There has been a lot of buzz about trade tariffs recently, as the new President’s administration announced plans to roll out new tariffs on goods entering the US from Mexico, China, and Canada and extend overarching tariffs to all countries worldwide at different individual rates.
If you’re unsure how this will impact your print-on-demand store, you’ve come to the right place.
In this article, we’ll break down tariffs, how they work, and how they affect your business.
This content is for informational purposes only and does not constitute professional advice. The content is based on our understanding as of the date of publication. Readers are encouraged to seek advice from qualified professionals. Any actions taken based on this information are at your own risk. All information presented in this article is current as of April 11, 2025.
Key takeaways
- Tariffs are taxes on imported goods that governments use to protect local businesses and raise revenue. However, they can also raise consumer prices, potentially affecting your print-on-demand business.
- Tariffs can increase the cost of imported products and outsourced services, which may impact industries like eCommerce.
- Governments use tariffs to influence trade, often favoring local manufacturing while making imported goods more expensive.
- In February 2025, the Trump Administration announced additional tariffs on China and new tariffs on Canada and Mexico, which, after a pause, came into effect on April 2 (with certain exceptions).
- On April 2, the US imposed a baseline 10% reciprocal tariff on all imports to the US, which applies to all countries worldwide, which came into effect on April 5.
- The Trump administration introduced increased reciprocal tariffs on select countries with the largest trade deficits with the United States, but on April 10, they were paused for 90 days. Tariffs on China were not included in this pause.
- The new U.S. tariffs in 2025 include a 145% tariff on Chinese imports and a 25% tariff on goods from Canada and Mexico.
What is a tariff, how do they work, and who pays?
Tariffs are taxes on imported or exported goods that governments use to control trade, protect local industries, or raise revenue. There are three types of tariffs that are really relevant for ecommerce sellers right now.
- Ad valorem tariffs – A percentage of the product’s value.
- Specific tariffs – A fixed amount per unit of the product.
- Retaliatory tariffs – Taxes a country places on imports in response to tariffs imposed by another country.
When a country imposes a tariff, it increases the cost of importing certain goods.
For example, if the US places a 10% tariff on imported clothing, a $100 jacket from another country would now cost $110. This added cost is typically passed on to consumers, making foreign goods more expensive than local alternatives.
Governments often use tariffs to encourage people to buy from local businesses by making imported goods less competitive. While this can help protect domestic industries, it also raises costs for companies that rely on imported materials and may lead to higher prices for consumers.
When combined with retaliatory tariffs – when other countries respond with their own import taxes – trade relationships can become strained, making prices rise even further and causing economic uncertainty.
The pros and cons of tariffs
| Pros | Cons |
|---|---|
| Promotes domestic economic growth: Protects local businesses from foreign competition by raising the costs of imported goods. | Higher consumer prices: Additional costs for imported goods often get passed to consumers. |
| Encourages local job growth: Supports industries that might otherwise struggle to compete with cheaper foreign alternatives. | Retaliation from other countries: Trading partners may impose their own tariffs, harming US exports. |
| Raises government revenue: Generates income from import duties that can then be used for public programs. | Supply chain disruptions: Tariff hikes can increase costs for businesses relying on imported materials. |
| Reduces trade deficits: Decreases reliance on foreign goods and, in theory, promotes economic self-sufficiency. | Reduced efficiency: Industries shielded from competition may become less efficient over time. |
How do the new tariffs affect Printify and merchants?
The recent US import tariffs on Canada, Mexico, and China, as well as further tariffs on all US imports, have increased costs for many industries, including eCommerce and Print on Demand (POD).
Printify is closely monitoring these changes and working to minimize their impact on our merchants.
For now, we are not increasing prices. We’re able to maintain our current prices by improving efficiency, collaborating closely with our suppliers, and absorbing costs where possible. Protecting your profitability remains our top priority.
If we need to raise prices in the future, we’ll keep increases as low as possible and let you know in advance so you’ll have plenty of time to prepare.
Why prices may increase
Tariffs increase the cost of imported goods, raising expenses for businesses providing those products or services.
For the print-on-demand industry, these tariffs could impact several key areas:
- Blank products: Many domestic suppliers rely on imported textiles, steel, aluminum, and other materials. Tariffs on these items may drive up production costs.
- Fulfillment and logistics: Increased customs duties can raise shipping costs and cause delivery delays, impacting customer satisfaction.
- Production costs: Manufacturers depend on international markets for equipment and raw materials. Higher tariffs could raise expenses for our Print Providers.
Printify is committed to keeping prices stable. We’re strengthening relationships with domestic producers and streamlining fulfillment processes to reduce shipping disruptions and avoid unnecessary price increases.
If there are any price changes, we’ll notify you as early as possible so you have time to update your product listings.
Which products will have tariffs?
In most cases, none because of de minimis – the value of goods that can be imported without incurring customs duties or tariffs.
This is important for print-on-demand sellers because products shipped directly to customers in other countries may qualify for duty-free entry if their value falls below the applicable de minimis threshold.
For example, the de minimis threshold for goods being imported into the US is $800, meaning print-on-demand items under this value can enter without additional tariffs. However, thresholds vary by country, so understanding these limits helps you manage costs and pricing for customers.
However, it’s important to note that President Trump has asked the US Secretary of Commerce to find a way to revoke the duty-free treatment of de minimis shipments. So, while the de minimis exemption remains in force for now, we are closely monitoring the situation, and our internal teams are doing their best to prepare for any potential changes.
What you can do as a merchant
There are a few things you can do to protect your profits and keep your prices competitive:
- Monitor pricing: Keep track of any cost changes and adjust your pricing and margins accordingly.
