Supply Chain and Tariff Advisory

Supply chain re-engineering involves auditing existing supply networks to identify inefficiencies and risks, and implementing corrective strategies. Dezan Shira & Associates supports this process through diagnostics, supplier evaluation, tariff and FTA analysis, and tailored risk mitigation planning—ensuring each solution is operationally viable and aligned with evolving trade conditions in Asia.

Companies typically explore diversification when disruptions, rising costs, or regulatory changes increase risk in their current sourcing model.

Common triggers include:

• Trade disputes, such as US–China tariffs
• High labor or logistics costs in existing markets
• Pandemic–related supply interruptions
• ESG concerns or lack of supplier transparency
• Overconcentration in one location or supplier

Our service helps evaluate alternatives before disruption becomes critical.

The best-suited location depends on the client’s sector, production needs, and regulatory profile. However, alternatives often include:

• Second-tier cities within China
• Vietnam and India for cost-efficient manufacturing
• ASEAN countries depending on logistics and labor factors

We assess cost structures, incentives, and FTAs to guide clients in selecting a feasible relocation or dual-sourcing model.

We conduct a structured risk assessment using both qualitative and quantitative indicators. This includes:

• Tariff exposure analysis based on origin and destination
• Political risk evaluation across supplier locations
• Logistical infrastructure and disruption mapping
• Business continuity risk linked to overreliance or single sourcing
• Simulation of cost and timeline impacts under alternate scenarios

The results form the foundation of our mitigation and diversification strategy.

Yes. A major part of our service includes expanding your supplier base and validating new partnerships.

We provide:

• Supplier identification based on capability and compliance
• Reputation screening and background checks
• On-site assessments with operational and ESG focus
• Assistance with local meetings and contract coordination

Our due diligence is tailored to the industry, location, and client requirements.

Clients with exposure to punitive tariffs or shifting trade rules often need to explore structural changes in how products are classified, sourced, or assembled.

We support this by:

• Assessing alternative country-of-origin strategies
• Reconfiguring supply chain steps to qualify under FTAs
• Advising on value-add distribution across jurisdictions
• Helping shift production to avoid sensitive categories or regions

These strategies aim to maintain margins while staying compliant with trade laws.

Labor dynamics are a critical factor in determining the viability of relocation or expansion. We analyze:

• Wage structures and availability by skill level
• Turnover rates and hiring cycles
• Labor law enforcement and compliance risks
• Local and regional government incentives
• Overall employment infrastructure and ESG considerations

Our goal is to ensure operational continuity post-relocation.

To begin the audit process, we typically request:

• Current supplier lists and tier structures
• Sourcing volumes and product categories
• Relevant contracts or trade data
• Cost benchmarks and logistics arrangements
• Business continuity concerns or known risks

This enables us to assess performance and risk across your supply chain and propose tailored re-engineering options.

Companies facing volatility across sourcing markets often struggle to define response procedures or alternatives in advance. We support the creation of continuity strategies through scenario planning, supplier diversification, and pre-agreed mitigation triggers—helping businesses act quickly when disruptions occur.

We also help implement these plans by supporting sourcing transitions, documentation, and logistics changes.

A standard project includes three core phases:

1. Assessment – Reviewing the current structure, identifying risks and cost drivers
2. Strategy – Developing diversification options and conducting feasibility studies
3. Implementation – Supporting sourcing shifts, supplier engagement, and compliance integration

Timelines vary by complexity, but a regional review and strategy plan can often be completed within 6–12 weeks.

We track policy and regulatory developments across Asia, especially those affecting trade, tariffs, and sourcing restrictions.

Clients receive:

• Alerts and bulletins on relevant changes
• Strategic briefings on upcoming policy impacts
• Integration of regulatory analysis into risk mapping

This ensures clients remain responsive to shifting compliance environments.

We apply strict internal safeguards including NDAs, secure data environments, and access controls tailored to each engagement. Sensitive data such as supplier pricing, production processes, or product design information is handled by limited personnel under confidentiality agreements.

We never re-use client data across projects and operate under ISO-aligned security protocols across our offices.