With U.S. tariffs remaining a major concern for companies importing products from China, China+1 manufacturing can seem like an attractive way to reduce exposure. But moving products through another country, changing the label, or carrying out a small amount of additional work there does not automatically change a product’s country of origin.
In this episode, Adrian and Renaud look at the difference between legitimate China+1 manufacturing and risky tariff-avoidance shortcuts. They discuss substantial transformation, what importers should verify when production moves to another country, and why a seemingly simple change can introduce new quality, logistics, supplier-control, tooling, and IP risks.
Show Sections
00:00 – Why country of origin is back in the spotlight
02:13 – The dangerous shortcut: simply routing goods through another country
06:33 – What counts as substantial transformation?
12:34 – The China+1 questions every importer should ask
15:25 – Can you actually verify the second factory?
21:06 – The quality and logistics risks beyond tariffs
25:38 – Tooling, IP, and the problem of responsibility
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