Mitigating Supply Chain Risks in a Changing Environment: Insights from D&B Shipping Data

The changes in US-China tariff policies, marked by steep tariffs and shifting policies in 2025, continues to challenge global supply chains. The United States has imposed substantial tariffs on Chinese imports, prompting China to respond with a retaliatory tariff of significant magnitude on U.S. goods, bilateral trade flows have faced significant disruption, signaling a continued tit-for-tat escalation with no immediate relief in sight.

Economic and Operational Fallout from Shipment Cancellations

The tariff escalation has directly impacted on shipping activities, with Shipping Insights from Dun & Bradstreet, revealing a sharp rise in shipment cancellations:

• US-Bound Shipments from China: Cancellations increased by 11% in March 2025 and surged to 26% in April 2025, reflecting the mounting cost pressures and uncertainty for Chinese exporters. This aligns with broader trends of declining trade volumes, as businesses hesitate to ship goods under the burden of high tariffs.

• China-Bound Shipments from the US: Cancellations rose by 26% in March but moderated to a 7% increase in April, suggesting some stabilization in US exports to China despite the 125% tariffs imposed by Beijing.

• Potential Shifts to ASEAN in Trade Routes: China to Southeast Asia exports surged in Q1 2025, with shipments to Vietnam increasing by 67%, Indonesia by 30%, and Thailand by 35%. Southeast Asian exports to the US also grew by 26% in Q1 2025, it might indicate a pivot toward ASEAN countries as alternative sourcing hubs.

The Future of Entrepot Trades

The US-China trade conflict, marked by high tariffs, has led to significant economic and operational challenges, including shipment cancellations, inventory shortages in sectors like textiles and electronics, and rising consumer prices. The core of manufacturing, Cambodia, has been imposed overwhelming tariff by the US, implying the rise of cost of the end goods. Chinese exporters face revenue declines, while developing countries like Vietnam, Thailand, and Indonesia emerge as alternative manufacturing hubs as firms diversify supply chains. Operationally, disruptions strain logistics and increase costs as businesses reroute shipments.

Despite these challenges, diplomatic signals hint at potential de-escalation, offering hope for eased trade flows. However, without formal agreements, uncertainty persists. Stakeholders must stay informed and agile as negotiations progress.

Strategic Adjustments Using D&B Shipping Insights

Dun & Bradstreet’s Shipping Insights provide a competitive edge with comprehensive data spanning $1.425 trillion in maritime trade, helping businesses optimize supply chain performance and analyze freight flows across various routes and markets, ensure compliance with Know Your Third Party (KY3P) and Anti-Money Laundering (AML) requirements.

• Monitor Shipment Trends: D&B’s data on shipment cancellations, trade flows, tariff developments and carrier activities enable businesses to track trends, adjust inventory, and optimize supply chains amid ongoing trade uncertainties.

• Market Opportunities: D&B insights highlight stabilizing markets, allowing businesses to prioritize exports where tariff impacts are less severe.

By leveraging D&B’s advanced shipping data, businesses can enhance resilience, mitigate tariff risks, and seize opportunities in the evolving US-China trade landscape.