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SanMar Responds To New U.S. Reciprocal Tariffs

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  • Post published:Apr 8, 2025
  • Reading time:9 mins read

On April 2, the White House introduced a new wave of reciprocal tariffs, starting with a baseline 10% on all imports and scaling up to as high as 50% for countries with significant trade imbalances with the United States. The announcement has triggered ripple effects across global supply chains—and SanMar, one of the largest wholesalers in the branded apparel industry, isn’t standing still.

In a recently published letter, SanMar CEO Jeremy Lott wrote, “As you are no doubt aware, the White House announced reciprocal tariffs on April 2. These included a baseline 10% tariff on all imports, in addition to incremental tariffs on a country-by-country basis.”

How These Tariffs Impact SanMar’s Global Supply Chain

SanMar sources products from 24 countries, which means these changes affect a wide portion of its catalog. The company has already flagged how these U.S. apparel import duties will likely impact pricing, depending on the country of origin.

Here are some tariff rates affecting SanMar products:

  • Vietnam: 46%
  • Bangladesh: 37%
  • Myanmar: 45%
  • Madagascar: 47%
  • Sri Lanka: 44%
  • China: 34%

And yes—those new tariffs are on top of earlier ones. As Lott clarified, “The reciprocal tariffs are stacked on top of any existing tariffs, meaning that the new tariffs on China are added to the 20% tariffs instituted earlier this year.”

SanMar Price Changes Coming June 1—But Just Once

In an effort to keep things simple for distributors and customers, SanMar is taking a one-time pricing approach.

“We’ll make a single price change starting June 1, with the plan to hold that change through 2025,” said Lott. Rather than a complex product-by-product or country-specific adjustment, the company is aiming for a balanced, predictable increase that reflects the overall impact across all sourcing regions.

“While it won’t be an insignificant amount,” he admitted, “we will do everything we can to minimize the increase.”

SanMar’s Strategic Shift: More Production In Low-Tariff Countries

To offset rising costs, SanMar is already looking to shift manufacturing to more tariff-friendly nations. Countries like Honduras, where many Port & Company and District t-shirts are already produced, are at the top of the list for expanded sourcing.

“As soon as possible, we’ll shift as much production as we can from high-tariff to low-tariff countries like Honduras,” Lott stated.

If successful, and if global negotiations lead to lower tariff rates, SanMar hopes to reduce prices in 2026.

SanMar Offers Support Through Uncertainty

The company isn’t just raising prices and hoping for the best. SanMar is actively offering support to its customers and partners, promising to help in any way it can.

“If you need help finding a replacement product to meet your budget, or if you need a little extra help with credit, please contact our dedicated teams,” said Lott. “As always, we’re here to support you.”

He also acknowledged the challenges ahead while remaining optimistic: “During the past several years we all learned to pivot, be entrepreneurial and add value in any way we could. We’ll do the same now.”

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DecoNetwork Users Can Stay Ahead—Thanks To SanMar Integration

For print shops navigating the challenges of rising costs and shifting supply chains, DecoNetwork’s integration with SanMar offers a major advantage. DecoNetwork users can connect directly to SanMar’s live product catalog, meaning real-time pricing, inventory, and product details are automatically synced to their online stores and internal systems.

This becomes even more valuable during tariff fluctuations. When SanMar updates pricing or stock levels due to trade policy changes, DecoNetwork users see those updates—no spreadsheets, no manual work.

Beyond supplier integrations, DecoNetwork helps print shops:

  • Automate quotes and orders
  • Streamline production workflows
  • Launch custom-branded online stores for clients
  • Get artwork approvals faster
  • Track supplier catalog changes

With DecoNetwork, shops can stay agile and adapt to pricing shifts without interrupting day-to-day business. If you’re not a user yet, your DecoNetwork demo is the first step towards a more thriving business.

