost Chinese sales, but this is complex and requires time, regulatory alignment, and sustained buyer relationships.

The Northwest Seaport Alliance and Port of Tacoma are doing our part by maintaining efficient infrastructure, low rail dwell times, and best-in-class terminal performance to support local resilience. We’re also working closely with federal and state leaders to advocate for policy solutions that support trade stability.

  1. What advice would you give to local businesses during this uncertainty?

We’re all navigating uncertainty together, and there’s no one-size-fits-all solution. But my message to local businesses is this: you’re not alone.

We at the Port of Tacoma and The Northwest Seaport Alliance are committed to supporting the jobs, families, and industries that depend on trade. We will continue to invest strategically in our facilities, maintain operational excellence, and foster strong relationships both regionally and internationally.

My advice:

  • Stay informed and flexible with sourcing and shipping decisions.
  • Engage with your industry associations and elected officials. Your voice matters in shaping trade policy.
  • Lean on the Port of Tacoma, The Northwest Seaport Alliance, local chambers, and business associations as resources. Let us know what you’re experiencing so we can advocate for solutions, adjust strategies, and invest in ways that reflect your real-world needs.

While the path forward is challenging, I remain confident in our community’s resilience, innovation, and global strength. Let’s continue to move forward, together.

Back

Stay Informed

Interested in learning more about building a business in Pierce County? Our team of economic development professionals are here to help. Sign up for our e-newsletter to stay informed.