The shipping industry will face challenges following Donald Trump’s return to the White House in January, according to the head of a major US packaging firm.
Citing five trends that will shape the shipping business in 2025, Charles Haverfield, CEO of Arkansas-based US Packaging & Wrapping, said the rise of America-first policies may increase uncertainty in the industry; these include proposed tariffs of up to 20 per cent on all imports and 60 per cent on goods from China.
‘For businesses relying on foreign suppliers, these tariffs will add layers of complexity to cost management and logistics, as companies brace for these changes by frontloading imports,’ said Haverfield. ‘The rush to beat tariff deadlines could lead to bottlenecks in warehouses and ports, creating a logistical hurdle that could impact the timeliness of shipments for months.’
He said consumers could feel the impact at the checkout, as businesses passed on increased costs of imported goods to their customers.
‘Several businesses have already admitted to plans to hike prices for American consumers as a direct result of these tariffs, as well as considering moving production operations outside of China,’ he said, adding that some brands had already switched to domestic sourcing or were regionalising their supply chains (known as ‘friendshoring’) to mitigate the impact of tariffs.
The changes could also trigger retaliatory tariffs from trade partners, further increasing the pressure on global supply chains, and driving companies to ‘reshore’ or ‘nearshore’ their networks to reduce cost and uncertainty.
The change in America’s governance could also see slowing or stagnation in sustainability drives such as reducing plastic packaging waste, said Haverfield. However, he expected the demand for eco-friendly packaging to remain strong as consumers continued to push for more sustainable options.Other trends that will impact shipping next year, he said, include a shift from ‘actual weight’ to ‘dimensional weight’ pricing; and a noticeable uptick in the use of AI systems, as the Trump administration loosens regulation in this area.
