Case Study: a propane gas grill importer eliminates China-related tariffs with BDO customs and international trade services

Propane Gas Grill Importer eliminates 25% China tariffs with BDO

The customer, a propane gas grill importer, faced significant profitability pressure due to the 25% Section 301 tariffs on goods imported from China. They engaged BDO's Customs and International Trade Services team to develop a compliant, long-term strategy to reduce this duty exposure and mitigate future tariff risks.

BDO provided a strategic solution involving a detailed analysis of the supply chain and the implementation of qualifying manufacturing changes to legally shift the product's country of origin. This approach, validated by a binding CBP ruling, successfully eliminated all China-related tariffs. The result was a 100% reduction in these duties, with the strategy also protecting the importer from subsequent tariffs, leading to substantial and sustained cost savings.