In this episode of “The Philippine Business Playbook,” Tahche CEO Bryan Luoma and VP for Special Projects Vicky Fracois tackle the current state of offshore manufacturing in light of newly imposed tariffs under Trump-era trade policies. As costs climb and global tensions shift, U.S. companies are once again being forced to rethink where and how they produce their goods.

The conversation pulls from real stories Bryan is hearing on the ground: business owners facing massive import fees, rethinking long-held supply chain habits, and looking for smarter, more cost-effective solutions in an increasingly complex global trade environment.

Low-Tariff Globe-Hopping: The New Strategy

Instead of bringing operations back to the U.S., many business owners are actively searching for new offshore alternatives. Rising tariffs on imports from other countries like China have prompted a fresh wave of interest in countries like the Philippines, where duties are significantly lower and the cost of labor remains more competitive.

Bryan shares that several of his business peers are already making moves. Some are seeking new suppliers and manufacturing partners in the Philippines, while others are weighing whether to abandon shipments altogether because the tariff charges exceed the value of the goods themselves.

The long-standing habit of defaulting to China is starting to break. Businesses are reassessing long-held sourcing strategies and actively looking toward markets that offer not just lower costs, but also stronger alignment with U.S. business norms, smoother visa processes, and cultural compatibility. The Philippines, in many ways, is checking all the boxes.

Opportunity in the Shift

While the situation has left some business owners feeling uncertain or even discouraged, it has also opened up new pathways. What once felt like a closed loop, locked into expensive, high-risk supply chains, is now an open door to more sustainable, strategic growth.

Vicky sees the upside in all of this: countries with low-tariff agreements and strong U.S. partnerships are creating real opportunities for businesses to pivot quickly without sacrificing quality or control. There’s movement, there’s momentum, and most importantly, there are choices.

Bonus Segment: Vicky’s Return to the Philippines

In the latter part of the episode, Vicky reflects on her recent trip to the Philippines during March and April 2025. She shares her experience attending the Tahche Summer Event and participating in the company’s first-quarter CSR activity, where the team partnered with Rise Above Foundation to give donations and provide educational and fun sessions to less fortunate children under their care.

It was a powerful reminder of Tahche’s mission to not just build better businesses through offshore support, but to uplift communities in the Philippines  while doing so.

For more insights into building a strong offshore team, subscribe to The Philippine Business Playbook on YouTube, Spotify, and Apple Podcasts