Freight Forwarders and Brokers Seek to Mitigate Tariffs on Multiple Fronts

Tariff uncertainty continues to be a major concern in the logistics industry, according to the 2025 Global Forwarder/Broker Benchmark Study from Descartes. Survey results show forwarders and brokers consider tariffs as one of the most impactful regulatory or industry changes (42%), second only to pricing pressure.

Breaking these numbers down by region, North American forwarders and brokers (53%) appear to be much more focused on tariffs than Latin America (30%), EMEA (28%) and APAC (27%).

In addition, rising consumer costs due to tariff policies is the second ranked ecommerce impact on forwarding and brokerage (43%). Related options — the need for flexible warehousing (30%) and cross-border customs expertise (25%) — are also significant ecommerce impacts, presumably a reflection of changes in U.S. trade policy on ecommerce shipments such as the recent suspension of the duty-free de minimis exemption.

While forwarders and brokers see global instability as the main macroeconomic challenge to impact the logistics industry over the next five years — reaching a survey peak in 2025 at 60% — U.S. trade and security policies are a growing concern, possibly another indication of tariff uncertainty. Looking back at survey results over the last seven years, U.S. trade and security policies appeared to become significantly less troubling to forwarders and brokers, reaching a low point in 2022 (16%). However, the new report shows a rebound, as this issue becomes the second ranked challenge in 2025 (35%).

Clearly tariff volatility has become an unprecedented problem for forwarders and brokers in 2025, making them apprehensive about where the current trading environment is heading, and impacting their decision making. The survey also shows that forwarders and brokers are looking for viable solutions to this challenge and embracing trade services and technology to help mitigate tariff impacts for their customers.

Offering Services from Duty Analysis to FTZs

The survey uncovered that forwarders and brokers have a strong focus on tariff-related trade services to help alleviate tariff pressures. For example, the most popular trade service requests from customers in 2025 are for Harmonized Tariff Schedule (HTS) classification services (51%) and duty analysis services to predict new or potential tariff impacts (50%). 

The percentage of forwarders and brokers citing duty analysis services in this category had been steadily decreasing since 2019; however, it increased 10 percentage points in 2025, an obvious reaction to tariff volatility this year. The regional focus mentioned earlier is evident here as well, with duty analysis services most popular in North America (58%) and also Latin America (54%).

In addition, about one third of forwarders and brokers are getting requests for sourcing services to find suppliers or countries with more favorable tariffs (32%). 

Another third (30%) are seeing demand for foreign trade zone (FTZ) or customs bonded warehouse (CBW) services, a new option in the 2025 survey. The survey demographics also reveal a corresponding increase in respondents offering FTZs and CBWs as a service, up from 8% in 2023 to 14% in 2025. 

An FTZ — a facility physically located within the U.S. but considered outside U.S. customs territory — enables importers to hold onto merchandise and wait out shifting tariff policies for a more favorable situation, or ultimately export those products to markets outside the U.S. CBWs offer a similar advantage by deferring duty payment until the imports enter the U.S. market.

Similarly, about one quarter of forwarders and brokers are seeing interest in duty drawback and refund services (24%), another new trade service option in the 2025 survey.

An additional interesting finding that may be an outcome of the new focus on tariffs: new supplier risk assessment services had been a rising priority, peaking at 39% in 2022, but since then has become far less important — dropping to 15% in 2025, as other concerns such as tariffs become top of mind. 

Leveraging Technology for Regulatory Compliance

Forwarders and brokers invest in technology as the primary strategy to address economic, regulatory and industry changes, confirmed by six consecutive surveys. In addition, automating processes (52%) was selected as a leading tactic to improve margins, and we are seeing this approach in the area of regulation.

Results show percentage drops, however, for many other technology areas — except for regulatory compliance systems (31%), one of the few technologies on the rise in the IT value category and likely a response to regulatory concerns such as tariffs. Furthermore, forwarders and brokers recognize technology as central to regulatory compliance — 30% of survey respondents and 50% of large companies call technology “fundamental” to regulatory compliance, while another 32% of respondents and 39% of large companies define it as “highly important.”

In terms of IT investment priorities, it is not surprising that artificial intelligence (AI) is the focal point, even though this is the first year AI was included as an option in this category. AI capabilities are being developed for specific use cases such as for regulatory compliance systems, which is the third ranked investment target in 2025 at 30%, while many other technologies have descended down the list. 

Despite these strong numbers, however, it is important to note that the percentage of forwarders and brokers categorizing technology as “important” or “highly important” to regulatory compliance is decreasing over the years, while the percentage of respondents who see it as “somewhat important” is rising. These statistics highlight a varying commitment to technology for regulatory compliance, as some forwarders and brokers intend to wait and see what tomorrow brings before they make further technology investments.

Findings in Descartes’ 2025 Global Forwarder/Broker Benchmark Study suggest that while forward-thinking forwarders and brokers leverage technology as a foundation of compliance resilience, many others do not prioritize technology in this area. This leaves open an opportunity for progressive tech-savvy forwarders and brokers to gain a competitive advantage from the efficiency and insight gained by deploying regulatory compliance systems.

Glenn Palanacki is VP of Industry Solutions, Broker and Forwarder at Descartes.

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