On April 9, the White House announced a 90-day pause on the sweeping tariffs unveiled just one week prior. The move halts country-specific tariff increases—some of which had reached as high as 50%—and reverts most imports to a flat 10% rate for now. The lone exception is China, where tariffs have jumped to 125%.
This pause offers breathing room—but not clarity. As we noted in our previous post, From Disruption to Advantage, the smartest operators use periods like this to prepare, not pause.
1. Build Out Scenario Plans—Don’t Bet on Stability
This 90-day delay may be a negotiating tactic, not a lasting resolution. Build scenarios that model:
- Tariffs holding at 10%
- Country-specific increases resuming
- A further escalation with China or other trading partners
Align financial models and supply chain readiness around each scenario so you’re not caught reacting.
2. Engage Suppliers While Uncertainty Is High
Executives at Walmart and Target have made it clear—across-the-board price increases aren’t sustainable. This is the time to revisit vendor agreements:
- Can cost-sharing clauses be activated?
- Are volume commitments or payment terms flexible?
- Can you co-invest in alternative logistics options?
A temporary lull in policy doesn’t mean supplier economics are on hold.
3. Evaluate Sourcing Footprint for Flexibility
Many companies had already begun shifting away from heavy concentration in China. The 90-day pause makes it possible to accelerate diversification without the pressure of immediate tariff spikes. Consider:
- Fast-tracking onboarding of suppliers in Vietnam, Mexico, or Eastern Europe
- Piloting secondary vendors in at-risk categories
- Revisiting country-of-origin rules for key SKUs
Even if tariffs don’t resume, the supply chain resilience these moves unlock is strategically valuable.
4. Reassess Inventory Timing and Inbound Strategy
Retailers front-loaded spring inventory to get ahead of tariff costs. If you didn’t—now’s your chance.
- Pull forward inventory for fall and holiday categories where it makes sense
- Analyze SKUs with long lead times and limited vendor redundancy
- Coordinate logistics and warehousing to manage a short-term surge
Be selective. This isn’t about panic buying—it’s about strategic hedging.
5. Stay in Control of the Narrative
Markets surged on news of the pause, but trade associations like NRF and RILA continue to warn of consumer cost pressure. Don’t let your stakeholders interpret silence as passivity.
- Prepare internal briefings for boards and finance sponsors
- Keep teams informed with scenario-based playbooks
- Stay active in trade group efforts to shape negotiations and reduce exposure
Bottom line: The 90-day pause is an opportunity—if you act. Operators who use this window to prepare, renegotiate, and diversify will be better positioned no matter what Day 91 brings.
Even if your team already has tariff playbooks and alternate suppliers lined up, this is the time to pressure-test the edges. We’re seeing companies accelerate diversification plans, and secure final approvals on partners in Mexico and Vietnam that were previously in “wait-and-see” model. Amazon, for example, canceled seasonal inventory orders to reduce tariff exposure, then resumed supplier negotiations after the pause. RH (Restoration Hardware) signaled in recent guidance that it’s rebalancing sourcing beyond China to limit downside risk.
Longer-term, this pause likely signals that new trade alignments are on the horizon. The USTR has indicated that over 50 countries have approached the U.S. about updated trade terms. This isn’t just about avoiding tariffs—it’s about preparing for a more dynamic, politically-driven supply environment.
Curious how others are navigating the pause? We’re happy to share what we’re seeing.
