How Trump’s Policies Could Impact the Shipping and Packaging Landscape
The shipping and packaging industry will likely see change in 2025 under Trump in ways that are also expected to impact supply chains and consumer markets.
Charles Haverfield, the CEO of US Packaging & Wrapping, believes there are five key trends that will reshape shipping in 2025. In the world of fashion, some supplier initiatives already had them ahead of the curve, but whether those plans will continue under Trump remains unclear.
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America first and tariffs
The rise of America-first policies, including proposed tariff increases, will translate into greater uncertainty, Haverfield said.
For shippers, many companies are bracing for the changes by front-loading imports to beat tariff deadlines, a move that will add to cost management and logistics, as well as possibly lead to bottlenecks at warehouses and ports. He said some brands are moving to sourcing strategies that are closer to home to mitigate the impact of tariffs.
For consumers, trade groups such as the Retail Industry Leaders Association have noted that tariffs are regressive and result in a tax on consumers through price increases. And in the past few weeks when companies began reporting on third quarter earnings results, brands such as Columbia Sportswear and retailers such as Walmart have indicated that they likely will have to raise prices should the higher tariffs get implemented.
Artificial intelligence
If President-elect Trump loosens AI regulations, artificial intelligence could push advancements faster than expected in streamlining the shipping industry and in optimizing supply chains, Haverfield said.
Trucking experts have already touted how AI technology can provide increased transparency, such as AI-powered route optimization software that can provide real-time data to save both time and money with shorter estimated time of arrivals.
Carrier pricing strategies
Carrier pricing could soon be moving toward dimensional-weight pricing from the current actual weight practice, making it the new industry standard, Haverfield said.
According to the packaging CEO, the shift to dimensional-weight pricing will incentivize businesses to reduce the size and weight of their shipments. It’s a move that he said will maximize shipping efficiency because more efficiently packed items will take up less space, whether on trucks or places.
More sustainable packaging options
With better than 60 percent of consumers preferring environmentally friendly packaging options, brands will continue to innovate for alternatives other than plastic. Haverfield said that could include more paper-based packaging. He said the North American paper packaging market, with an annual growth rate of 4 percent, is expected to reach $116 billion by 2030.