Profit& Blog | Research & Insights

Tariffs & Trade Shocks: Resilient Manufacturing with Connected Planning

Written by Lee Hewitt | Aug 13, 2025 10:30:00 AM

Global manufacturing has always been complex—but today, it’s downright volatile. Tariff uncertainty ripples through supply chains, cost structures, and strategic plans. One month, a key material may be imported freely; the next, abrupt levies can wipe out margins. Geopolitical tensions and reactive regulation are turning global commerce into a moving target.

Too often, manufacturers hit the brakes—delaying investments, freezing expansion plans, and postponing transformation until “things settle.” Some have even paused investing in Connected Planning while they wait for clarity on tariff impacts.

In recent weeks, I was heartened to see one of our automotive manufacturing clients take a different path. After briefly considering a pause, they concluded this is exactly the wrong time to pull back—choosing instead to accelerate their Connected Planning initiatives. The client articulated their decision clearly - “You can’t predict the future, but with connected planning we can create scenarios for ‘what-if’ and understand the impact of every lever at our disposal.”

This situation inspired me to write this article and share why, in turbulent times, smart manufacturers double-down on capabilities that give them control and clarity.

Why Delay What Helps You Navigate Risk?

If you’re flying into a storm, you don’t switch off your instruments—you upgrade them.
Connected Planning is not a cost—it’s a capability. Here’s why it’s vital during tariff and trade disruption:

  • Real-time visibility across finance, procurement, supply chain, sales, pricing, and transfer-pricing decisions.

  • Dynamic scenario modelling to test multiple tariff outcomes before reality hits.

  • Cross-functional insight, connecting customer pricing, procurement negotiations, supply chain, and transfer pricing into one decision framework.

  • What-if agility to pivot quickly—adjust pricing, re-source, or reallocate in minutes.  
Imagine a platform where all these elements work together—modelling tariff-impact scenarios and selecting optimal strategies as events unfold. That’s the reality with Connected Planning.

How Tariffs Are Reshaping Manufacturing Strategy

Tariffs aren’t just operational headaches—they’re strategic inflection points:

  • Cost structure shifts — forcing re-evaluation of sourcing, production footprints, and supplier networks.

  • New sourcing strategies — reshoring, nearshoring, or diversifying supplier bases.

  • Market risk reassessment — territory-by-territory reviews of trade barriers and growth potential.

  • Investment agility — designing projects with dual sourcing, modular operations, and digital buffers built in.

If tariffs and trade disruption are putting pressure on your margins or supply chain, you’re not alone. We’re helping manufacturers turn uncertainty into opportunity with Connected Planning—let’s talk about how we can do the same for you.

Case in Point: Jaguar Land Rover (JLR)


In the quarter to June, JLR’s pre-tax profits nearly halved—down 49.4% to £351 million—driven largely by new 25% U.S. tariffs (27.5% including baseline duties). Revenue fell 9.2% to £6.6 billion. The recently agreed UK-US and EU-US trade deals will sharply reduce tariffs to 10% and 15% respectively. On 7 August, JLR maintained its guidance for a 5–7% operating profit margin for the year, citing these deals as key to lowering tariff burdens.


JLR runs Anaplan’s Connected Planning platform across supply chain, sales, marketing, workforce, and finance. This well-documented case study outlines how Connected Planning has enabled central governance, cross-functional alignment, and faster execution, cutting day-long processes to minutes and improving short-term forecast accuracy above 90%. It’s reasonable to infer that this agility helped JLR reforecast, model tariff scenarios, and reallocate resources quickly in response to trade shocks.

Your Toolkit for Tariff & Trade Agility

Tool

Function

Benefit

Customer Pricing

Adjust prices dynamically to reflect tariff pass-through.

Maintain margins without eroding competitiveness.

Procurement Choices & Negotiations

Switch to lower-cost suppliers, negotiate tariff buffers, or shift sourcing.

Offset cost impact quickly.

Supply Chain Decisions

Reallocate production, build redundancy, optimise transport.

Increase resilience to disruption.

Transfer Pricing

Rebalance margins across entities.

Preserve profitability under cost pressure.

Integrated Scenario Planning

Model tariff impacts and responses in advance.

Move from reactive to proactive decision-making.

The Bottom Line

When market turbulence rises, the instinct to pause big initiatives is understandable—but in today’s environment, it’s exactly wrong. The manufacturers that thrive are those that plan smarter, faster, and collaboratively, not those that wait.

Connected Planning, with integrated tools spanning pricing, procurement, transfer pricing, and supply chain, doesn’t just help you weather trade and tariff shocks—it gives you the foresight and flexibility to chart a smarter course through them.

How is your organisation tackling the impact of tariffs and trade volatility? I’d love to hear your experiences—share your thoughts in the comments below. And if you’re looking to explore how Connected Planning can help you navigate uncertainty, improve agility, and build long-term resilience, get in touch with me today.

 

Sources: Anaplan: JLR accelerates on a journey of transformation; Financial Times: Tariffs take their toll on Jaguar Land Rover profits; The Times: Profits halved at tariff-hit Jaguar Land Rover; Reuters: Tata Motors’ profit plunges as tariffs slow sales.