Tariffs increase supply chain risks, Cascale says
The chief executive of non-profit organisation Cascale has warned that a new tariff regime announced by US president, Donald Trump, at the end of July could increase labour rights concerns.
Ying McGuire, who became chief executive of Cascale (formerly the Sustainable Apparel Coalition) in February, said higher tariffs can result in reduced planning visibility, last-minute production changes, order volatility and increased pressure on suppliers to absorb costs.
When these supply chain pressures intensify, Ms McGuire explained, the risks associated with excess overtime, unauthorised sub-contracting and other labour rights concerns intensify too.
She argued that companies that commit to partnership and to providing predictability and transparency during periods of disruption will be better positioned to improve supply chain resilience and deliver long-term business value.
