Tariffs: Two Companies, Two Approaches

May 20, 2025
By Sue Doerfler

Tariffs — and their on-again, off-again, up-and-down-and-up volatility ­— are causing companies to rethink where they manufacture and source from, their pricing strategies and bottom line.

The lash industry is reliant on manufacturers in such countries as China, Korea and Indonesia. Sabeen Mian, New York-based president of Performance Beauty Group’s lash division, says tariffs will result in higher prices for consumers and potential product shortages.

Dame Products, a New York-based sexual wellness company, manufactures in China. To handle tariff impacts, Alexandra Fine, co-founder and CEO, initially added a US$5 surcharge to offset tariff implications, before adjusting prices.

Below, Mian and Fine share their thoughts, strategies and concerns about tariffs and what they expect the future looks like for their businesses and supply chains.

Question: How are tariffs impacting your business?

Mian: With the temporary suspension it’s more of a wait and see. If and when the tariffs resume and whether they go up or stay the same, we will likely need to raise prices, as many other brands have done.

Fine: Tariffs have created significant operational turbulence for Dame. We’ve had to repeatedly revise our financial planning, pricing strategy, cash management and customer communications. The greatest strain has been on cash flow, which is already a delicate balance for growing businesses like ours.

Q: What steps are you taking or considering?

Mian: We’re exploring production outside of China and looking into international distribution partners outside the U.S. to avoid routing shipments through the U.S. entirely. We know things will have slightly longer lead times now so where we would typically order in excess or order more to make sure we have more than plenty, we’re being strategic about the quantity we’re placing.

Fine: We’re pursuing strategic diversification while maintaining relationships with our trusted Chinese manufacturers. We’ve invested time in exploring alternative manufacturing options and continue to evaluate potential partners globally. That said, the sexual wellness industry has a well-established ecosystem in China with specialized expertise that’s not easily replicated elsewhere overnight.

Q: How are tariffs impacting your bottom line? Have you raised prices to customers? Split the extra costs of tariffs?

Mian: We haven’t raised prices yet but may have to if tariffs remain in place. Currently, we’re doing our best to absorb the added costs.

Fine: We initially implemented a transparent “Trump tariff” surcharge on our website rather than quietly absorbing or hiding the costs. As tariff levels changed, we adjusted pricing on individual products to reflect the actual impact. With the recent tariff reduction, we’re again adjusting prices downward accordingly. Even with these measures, we couldn’t fully pass along the proposed 145-percent tariff to customers — that would have significantly harmed our bottom line and sales volume.

Q: How are you maintaining brand awareness and loyalty?

Mian: By staying transparent, prioritizing customer experience and reinforcing our brand values even in challenging times.

Fine: Transparency has become our strongest asset during this volatility. By openly communicating the challenges we face and the reasons behind price adjustments, we’ve actually strengthened customer relationships. Adding some humor and humanity to our communications has transformed a business challenge into an opportunity for authentic connection. Our customers appreciate seeing behind the curtain of how small businesses navigate these macro forces.

Q: How are you handling the tariffs being so volatile?

Mian: We’re in a “wait and see” mode and staying adaptable, while also making thoughtful decisions to preserve long-term brand health.

Fine: I’m focused on maintaining internal stability amid external chaos. This means making decisive but measured adjustments rather than reactive changes. We’re creating flexible contingency plans and prioritizing transparent communication both internally and externally. Speed matters, but panic-driven decisions could be more damaging than the tariffs themselves.

Q: How does the temporary suspension or reduction on some tariffs with China impact your company?

Mian: We’re not acting immediately — we’re awaiting more clarity before making large-scale shipping or production decisions.

Fine: The reduction to 30 percent offers welcome breathing room and reinforces my belief that complete decoupling from China isn’t the administration’s true goal. We’re proceeding with previously planned shipments and prioritizing inventory that makes sense within our cash constraints. We’re not “stockpiling” — that’s simply not feasible for most small businesses with limited capital.

Q: What are your thoughts for the future concerning tariffs and manufacturing?

Mian: We’re committed to building a resilient, customer-first business and will continue exploring diversified production and distribution to adapt to future trade environments.

Fine: While I support diversifying global manufacturing capabilities, I believe positive incentives would be more effective than punitive tariffs. Creating favorable trade terms with allies and offering meaningful benefits for domestic manufacturing would drive sustainable change without causing collateral damage to small businesses. Tariffs create artificial urgency without addressing the underlying infrastructure needed for true manufacturing shifts. Small businesses need stability and predictability to thrive and grow — not constant policy whiplash.

(Photo credit: Getty Images/Kanawa Studio)

About the Author

Sue Doerfler

About the Author

As Senior Writer for Inside Supply Management® magazine, I cover topics, trends and issues relating to supply chain management.