[Emergency Measures] Avoid high US tariffs! The innovative option of exporting via Japan

Due to the intensification of trade friction between the US and China, tariffs on exports from China to the US have reached an astounding 145%. These unprecedented high tariffs are fundamentally shaking the business models of many Chinese companies and making it difficult for them to access the US market.

If you are

・unwilling to give up exporting to the US market
・worried about the pressure on profits caused by high tariffs
・desperately seeking an innovative solution to break the current situation

If so, reading on could be the step that saves your business.

The reason is obvious at a glance. It lies in the overwhelming difference in tariff rates. In contrast to the high tariff of 145% from China to the United States, tariffs from Japan to the United States generally remain at a significantly lower level, although this varies depending on the item. In fact, it is not uncommon for the tariff to be around 15%.
Focusing on this dramatic difference in tariff rates, a way to overcome the barrier of high tariffs can be opened by strategically sending products manufactured in China through Japan. Specifically, a route that is now attracting keen attention from many companies is to export products to Japan first, add value there through simple assembly, inspection, packaging, etc., and then export them to the US with Japan as the country of origin.

In particular, the following product groups, which have previously had China as their main production base, are likely to benefit from exports through Japan.

・Bags: Highly fashionable bags, bags for business use, etc.
・Wallets and leather accessories: High-quality leather products and highly designed wallets, etc.
・Miscellaneous goods: Interior goods, kitchen goods, stationery, accessories, etc.

By undergoing relatively simple processes in Japan (assembly, parts installation, inspection, repackaging, etc.), it may be possible to change the country of origin of these products to "Japan."

1.Massive tariff cost reductions: Crushing tariffs of 145% could be dramatically reduced, in some cases to as low as 15%. This is a golden opportunity to significantly improve profitability and regain price competitiveness.

2.Reopening access to the US market: The huge US market, which was effectively closed due to high tariffs, will now be wide open again, allowing you to maintain your market share and seize new business opportunities.

3.The reliability of the "Made in Japan" brand: By implementing a certain level of quality control and adding value in Japan, it is possible to give the product a brand image that is highly regarded worldwide as "Made in Japan." This will greatly contribute to product differentiation and sales promotion in the American market.

The work carried out in Japan does not involve advanced manufacturing processes. It is assumed that the work will involve simple assembly, light work, and quality control for products imported from China, as shown below.

・Attaching bag handles and straps
・Attaching fasteners, clasps, and other metal parts to a wallet
・Packing multiple items into a set, such as a gift package
・We carefully inspect the product to ensure there are no problems with its appearance or functionality.
・Attaching labels and tags for the US market

These operations do not require the establishment of new large-scale manufacturing lines in Japan, but can be carried out by utilizing existing warehouses and light work spaces.

1.Careful selection of target products: First, we select products that have a high tariff reduction effect and are suitable for light work in Japan.

2.Find a reliable partner in Japan: Select a company (trading company, logistics company, light work specialist, etc.) to which you can outsource assembly, inspection, packaging, etc. in Japan. It is important to carefully assess their track record and reliability.

3.Concluding a detailed contract: We will conclude a detailed contract with the selected partner regarding the scope of work, quality standards, delivery date, costs, etc.

4.Smooth export and work to Japan: We export products manufactured in China to a location specified by our partner in Japan and ask them to carry out the work based on the contract.

5.Prompt export to the US: Once work is completed, we will work with our Japanese partners to process the export to the US.

High tariffs in the United States are certainly a big challenge. However, the new option of "exporting via Japan" can be a powerful weapon to overcome this difficult situation and grow your business.
If you are even slightly interested in this innovative solution, we encourage you to consult with us first. New perspectives and strategies may bring light to your business.