Dual sourcing is the standard playbook for tariff mitigation. Qualify a second supplier in a non-China origin country, shift volume, eliminate Section 301 exposure. In most industries, the timeline from decision to first shipment is measured in weeks. In …
Read more
New Product Development
Dual sourcing medical device components under QSR: tariff implications of approved supplier constraints
FDA requalification costs and tariff lock-in: when 25% duty is cheaper than switching suppliers
Every procurement director in the medical device sector knows the number: 25%. Section 301 duties on Chinese-origin components have been baked into landed cost models for years now. What most haven’t done is the harder math – comparing cumulative tariff …
Read more
Five-layer tariff stack: what the effective rate actually looks like for electronics components
Most sourcing teams use a single number when estimating duty exposure on imported electronics components. That number is usually wrong. Not because anyone is careless. The effective duty rate for a single HTS code from a single country of …
Read more
Section 301 tariffs on automotive electronics: why your ADAS and powertrain BOM costs changed in 2018
Every vehicle rolling off a North American assembly line today carries more electronic content than the one before it. ADAS sensor suites, electrified powertrain controllers, digital instrument clusters, infotainment processors – the electronics BOM for a mid-range passenger vehicle …
Read more
What is fair pricing for EMS manufacturing fees and services?
Some electronics OEM companies only want to source the electronics portion of their manufacturing programs. Others see value in sourcing full manufacturing assembly with their EMS partners. When determining fair pricing of EMS services for make vs buy decisions, …
Read more
Rethinking EDA tools, search engines, distributors to unlock value in electronic product BoMs
Some contract EMS manufacturing companies with deeper engineering and technology expertise are going direct to semiconductor chip manufacturers for their OEM customer programs, and bypassing electronics components distributors altogether. These side deals disrupt industrial search engines and OEM customers …
Read more
Elon Musk: Five rules for new product hardware development
Just because something can be designed or built does not mean it should be. We’ve all seen hardware or equipment that might look cool, but is serves little or no real, practical purpose. The following comment is from Elon Musk …
Read more
A comprehensive approach navigating challenges to standardize electronics product development
Most electronics OEM equipment manufacturing CEOs want repeatability and standardized procedures. Below, we identify key challenges and provide a structured plan for electronics decision makers in engineering, quality, supply chain, procurement, and manufacturing operations for implementing standard procedures in electronics …
Read more
EV Supercharge: Battery management systems (BMS) and contract EMS manufacturing
Battery management systems (BMS), sometimes called battery monitoring systems, play a critical role in monitoring and controlling the performance of lithium-ion batteries in electric vehicles (EV). Within BMS systems are packs and cells. Total cost for most finished goods inventory …
Read more
Reducing risk in your supply chain: Techniques for selecting and verifying second sources
Best practices for titles and responsibilities wanting robust AVLs and BOMs in electronics industry.
Read more
