U.S. companies are facing increased trade compliance costs due to tariffs imposed by the Trump administration, which may add between 1.4% and 2.5% to the value of goods. Manufacturers could incur annual compliance costs ranging from $39 billion to $71 billion, primarily due to the complexity of determining product origin and obtaining necessary certifications. Automakers like GM and Stellantis have reported significant financial impacts from these tariffs. The Federal Reserve suggests their cost estimates may be conservative, as the complexities of compliance increase administrative burdens and risks of penalties.

Source: https://www.supplychaindive.com/news/cfos-face-surging-trade-compliance-costs-trump-high-tariffs-fed/754177/