One of the largest importers in the promotional products industry, Greater Pacific is directly impacted by the additional 20% tariffs recently imposed on Chinese imports.

  • Headquartered in the Seattle area, PPAI 100’s No. 68 supplier, which also has an office in Shanghai, sources roughly 70% of its products from China.


“The additional tariffs have increased our costs and strained our already thin margins,” says Ben Zhang, president and CEO of Greater Pacific. “Fortunately, most of our long-term clients understand the situation and are willing to absorb these costs and pass it either entirely or partially to their customers.”

Zhang has been a staunch critic of tariffs throughout both Donald Trump’s and Joe Biden’s presidencies, maintaining that the levies harm American consumers rather than Chinese manufacturers.


“There seems to be a belief among Trump and his economic advisors that these tariffs will generate significant revenue for the U.S. Treasury and help address the budget deficit,” Zhang says. “However, it’s important to recognize that these tax revenues come from U.S. importers, like Greater Pacific, which leads to increased costs for American businesses and consumers. This approach exacerbates inflation and diminishes the purchasing power of American citizens, which contradicts the vision of making America great again.”

Ben Zhang headshot
The additional tariffs have increased our costs and strained our already thin margins.”

Ben Zhang

President/CEO, Greater Pacific

Promo firms have reported that inflation and economic uncertainty are causing clients to delay or cut marketing budgets, according to PPAI Research’s tariff impact survey.

  • Over 85% of respondents anticipate cost increases more than 5% due to tariffs, with over half experiencing moderate impacts and a third facing significant financial burdens.


“Higher tariffs reduce affordability for U.S. consumers, diminishing consumption both in the short and long term,” Zhang says. “We’ve already seen retaliatory measures from countries like China, complicating our trade relationships and contributing to an expanding trade deficit – an outcome evident during Trump’s first term.

“If Trump aims to make America great again, he should consider the implications of pushing China closer to Russia. He recently stated that with China as an ally, no world problems can’t be solved. If that’s his vision, it should guide his policies.”


Relying On AI

Zhang says a balanced and strategic approach is essential to navigate these complex trade relationships effectively.

As part of that approach, Greater Pacific aims to diversify sourcing. That’s why Zhang has turned to his nephew, Ricky Ho, co-founder and CEO of SourceReady – an all-in-one AI-powered product sourcing platform.

  • Only a year old, the platform contains a database of more than 600,000 manufacturers across 15 categories and 30 countries.


Ho says that unlike online directories like Alibaba – which manufacturers pay to be listed on – SourceReady curates supplier data from professional networks and public sources, including U.S. Customs and Border Protection, and uses AI to automate filtering, prospecting and outreach.

RELATED: Navigating Tariffs: Strategies For Distributors And Suppliers

“Most manufacturers listed on Alibaba are geographically centered in China, so if you want to find a supplier in Peru, Brazil, Vietnam or Cambodia, many of these countries don’t have mature supplier sites, making diversification harder,” says Ho, who was named to Forbes 30 Under 30 Asia in 2021.

“If you’re a medium-sized [promo firm], there’s often a lot of complexity trying to find and vet these manufacturers.”

Ricky Ho headshot
Navigating today’s tariff landscape requires parsing thousands of shifting data points.”

Ricky Ho

Co-founder/CEO, SourceReady

SourceReady allows you to not only find manufacturers in a certain country that specialize in a certain product, but also learn about their reputation, revenue, customer base, certifications, pricing and tariff impact. Additionally, the platform lets you look up which manufacturers any U.S. importer has worked with.

  • PPAI members can use the code PPAI at sign-up to receive 10% off the paid plan of SourceReady. 


“Navigating today’s tariff landscape requires parsing thousands of shifting data points, such as customs records, supplier histories, regional compliance risks and competitors’ supply chains,” Ho says. “AI is uniquely equipped to tackle this complexity by processing real-time data at scale, automating repetitive work and tailoring supplier recommendations based on a company’s unique priorities, like lead time tolerance or sustainability goals.”

RELATED: Tariff Turmoil: How Promo Is Managing Stress And Anxiety

As the global trade war evolves, Zhang says that Greater Pacific is already using SourceReady to identify manufacturers around the world. “We’re excited about the options this technology provides and the potential benefits it brings to us and our distributor clients,” Zhang says.

Sourcing Options For Promo

While 79% of promo firms still source from China, there’s growing interest in nearshoring and relying upon alternative suppliers from other countries, according to the latest data from PPAI Research.

  • Nearly half (49%) of PPAI 100 suppliers and 43% of PPAI 100 distributors identify Southeast Asia (excluding China) as a key region for sourcing.
  • Additionally, 16% of PPAI 100 suppliers and 11% of PPAI 100 distributors cite other areas like Central America, pointing to a broadening geographic focus.
  • Meanwhile, 46% of PPAI 100 suppliers and distributors plan to focus on domestic sourcing.


Maryland-based distributor Sonic Promos has implemented several strategies to adapt to the global trade war: diversifying its supply chain to countries with lower tariffs; moving some production closer to home; absorbing certain costs where possible; making targeted price increases; and redesigning products to maintain price points using alternative materials.

Seth Weiner headshot
Many of our supplier companies are using a mix of these alternatives rather than a wholesale shift to any single country.”

Seth Weiner, MAS

President/CEO, Sonic Promos

Several regions have emerged as alternatives to the traditional sourcing destinations affected by tariffs, according to Seth Weiner, MAS, president and CEO of Sonic Promos.

  • Vietnam has become a primary alternative for apparel, bags and many hard goods categories, with significantly expanded manufacturing capabilities in recent years.
  • Bangladesh has grown competitive particularly in textile and apparel categories.
  • Indonesia and Malaysia offer growing options for tech accessories and certain types of plastic products.
  • Several Central American countries are seeing increased interest, particularly for textile products, as they benefit from different trade agreements and offer shorter shipping times to the U.S.
  • Thailand has also developed capabilities in various promo categories with competitive pricing.


“The shift isn’t always straightforward, as each country has different manufacturing strengths, quality control considerations and logistics challenges,” Weiner says. “Many of our supplier companies are using a mix of these alternatives rather than a wholesale shift to any single country.”

‘Thoughtful Approach’

PPAI has long supported free trade.

Serving members of all political stripes, the Association recognizes the need for policies that strengthen the U.S. economy and support domestic manufacturing. However, any measures – including tariffs – must be implemented strategically to minimize short-term economic disruption while setting the stage for long-term growth. Abrupt cost increases impact businesses of all sizes, from small distributors to global suppliers, ultimately affecting jobs, investment and product pricing throughout our industry.

We advocate for a thoughtful approach – one that balances economic goals with the realities of supply chain dynamics.”

Drew Holmgreen

President/CEO, PPAI

“We advocate for a thoughtful approach – one that balances economic goals with the realities of supply chain dynamics,” says Drew Holmgreen, president and CEO of PPAI. “With support from our lobbying partners in Washington, we are in ongoing conversations with industry volunteers, trade groups and policymakers with the goal to ensure that any trade policies consider the full scope of their impact and allow businesses time to adapt.”

  • Every year, PPAI members and staff travel to Capitol Hill to advocate for the promotional products industry as part of PPAI’s Legislative Education and Action Day.
  • Tariff concerns will be one of the key issues we’ll be discussing with members of Congress on April 7-8. (Learn more about LEAD here.)

For questions or suggestions on regulatory or government affairs issues, please contact Rachel Zoch at RachelZ@ppai.org.