Manufacturers are implementing whatever cost-saving and optimization measures they can regardless of tariffs as they respond to the uncertainty of President Donald Trump’s tariff policies.
Economic uncertainty has continued to slow down planned capital investments and improvement projects for the state’s manufacturers, Chris Baichoo, executive director and CEO of Madison-based WMEP Manufacturing Solutions told the BizTimes Milwaukee.
“The water is still very murky,” said Baichoo. “Tariffs are really creating a lot of margin compression and input costs are rising. Manufacturers are competing for a smaller slice of the pie.”
WMEP is working with local manufacturers to help them reduce lead times, improve their quoting process, boost their speed and optimize the layout of their facilities. The organization can also help manufacturers break into new, profitable markets including life sciences and defense.
“If a company has a fixed amount of resources, we can help them take those resources and put them into markets that are growing,” said Baichoo. “These are things that really help offset tariff costs.”
WMEP is encouraging clients to be pragmatic when considering ways to offset tariffs.