Looking Ahead: Stability In 2025, Potential Relief In 2026

While the global trade environment continues to evolve, SanMar is committed to transparency and proactive planning. The June 1 pricing adjustment may not be ideal, but the company believes that holding steady through 2025—combined with strategic sourcing moves—will help everyone in the supply chain navigate the next phase.

“We’re with you, and we’re here for you,” Lott concluded. “We know this is a challenging time, and we’re all in it together.”

Takeaways From The SanMar Respond To U.S. Reciprocal Tariffs

  • New Tariffs Take Effect: On April 2, the White House introduced reciprocal tariffs starting at 10% and scaling up to 50% for countries with large trade imbalances, impacting global imports including apparel
  • SanMar’s Global Supply Chain Impacted: Key sourcing countries like Vietnam (46%), Bangladesh (37%), and China (34%) are among those facing steep tariff increases—stacked on top of previous duties.
  • One Price Increase—Effective June 1: SanMar will implement a single pricing update across its product range instead of piecemeal changes, aiming for stability and predictability through 2025.
  • Strategic Sourcing Shifts Underway: SanMar is proactively moving production to low-tariff countries like Honduras, where many of its Port & Company and District products are already made.
  • Customer Support Is a Priority: SanMar is offering personalized support for customers needing help with budget-friendly product alternatives or credit assistance.
  • Long-Term Outlook Is Cautiously Optimistic: If international negotiations succeed and sourcing shifts prove effective, SanMar anticipates the possibility of lower prices by 2026.
  • DecoNetwork Integration Makes a Difference: DecoNetwork’s live integration with SanMar keeps product catalogs, pricing, and inventory automatically updated, helping print shops stay agile and avoid surprises.
  • DecoNetwork Boosts Print Shop Efficiency: Beyond supplier integration, DecoNetwork simplifies operations with tools for automated quotes, production workflows, client stores, and artwork approvals—ideal for navigating pricing changes.
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Here's The Full SanMar Statement

As you are no doubt aware, the White House announced reciprocal tariffs on April 2. These included a baseline 10% tariff on all imports, in addition to incremental tariffs on a country-by-country basis. This process is still playing out. Some countries are negotiating to lower tariffs while others are increasing their tariffs to match.

While we will learn a lot more in the days ahead, I want to give you an idea of what to expect and how it might affect pricing.

The new tariffs begin at 10% and go as high as 50% for countries that run significant trade imbalances with the United States. While our supply chain is diverse—we produce in 24 countries—all of our factory partners are affected by tariffs to some degree. This includes Vietnam (46%), Bangladesh (37%), Myanmar (44%), Madagascar (47%), Sri Lanka (44%) and China (34%). The reciprocal tariffs are stacked on top of any existing tariffs, meaning that the new tariffs on China are added to the 20% tariffs instituted earlier this year.

What this means for you:

  • In the short term, SanMar will begin to pay the new tariffs. We have production orders placed many months in advance. We’ll honor those orders with our partners and begin to import goods at the new higher prices.
  • We’ll make a single price change starting June 1, with the plan to hold that change through 2025. Instead of a product-by-product or country-by-country approach to pricing, we’re working to determine an increase that is sufficient to balance the higher rates from the countries listed above with the lower rates from other SanMar sourcing destinations. Our thought is that this simplifies things and makes pricing more predictable. While it won’t be an insignificant amount, we will do everything we can to minimize the increase. We’ll update you next week with full details.
  • As soon as possible, we’ll shift as much production as we can from high-tariff to low-tariff countries like Honduras, where we make most of our Port & Company and District t-shirts.
  • If that strategy is successful, and if countries can negotiate lower tariffs, we would expect that prices will come down in 2026.

We’re with you, and we’re here for you.

During the past several years we all learned to pivot, be entrepreneurial and add value in any way we could. We’ll do the same now.

If you need help finding a replacement product to meet your budget, or if you need a little extra help with credit, please contact our dedicated teams. As always, we’re here to support you.

We know this is a challenging time, and we’re all in it together. We appreciate your business and the trust you put in SanMar.

Best,

Jeremy Lott
President & CEO