Tariffs, Trade Wars, and What Your Business Should Be Doing Right Now: Lessons from the June 3 Ask the CFO Session with Lowell Mora

When it comes to tariffs and trade wars, one thing is clear: no one has all the answers. But during our June 3 “Ask the CFO” session, Lowell Mora didn’t aim to predict the unpredictable—he focused on the actions business leaders can and should take right now to weather tariff uncertainty and strengthen long-term resilience.

A Wake-Up Call for Vendor Strategy

Lowell opened with a blunt truth: “If someone tells you they know exactly what’s going to happen with tariffs, they’re lying.” Trade negotiations are in flux, and small to mid-sized businesses can’t afford to sit and wait. Instead, Lowell encouraged attendees to double down on the basics—starting with vendor diversification.

“A single-source supply is a bad idea in any economic environment. When tariffs hit, it can bring your entire operation to a halt.”

Businesses often continue buying from the same vendors simply out of habit. But Lowell pointed out that a smart procurement process requires a deeper look: not only where the product is purchased, but where it’s actually manufactured. Even if you buy from a U.S.-based distributor, the goods may originate from tariff-impacted countries. And that will show up in your costs—sooner than later.

Conduct a Two-Tiered Vendor Audit

If your team hasn’t done it already, now’s the time to:

• Audit your top vendors – Who supplies the majority of your inputs?

• Trace the source – Where are those products really coming from?

• Seek alternatives – Especially for any vendor that supplies more than 25% of a key input.

Don’t rely on gut feelings. Run the numbers. “How will you handle a 25–30% increase in costs?” Lowell asked. “Do you even have the margin to absorb it?”

Price Increases: Time to Stop Apologizing

Lowell didn’t pull punches: if your costs are going up, your prices should be too. He stressed the importance of having a consistent, documented pricing policy—whether it’s annual, bi-annual, or based on specific triggers like shipping costs or tariff hikes.

“I’ve seen so many businesses say, ‘We can’t charge a shipping fee. Our clients would freak.’ Really? Have you checked your vendor invoices lately? Most of them are charging you shipping and handling.”

Lowell’s advice? Start small. Add a reasonable shipping or handling charge. Raise your fees in line with cost increases. “Eighty percent of customers won’t even blink. And if 20% push back, that’s still a net win.”

The Bigger Picture: Tariffs as an Accelerator

Lowell emphasized that tariffs aren’t just a temporary disruption—they’re a catalyst for change. Businesses that proactively evaluate their cost structure, supplier strategy, and pricing model will be better positioned no matter what happens next.

He also touched on global manufacturing trends: production is already shifting from China to countries like Vietnam, Mexico, and India due to rising labor costs and demographic shifts. This means the time to reevaluate your supply chain isn’t tomorrow—it’s right now.

Key Takeaways from the Session:

• Diversify your supplier base and trace the true origin of your products.

• Review your pricing strategy—don’t delay raising prices when necessary.

• Audit shipping costs and consider passing some of those fees on.

• Lean on your internal experts—people in your business already know the market better than you think.

• Use data to understand which products, customers, and markets are most vulnerable to cost shifts.