Mitigating Tariff Impacts: A Navigator Guide for Importers

In an era of global trade disruption, shifting tariff regimes, and rising operational costs, East African coffee importers face mounting pressure to maintain profitability. With the recent implementation of "Liberation Day" tariffs in the U.S. and uncertainty surrounding preferential trade agreements like AGOA, suppliers and importers must rethink how they navigate the American import market.

Tailored support for scaling into the US market.

We find strategic, legal, and logistics-based mechanisms that importers can use today to mitigate tariff impacts, reduce landed costs, and maintain competitive edge.

⚙️ 1. Duty Drawback Programs – Claiming Back Your Costs

What it is:
The U.S. Duty Drawback Program, administered by Customs and Border Protection (CBP), allows importers to recover up to 99% of duties paid on goods that are later exported—whether as-is or in a processed form.

Coffee Example:
If a coffee importer brings in green beans, roasts and packages them in the U.S., and then exports the finished product (e.g., coffee pods or branded packs), they may qualify for a refund of duties paid during import.

Key Advantages:

  • Improves post-sale profit margins on export goods

  • Encourages vertical integration for African brands in the U.S.

  • Can apply retroactively for up to 5 years under certain conditions

Navigator Support:

  • Partnering with licensed U.S. customs brokers

  • Filing documentation and coordinating export verification

  • Educating clients on eligibility and timelines

 

🏗️ 2. Foreign Trade Zones (FTZs) – Deferral, Reduction, or Elimination of Duties

What it is:
A Foreign Trade Zone (FTZ) is a designated area in the U.S. where businesses can store, process, or assemble goods without immediate duty payment. Duties are paid only when goods leave the zone for U.S. commerce, or are completely waived when goods are re-exported.

Coffee Example:
Ntare clients can import East African green or roasted coffee into a Tri-Link FTZ in Houston, store and package it, then:

  • Export to Canada or Europe duty-free

  • Distribute to U.S. markets with delayed duties

  • Re-classify based on final form for optimized duty rates

Key Advantages:

  • Reduces capital tied up in duties

  • Improves cash flow for warehousing and processing

  • Allows duty classification flexibility

Partner Highlight:
Tri-Link FTZ, Houston
Tri-Link’s zone offers advanced facilities for coffee storage, sampling, roasting, and direct-to-retailer distribution.

Navigator Support:

  • Introducing clients to FTZ facilities and operators

  • Managing zone application paperwork

  • Integrating FTZ workflows into your supply chain

 

🧾 3. Tariff Classification Optimization – Using the Right Code, the Right Way

What it is:
The Harmonized Tariff Schedule (HTS) was used to determine how your products are taxed at U.S. entry. Many businesses will now have to pay an across the board 10% tariff, fees and penalties due to incorrect classification and failing to leverage exemptions for specialty or value-added forms.

Coffee Example:

  • HS Code 0901.11: Green Arabica coffee beans – used to be duty-free

  • HS Code 0901.21: Roasted coffee – was taxes at 4.5% duty

  • Branded retail packs might qualify under special rates or incentives

Key Advantages:

  • Ensures legal compliance

  • Minimizes risk of customs fines or reclassification audits

  • Opens access to niche programs (like organic, fair-trade, etc.)

Navigator Support:

  • HTS code review by classification experts

  • Cross-checking against AGOA or bilateral trade benefits

  • Updating documentation for consistent and accurate customs filing

 

🧭 Why Work With Ntare Navigator services?

Our Navigator Services are built for African exporters and diaspora trade agents. We:

  • Guide you through U.S. import-export law

  • Structure your supply chain to reduce costs and risks

  • Provide real-world, boots-on-the-ground trade solutions via our partners in Houston, Dallas, and beyond

Navigator helps you optimize your trade model and thrive—even under changing circumstances in the import/export game.

Ready to Get Started?

Let's chart your path through today's trade turbulence—together.

+1 619 800 1119 | info@ntarellc.com

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