catalyst for a broader realignment in global trade. Logistics leaders must expect more trade restrictions, closer scrutiny of country-of-origin declarations, and an ever-tightening compliance environment. With China’s uncertain response and new, more restrictive U.S. trade policies on the horizon, supply chains must become more flexible, diversified, and technologically equipped to navigate ongoing disruptions. Businesses that take a proactive approach—investing in compliance tools, optimizing fulfillment strategies, and building supply chain resilience— will emerge stronger. Those who wait to react? You’ll find them stuck at customs.
it is not clear that alternative supply arrangements that circumvent countries like China will not be equally targeted in future trade policy decisions. These alternative sourcing strategies won’t only affect the businesses themselves—they’ll affect consumers as well. Shipping times for imported goods will increase, and prices for certain items could rise as businesses face higher import costs. What’s Next? Adapt or Fall Behind Companies must reconfigure their supply chains and manage customer expectations around longer delivery windows and price adjustments. The de minimis shake-up is the
documentation, increasing operational expenses and causing potential delays. The financial impact is significant. Removing the de minimis exemption could shrink profit margins for companies that previously relied on duty- free shipments. To offset rising costs, businesses are exploring alternative sourcing strategies, including diversifying manufacturing outside of countries like China and increasing inventory within the United States. While these adjustments may help absorb some financial strain in the near term, they require substantial upfront investment and a complete reassessment of supplier relationships. Even then,
Ecommerce Drives Retail Growth • In 2024, U.S. ecommerce accounted for 56% of total retail goods sales growth, increasing 8% year-over-year vs. 1.8% for in-store sales, Prologis found. • Ecommerce share of new logistics real estate demand beat pre-pandemic averages. pre-pandemic averages.
Tips from a Carrier: Start with the RFP
By CHRIS MOREM, Director of Sales, Net Zero Logistics & CLDA Member Shippers who want to improve their ecommerce fulfillment should start with their carrier selection process. It begins with the request for proposal. Consider narrowing down your list in two
rounds. The first round will be about price. That’s understandable, but the second round makes the difference in getting the right partner. Shippers who want
In 2024, the proportion of new leasing by
the last mile to go smoothly need to visit the carriers they are considering. They need to see their operation firsthand and get a feel for their culture, technology, and what they do best. It’s a mistake for a shipper to try to stretch a carrier to fit their mold. That ends badly. Take a look at the carrier’s inbound process. How are they handling orders, shortages, and damages? Find out about their chain of custody process. Are their drivers in uniform? Do their drivers have all the tools that they need to be successful? Are their drivers doing the correct things at the customer locations? For example, if you want them to handle big and bulky, how are they going over the thresholds of homes? What steps and processes does the carrier have to ensure that their drivers are minimizing the claims damages processes? Not only does that apply to the goods being delivered, but also to the customer’s property. You want to see the culture in the warehouse as well. Are the workers happy? Is the staff happy? Are they operating in an organized area? Shippers should also ask to see the carrier’s financials. They should scrutinize the financial capability of the carrier. That’s due to the economic environment and where we see the marketplace going in the final mile. Ever since Amazon entered the final mile space, it has exploded. There are start-ups every day. And lots of them fail. You want a carrier that is strong financially and has a well-established reputation. n
ecommerce companies globally increased to more than 19%, up from both 2023 and the 18% average proportion of 2017-2019. • U.S. ecommerce penetration is projected to reach 30% by 2030, up from 24% in 2025. This share shift alone would produce a total of 250 to 350 million square feet of U.S. logistics space demand over the next five years. to more than 19%, both 2023 and the 18%
Source: March 2025 Prologis paper
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