We’re roughly one month away from Donald Trump taking office for the second time, and according to the president-elect, tariffs will be implemented on imports from various countries, including Canada, Mexico and China.

In addition to placing 25% tariffs on all imports from Canada and Mexico, Trump has vowed to enact a 60% tariff on Chinese imports, which would be added to any Chinese tariffs already in place from his first presidential term and maintained during the Biden administration.


Some promo firms like HIRSCH, PPAI 100’s No. 20 supplier, have already begun frontloading inventory in preparation for possible foreign tariffs.

“We have increased our stock levels to try to limit supply issues in the first quarter, and depending on the extent of the tariffs, delay price increases for as long as possible,” says Paul Hirsch, MAS, CEO of HIRSCH. “We’ve also made a concerted effort over the last four years to partner with manufacturers that produce outside of China.”

We have increased our stock levels to try to limit supply issues in the first quarter, and depending on the extent of the tariffs, delay price increases for as long as possible…”

Paul Hirsch, MAS

CEO, HIRSCH

S&S Activewear, PPAI 100’s No. 5 supplier, also plans on frontloading inventory.

“We are currently evaluating a select group of suppliers and anticipate extending inventory in those relationships an additional four to six weeks,” says Josh Clark, COO of S&S Activewear. “Overall, we are confident in the depth and breadth of our existing inventory, which allows us to maintain a proactive approach in mitigating any potential supply chain interruptions for our customers.”

We are currently evaluating a select group of suppliers and anticipate extending inventory in those relationships an additional four to six weeks.”

Josh Clark

COO, S&S Activewear

‘Diversifying Sourcing’

Liz Haesler, global chief merchandising officer for PCNA, PPAI’s No. 3 supplier, said her company is keeping a deep inventory of its best-selling products while remaining flexible with its supply chain strategy.

“At PCNA, we are working on navigating the unknown complexities of future tariffs by standing firm on maintaining deep inventory for our top-selling items,” Haesler says. “It is important for suppliers in this industry to continue to focus on diversifying sourcing, optimizing inventory management and strengthening supplier partnerships to minimize disruption and adapt to evolving trade policies.”

At PCNA, we are working on navigating the unknown complexities of future tariffs by standing firm on maintaining deep inventory for our top-selling items.”

Liz Haesler

Global Chief Merchandising Officer, PCNA

Yuhling Lu, CEO of Ariel Premium Supply, PPAI 100’s No. 17 supplier, said she’s following a “wait-and-see” approach regarding pricing and tariffs because it’s too soon to know what the impact will be.

“We have not brought in much more inventory than we usually do ahead of Chinese New Year, primarily due to warehousing and cash flow,” Lu says. “For the past two years, we have been actively looking at other countries for product sources. Many Chinese factories themselves are expanding operations to these countries as well.”

For the past two years we have been actively looking at other countries for product sources.”

Yuhling Lu

CEO, Ariel Premium Supply

Some companies, like 3M Promotional Markets, the No. 13 supplier in the PPAI 100, are confident that the pending tariffs won’t have much impact on business because most of their products are made in the U.S.

“As we begin to hear more and more about tariff concerns, 3M Promotional Markets is secure in knowing that over 98% of our products are both made from materials in and manufactured in the U.S.,” says Misty Friedrichs, CAS, contract national sales manager for 3M Promotional Markets. “We believe this highlights how U.S.-based production & sourcing can act as a safeguard against unpredictable global trade challenges.”

We believe this highlights how U.S.-based production & sourcing can act as a safeguard against unpredictable global trade challenges.”

Misty Friedrichs, CAS

Contract National Sales Manager, 3M Promotional Markets

A few large suppliers declined to comment, noting there’s not much guidance on what they should plan for, and remaining flexible with their supply chain systems will be key to navigating through the evolving geopolitical landscape.

PPAI’s Stance On Tariffs

A recent PPAI member survey showed that 80% of suppliers and almost 40% of distributors see tariffs and trade restrictions as the most impactful issues on the horizon.

In response, PPAI recently sent a letter to more than three dozen Congressional leaders and key committee members with a message conveying the economic impact of promotional products and encouraging Congress to exercise oversight of any future tariffs.

The letter, signed by interim President and CEO Dawn Olds and Board Chair Andrew Spellman, vice president of corporate markets for Therabody, is the first step in the Association’s strategy on this issue. Members of the Government Relations Action Council will also be sending letters.

Now, PPAI is asking members to download, customize and send this letter to your own representative and senators.

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