U.S. factory equipment maker OTC Industrial Technologies has long used low-cost countries to supply components — first China and later India — but President Donald Trump's blitz of tariffs on numerous trade partners has upended the supply chain math for CEO Bill Canady.
"We moved things out of China and went to some of those other countries, and now the tariffs on those are as bad or worse," Canady said in an interview. "We just have to hang on and navigate our way through this so we don't all go broke in the short run."
It is a dilemma that is sinking in with companies, foreign trade ministries, trade lawyers and economists as the U.S. Supreme Court considers the legality of Trump's global tariffs, with arguments set for Wednesday. Under one legal authority or another, Trump's tariffs are expected to stay in place long-term.
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