top of page
Search

Tariff Changes, Freight Charges: What You Need to Know

  • Writer: ITS Traffic Systems
    ITS Traffic Systems
  • Jun 24
  • 5 min read
How Tariff Shifts Affect Freight Costs and Billing

According to one recent study 1, almost 70% of all adults in the United States believe that tariffs will lead to higher prices on the goods they enjoy daily. 91% say that they're planning 2 to shift their buying behavior due to inflation and trade costs, and more. 


Much of the stress surrounding tariffs has to do with their likely impact on freight. Another source 3 indicated that tariffs will likely not only increase costs, but could slow down trade, and even shift supply chains. But being able to plan for increased freight cost and act accordingly is one thing. When tariffs continually get shifted or are in a constant state of flux, like they are right now, how do you adequately strategize around upcoming freight billing challenges - let alone do what you need to do today to collect on them tomorrow? 


That's the question that countless businesses around the world face right now, as specifics around tariffs - including how much they will be, who they will be levied against, and when they will go into effect - remain scarce. People already believe 4 that Donald Trump is "highly likely" to push back his current July 8 deadline to reach better and more lucrative deals with some of the United States' top trading partners. 


But shift or no shift, how will tariffs impact freight cost and freight billing across the board? The answer to questions like that requires you to keep a few key things in mind. 


What Are Tariffs, and Why Do They Change?

To put it as simply as possible, tariffs are taxes imposed by governments on goods imported from other countries. A tariff that the United States places on China, for example, would in theory make it more expensive to import a product from China than it would be to purchase an equivalent made in America or another country with lower tariffs. 


Their purpose can range from protecting domestic industries to generating revenue. Tariffs can change for a variety of reasons - including trade negotiations, geopolitical tensions, or shifts in domestic policy. 


How Do Tariff Shifts Affect Freight Costs? 

When tariffs rise or fall, the cost of moving goods across borders can change dramatically. Increases in tariffs may lead to higher overall freight rates, especially for goods that are heavily taxed. These costs ripple through the supply chain - from customs clearance to final delivery - making it essential for logistics professionals to stay ahead of any impending tariff decisions. 


Do Tariffs Increase Overall Shipping Prices?

Yes, tariffs often lead to higher shipping prices - but not necessarily in the ways you might expect. 


While the direct cost of duties may be borne by the importer, carriers and brokers sometimes adjust their rates to reflect the additional administrative burden or delays that come with new tariff regimes. These indirect costs can accumulate quickly, especially for companies shipping high volumes or moving goods through complicated shipping routes.  


What is Landed Cost, and Why Does It Change with Tariffs?

Landed cost is a term used to refer to the total price of a product once it has arrived at the buyer's doorstep. This includes not only the purchase price, but also costs associated with shipping, insurance, duties, and other fees. When tariffs go up, the landed cost goes up, too. 


What are the Billing Implications of Tariff Changes? 

Tariff changes can introduce inconsistencies in billing if freight providers or customs brokers don’t update rates in real time. Additional surcharges, tariff lines, or incorrect duty codes may appear on invoices - often without clear explanation. 


What Should Customers Look For on Freight Invoices?  

When examining freight invoices to make sure that everything is as it should be, shippers should look for duty charges, customs fees, brokerage fees, and any miscellaneous line items that they might not be familiar with. Making sure that everything is consistent and updated with tariff schedules will go a long way towards preventing small errors from turning into much bigger (and more expensive) problems down the road. 


How Can Businesses Avoid Billing Surprises? 

In an effort to avoid billing surprises, businesses can review their contracts and shipping agreements on a regular basis. They should also be communicating proactively with all logistics providers about upcoming tariff changes. If all it takes is one phone call to make sure everyone is on the same page, even in the face of uncertainty, that is a phone call worth making. 


Businesses should also be using freight audit services to audit invoices quickly and to identify discrepancies as fast as possible. The sooner you identify a discrepancy, the sooner you can act on it. 


How Can Freight Audit Services Help Manage Tariff Risk? 

Freight audit services play a critical role in mitigating the risks associated with tariff changes. These services provide an extra layer of oversight, helping ensure that invoices are accurate and compliant with current trade regulations. 


This also underlines the importance of data visibility in adapting to tariff changes. Having access to accurate data that is stored in an easy-to-access, centralized location helps you track trends in landed costs, respond quickly to pricing changes, and more. The more visibility you have into your logistics data, the better equipped you are to react appropriately - even in the face of uncertainty. 


At ITS Traffic Systems, we're proud of the reputation we've been able to earn over the years as a partner that can help stay ahead of not only tariff shifts and their impact on freight costs and freight billing, but also other issues as well. We can help you stay informed, ensure your invoices are accurate, and uncover ways to optimize freight spend during periods of market change. 


Staying Proactive in a Volatile Market 

Regardless of what ends up happening with tariffs on July 9, 2025, now is the time for organizations to take action. Staying informed, auditing freight invoices, and understanding your landed costs are more critical than ever - and that will only continue to be more essential as time goes on. 


If you'd like to find out more information about how tariff shifts affect freight cost and freight billing, or if you have any additional questions that you'd like to discuss with someone in a bit more detail, please don't hesitate to contact the ITS Traffic Systems team today. You should also reach out if you're considering a freight audit to help find some of the inefficiencies you might be dealing with, which will help you avoid surprises in your shipping expenses moving forward. 

 




Sources

  1. eMarketer. “Navigating Tariffs: How Advertisers Are Weathering the Shifting Storm.” Behind the Numbers Podcast, April 26, 2024. https://www.emarketer.com/content/podcast-btn-navigating-tariffs-how-advertisers-weathering-shifting-storm

  2. eMarketer. “Consumers Eye Essentials as Threat of Tariffs Looms.” eMarketer, May 20, 2025. https://www.emarketer.com/content/consumers-eye-essentials-threat-of-tariffs-looms

  3. Maersk. “Global Tariffs Are Impacting Supply Chains in 2025.” Maersk News, March 13, 2025. https://www.maersk.com/news/articles/2025/03/13/global-tariffs-impacting-supply-chains

  4. Politico. “Trump Could Roll Back July Tariff Deadline, Bessent Says.” Politico Live Updates, June 11, 2025. https://www.politico.com/live-updates/2025/06/11/congress/trump-could-roll-back-july-tariff-deadline-bessent-says-00400702


 
 
 

Comments


ITS Traffic Systems Inc.

(440) 892-4500

28915 Clemens Rd # 200, Westlake, OH 44145, USA

© 2024 ITS Traffic Systems, Inc.

ITS Traffic Systems, Inc. is the exclusive owner of this website and the content set forth herein. No other party or website is authorized to use any material or content from this website without the express written consent of ITS Traffic Systems, Inc.

bottom of page