Understanding Tariff Impacts on Flexible Packaging: Why You Can Rest Assured

Dear Valued Customer,

Recent headlines about U.S.-China tariffs may have caused anxiety, wondering if these changes will greatly affect the flexible packaging trade. At Gozen, as a trusted flexible packaging manufacturer, we understand and have received questions about the impact of tariffs on prices and shipping costs.

We want to address these concerns directly and assure our customers that these risks are minimal and manageable. Our pricing and services remain stable, reliable and cost-effective, even in an ever-changing trading environment.

Here’s why:

1. DDP Terms Protect Your Bottom Line

Our quotes are structured on DDP (Delivered Duty Paid) terms, which means we handle all logistics, duties, and taxes and door-to-door delivery costs. Everything is covered, hassle-free.

Any changes in tariffs are absorbed by us, not passed on to you. This ensures transparency and predictability in pricing, shielding your business from unexpected cost fluctuations.

2. Insignificant Impact on Lightweight, Ultra-Low Product Value

The packaging bags are inherently lightweight, cost-effective and have a very low unit price. Customs duties are typically calculated based on product value or weight.

Since our products belong to ultra-low-value products, even if the tariff rate is increased, the actual impact amount is extremely small. For example, a 10% tariff on a $0.10/bag product adds just $0.01 per unit—a margin we already factor into our competitive pricing.

3. Controllable Freight: Lightweight Advantage & Stable Logistics Cooperation

Flexible packaging bags are usually shipped by air express or sea freight due to their lightweight, and the shipping cost ratio is relatively low. We maintain close communication with long-term high-quality logistics service providers, and can flexibly adjust transportation plans to buffer market freight rate fluctuations to the maximum extent.

Multi-modal transport: It can be further optimized via multi-modal transport (e.g., shifting LCL to air with minimal cost impact).

Feasibility of detour transportation, flexible routes: The lightweight nature of flexible pouches makes them ideal for multi-country transit.

It can be re-exported or exchanged for containers through third countries, such as Vietnam, Malaysia, Mexico, etc., to circumvent the tariff increase directly to the United States. Regardless of whether you choose to ship direct or bypass, our DDP quotes include all additional costs.

4. Supply Chain Resilience: Built for Stability

The core raw materials of our flexible packaging bags (such as PE/PP particles and composite film substrates) are all purchased from high-quality suppliers in China.

We have a well-established supply chain and maintain long-term cooperation with many high-quality raw material suppliers and manufacturers. Even if policies change, we can quickly switch to backup plans to ensure stable supply.

No reliance on imports and the prices are stable. You don’t need to worry about the impact of US-China tariff increases on material costs.

Our raw materials are ISO-compliant international standards, food-contact grade, FDA/CE certified, and reported to be free of BPA and heavy metals. We prioritize the use of recyclable materials (e.g. FDA certified PE film) and comply with European and American environmental regulations.

5. Unique Product Advantages Reduce Substitution Risks

Our flexible packaging bags have distinct advantages in customized design, production technology, eco-friendly materials, etc. Compared with suppliers in other regions, we can provide you with more cost-effective and differentiated solutions. Cooperating with us can avoid many hidden costs and time losses.

6. Continuously Follow Up On Policies and Proactively Optimize Measures

Our team pay close attention to the dynamics of China-US trade policy. If there are any policy changes in the future, we will communicate solutions with our customer as soon as possible.

Historically, tariffs have mainly targeted heavy industrial products or technical products. Flexible packaging bags are rarely the focus of major tariff increases. We’re confident that this category of products will remain low-risk.

7. Commitment to Your Success

Even in uncertain times, our priority is to safeguard your business. We’ll work closely with you to explore solutions, such as volume discounts, alternative shipping routes, or inventory planning strategies. Ensure seamless delivery, no matter the regulatory landscape.

Focus on Your Business- Leave the Logistics to Us

Trade policies may fluctuate, but your supply chain shouldn’t. With lightweight product design, DDP safeguards, a battle-tested supply network, flexible shipping routes, and more, Gozen can keep your flexible packaging import costs manageable and disruption-free.

Feel free to contact us to discuss your packaging needs or learn more about how we navigate global trade challenges for you at info@gozenpackaging.com; Whatsapp +86 18571566509.