INSIGHT

Navigating tariffs with NetSuite 

Matt TeLindert, Bryan Rhody • August 21, 2025

Services: NetSuite

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If you’re managing a business that imports goods or operates across international markets, you’ve likely felt the impact of recent tariff changes firsthand. The constantly shifting landscape of trade policies, duties, and regulatory requirements can make it challenging to maintain accurate cost projections and profitable pricing strategies. 

The good news? You don’t have to navigate these complexities alone or rely on manual spreadsheets that quickly become outdated. NetSuite’s Landed Cost functionality offers a comprehensive solution for tracking and managing tariff-related expenses, helping you maintain both compliance and profitability in an increasingly complex global trade environment. 

Understanding today’s tariff landscape 

Recent years have brought significant changes to international trade, creating new challenges for businesses of all sizes. You’re dealing with more than just basic import duties — the entire tariff ecosystem has become more complex and unpredictable. 

Key factors driving tariff complexity 

• Evolving trade agreements: Modifications to international trade deals continue to reshape tariff structures and duty rates across various markets, often with little advance notice. 
• Dynamic import duties: Governments regularly adjust tariffs on specific goods to protect domestic industries or respond to economic pressures, making it difficult to predict costs months in advance. 
• Increased compliance requirements: New customs duties, VAT rules, and reporting obligations are constantly being introduced, adding layers of complexity to your supply chain operations. 
• Economic and political volatility: Factors like inflation, trade disputes, and supply chain disruptions contribute to fluctuating tariff rates that can significantly impact your bottom line. 

These ongoing adjustments mean you need more than just awareness—you need a robust system that can track, analyze, and help you adjust your pricing models in real-time as tariff conditions change. 

How NetSuite’s Landed Cost functionality transforms tariff management 

When you’re dealing with international trade, understanding your true product costs goes far beyond the initial purchase price. NetSuite’s Landed Cost functionality helps you capture the complete picture by automatically incorporating all associated expenses into your cost calculations. 

Comprehensive cost tracking capabilities 

NetSuite’s system tracks multiple cost components that affect your total landed cost: 

• Tariffs and duties: Automatically factors in applicable duties based on product classifications and origin countries 
• Freight and shipping fees: Captures logistics expenses to provide complete visibility into transportation costs 
• Customs and brokerage fees: Incorporates regulatory costs to maintain compliance and accurate financial reporting 
• Insurance and handling: Includes additional costs that may influence your pricing decisions and margin analysis 

This integrated approach means you’re no longer working with incomplete cost data or making pricing decisions based on estimates that may be significantly off target. 

Practical benefits of leveraging NetSuite for tariff-impacted business operation 

Real-time cost visibility and automated allocation 

One of the most valuable aspects of NetSuite’s Landed Cost functionality is how it eliminates the manual work that typically leads to errors and delays. The system automatically assigns tariff-related costs at the item level, reducing data entry mistakes and providing you with accurate, up-to-date cost information. 

You’ll have instant visibility into how tariff fluctuations affect your overall expenses, allowing you to make informed decisions quickly rather than waiting for month-end reports to understand your true costs. 

Strategic planning and risk mitigation 

The system’s scenario planning capabilities allow you to model different tariff situations before they occur. You can evaluate how potential duty changes might impact your sourcing strategies and identify opportunities to mitigate risks through alternative suppliers or adjusted procurement timing. 

Seamless integration across business functions 

NetSuite connects your tariff data directly with your purchasing decisions and financial reporting systems. This integration helps you maintain compliance while supporting strategic decision-making across departments, from procurement to accounting to sales. 

Avoiding the costs of inadequate tariff tracking 

Without proper landed cost tracking, you may be exposing your business to several significant risks that can impact both your immediate profitability and long-term competitive position. 

Financial accuracy challenges 

Inaccurate pricing due to incomplete cost data can lead you to either price yourself out of the market or unknowingly operate with reduced profit margins. Hidden costs that aren’t properly tracked often result in unexpected financial shortfalls that can disrupt your budget planning and cash flow management. 

Compliance and operational risks 

Inadequate duty and tariff tracking increases your risk of non-compliance with trade regulations, potentially exposing you to fines and costly audits. Additionally, lack of visibility into total costs can hinder your sourcing decisions, impacting inventory management and supplier relationships. 

Poor cost allocation can also distort your financial statements, leading to inaccurate profit and loss reporting that affects everything from tax planning to investor relations. 

Implementing a strategic approach to tariff management 

The key to successfully managing tariffs in today’s environment is having systems and processes that can adapt quickly to changing conditions while maintaining accuracy and compliance. 

Building resilience through technology 

NetSuite’s Landed Cost functionality provides the foundation for a more resilient approach to international trade. With automated cost allocation, real-time tracking, and integrated reporting, you can respond to tariff changes proactively rather than reactively. 

Preparing for continued volatility 

As trade regulations continue to evolve, having robust ERP tools becomes increasingly critical for maintaining competitive advantage. The businesses that thrive will be those that can quickly adapt their cost structures and pricing strategies in response to changing tariff conditions. 

Moving forward with confidence 

Tariff changes will continue to be a reality of global trade, but they don’t have to derail your business operations or profitability. By leveraging NetSuite’s comprehensive Landed Cost functionality, you can transform tariff management from a reactive scramble into a strategic advantage. 

The combination of automated tracking, real-time visibility, and integrated reporting gives you the insights needed to make data-driven decisions and optimize your supply chain operations, even as the regulatory landscape continues to shift. 

Ready to take control of your tariff management strategy?  

The NetSuite consultants at BPM understand the complexities of international trade and can help you implement and optimize NetSuite’s Landed Cost functionality for your specific business needs. Contact us today to discuss how we can support your efforts to navigate the evolving tariff landscape while maintaining profitability and compliance.