SMBs ditch ‘wait-and-see’ as tariffs force supply chain overhaul

Small and midsize businesses are rapidly restructuring their proviso chains and inventory strategies arsenic tariff volatility stretches into a 2nd year, according to a caller survey from proviso concatenation bundle steadfast Netstock.

The company’s 2026 Tariff Impact Report shows a crisp displacement from cautious reflection to progressive mitigation, with companies diversifying suppliers, extending readying horizons and leaning much heavy connected information tools to navigate what executives picture arsenic “structured volatility.”

“Last twelvemonth was mostly a benignant of wait-and-see, and this twelvemonth … 97% are deploying astatine slightest 1 progressive mitigation strategy,” said Jefferson Barr, Netstock’s main selling officer, successful an interrogation with FreightWaves. “They tin nary longer benignant of instrumentality a wait-and-see approach.”

Netstock, which provides request readying and inventory optimization bundle for SMBs, said 1 of the clearest signals from the study is simply a displacement successful sourcing strategy.

About 35% of SMBs changed suppliers successful the past year, portion astir fractional present root from aggregate regions, reflecting increasing vulnerability to tariff impacts crossed geographies.

China remains the astir impacted sourcing region, cited by 74% of respondents, but companies are progressively branching into Europe, Southeast Asia and Mexico arsenic they look to trim risk.

Still, diversification is easier said than done for smaller companies.

“I was funny to spot that a 3rd of them had changed suppliers,” Barr said. “But … it’s hard to find a supplier. If you’re sourcing from China, it’s hard to find different determination that tin bash the aforesaid production.”

The effect is simply a hybrid approach, with galore SMBs maintaining bequest suppliers portion adding secondary sources — a displacement that could fragment freight flows and change accepted shipping lanes.

Tariff uncertainty is besides pushing businesses to rethink however acold up they plan. Nearly three-quarters of SMBs said they person extended their inventory readying horizons, according to the survey.

That displacement reflects a request to expect outgo swings, longer pb times and imaginable argumentation changes, but it besides introduces caller risks astir inventory management.

“Three-quarters said the tariff uncertainty has pushed them to widen their readying horizons,” Barr said. “If you don’t person the close visibility tools, it’s benignant of hard to marque those decisions.”

The study notes that galore SMBs were already struggling with inefficient inventory positioning past year, raising questions astir whether longer readying cycles volition amended outcomes — oregon simply propulsion hazard further down the line.