There is a lot of understandable uncertainty and even a little fear when it comes to the future of the global economy. For the first time in history, the United States is conducting a “four front” trade war with Canada, Mexico, China and the European Union, and that means that many businesses are going to be affected, possibly even the jobs that are attached to those businesses.
But even with all this uncertainty about what’s going to happen to prices and companies, there’s one area where a surprising amount of “shelter” exists, and that’s vitamin manufacturing.
One of the more reassuring things about going with the right service for vitamin manufacturing is that there may be facilities right in the USA that can create the product. If that’s the case, and the vitamin manufacturing is done domestically, then there’s zero chance of tariffs being applied that would drive up the price of these useful health supplements. The current trade war with the other countries is centering primarily on industrial materials, such as steel and aluminum, or luxury goods like yachts, cars and motorcycles.
So far the essential goods, such as food, and more popular consumer retail items like smartphones have been spared from the incoming price hikes. But with vitamins, everything so far is clear. This is further reinforced by the fact that no tariffs will be applied to any product that is locally made.
This means that even if your business is not based in the USA, the fact that your vitamin manufacturing is renders it immune from tariffs. You’ll still have access to the biggest retail market in the world, with no pricing disadvantage, because as far the US government is concerned, it is a local product.
So if you’re thinking of getting into the vitamin business but are concerned with the economic uncertainty that is looming on the horizon, be smart. If you’re interested in selling to the American market primarily, then choose an American producer. Not only will you benefit from higher health, safety and manufacturing standards but you can avoid any chances of a tariff, since you’re making a local product for a local market. That, at least, should make a big difference to your financials when it comes time to see how things progressing, especially with other products coming into the USA getting hit with tariffs.