- Choose domestic production: Use US-based Print Providers if your primary customer base is in the US and likewise with Canadian Providers if your target audience is Canadian.
- Stay transparent: Let customers know where their items are being produced so they know of any potential tariffs on their orders before purchasing.
As global trade policies evolve, Printify will continue to provide updates and resources to help you navigate changes and thrive – no matter how tariffs or other trade regulations may shift.
2025 Tariffs: Timeline and changes for each country
In July 2020, the Trump administration replaced the long-standing North American Free Trade Agreement (NAFTA) with the United States-Mexico-Canada Agreement (USMCA).
In February 2025, the newly inaugurated President Donald Trump ordered a new series of tariff policies, exempting import duties on USMCA-compliant products from Canada and Mexico.
Non-USMCA-compliant goods have received a 25% tariff. On April 5, the Administration added an additional 10% unilateral tariff on all globally imported goods coming into the US, with some specific tariff rates determined on a per-country basis.
The US further announced that it would introduce reciprocal tariffs on countries with the largest trade deficits with the United States, effective April 9, 2025. However, on April 10, these tariffs were paused for 90 days.
This data is based on the official White House update from April 10, 2025. More changes are expected in response to reciprocal policies and reactions between affected countries.
Canada
On February 1, 2025, the US announced a 25% tariff on non-USMCA-compliant Canadian imports, except for energy products (crude oil, natural gas, coal, and critical minerals), which face a 10% tariff. These tariffs were imposed on April 2, following a month-long pause.
The definition of energy resources is based on Trump’s National Energy Emergency Executive Order, but there is no clear list of affected product codes, creating uncertainty for importers.
Canada implemented retaliatory tariffs on American goods in March 2025 in response to new US tariffs. Effective March 4, the first round imposed a 25% tariff on CAD $30 billion worth of US imports, including items like food and drinks, apparel, cosmetics, and appliances.
On March 13, a second round of retaliatory tariffs was introduced on an additional CAD $29.8 billion of US products, including steel and aluminum, sports equipment, and computers.
It appears that Canada’s goal with these tariffs is to counteract the US tariffs and protect Canadian industries.
Mexico
On February 4, 2025, President Donald Trump put a 25% import tariff on all goods from Mexico, similar to the Canadian tariffs. These tariffs were temporarily paused for USMCA-compliant products until April 2.
Unlike Canada, there are no exemptions for energy products. These tariffs add to existing duties and are expected to significantly impact industries reliant on cross-border trade, particularly manufacturing and agriculture.
Mexico has already indicated plans to impose retaliatory tariffs.
China
On February 4, 2025, the Trump administration increased tariffs on all Chinese goods (including those from Hong Kong) from 10% to 20%, expanding on the tariffs first introduced in 2018. Officials state that the goal is to counter unfair trade practices and reduce reliance on Chinese supply chains.
The administration introduced new tariff rates – set to go into effect on April 9 – to increase import tax rates of Chinese goods to 54% (this includes the previously announced 20% plus the reciprocal tariffs of 34%) on top of the pre-existing tariffs on Chinese goods.
On April 10, the total tariff on Chinese goods increased to 145%. The duty percentage on Chinese goods changes frequently, so we recommend monitoring your chosen news source for real-time updates.
These tariffs remain in effect indefinitely. This move directly impacts consumer goods from China, including items sold by print-on-demand businesses.
The de minimis exemption has also been eliminated, meaning low-value imports are now subject to tariffs.
FAQ
A tariff is a tax on goods imported from a foreign country.
Governments impose tariffs to protect domestic industries, generate federal revenue, or influence international economic policy.
Tariffs can be a percentage of the product’s value or a fixed fee per unit. While they can help domestic industries by making foreign goods less appealing, they often lead to higher prices, which then get passed on to local businesses and consumers.
Although governments impose tariffs, the cost is often passed down to consumers through higher prices on imported goods. When a tariff increases the cost of bringing products into a country, businesses often raise prices to cover these additional expenses.
Local businesses that rely on imported materials – such as solar panels, electronics, or steel and aluminum – may also pay the extra cost.. If they can’t absorb the additional costs or pass them on to customers, their profit margins shrink, making it harder to stay competitive against domestic or non-tariffed alternatives.
Both consumers and businesses ultimately pay the price for tariffs through higher costs and reduced market competitiveness.
Local manufacturers may gain a competitive edge as tariffs make imported goods more expensive, helping them maintain market share and preserve jobs. Governments collect tariff revenue, which can support public programs.
On the flip side, businesses relying on imports may face higher costs and slimmer profit margins. Consumers often pay more for goods as businesses pass on these costs.
Tariffs can also lead to trade wars and price fluctuations, making long-term planning difficult.
To manage these changes in trade policy, businesses should consider diversifying suppliers and staying informed on any updates.
Summary: Tariffs and Print on Demand
Tariffs imposed on goods entering the US can lead to higher costs, but Printify is working hard to keep prices stable so your business can keep thriving.
Switching to US-based Print Providers if your target audience is in the US can help you and your customers minimize unpleasant price increases and keep your POD store running smoothly.
We will keep you updated on any changes on our end. In the meantime, happy selling!
The content presented is for informational purposes only and should not be considered professional advice. While we strive to provide accurate and up-to-date information, the dynamic nature of the topic may result in changes or updates. Readers are encouraged to conduct further research or seek advice from qualified professionals for specific situations.
Any actions taken based on the information presented are at your own risk. Printify and its representatives are not liable for any losses, injuries, or damages arising from the use of the information provided.
It’s important to consult with appropriate professionals, such as legal, financial, or other experts, when making decisions that may have legal or financial implications.
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