Spices aren’t tariffed—but what protects and ships them is.
As of June 2025, sharp increases in steel and aluminum tariffs are quietly raising the cost of doing business for spice importers, exporters, and processors. If you’re in the B2B spice trade—whether sourcing bulk pepper from Vietnam or packaging cardamom in foil-lined drums—this shift may already be squeezing your bottom line.
Let’s break down what’s happening, why it matters, and what you can do about it.
The Tariff Trigger: 50% Duties on Steel and Aluminum
Earlier this month, the U.S. doubled tariffs to 50% on imported steel and aluminum. These aren’t abstract numbers. The effects are already hitting across the supply chain—especially for businesses that rely on:
- Shipping containers
- Cargo racks and steel-reinforced pallets
- Food-grade foil liners
- Steel drums and spice canisters
- Processing equipment made with metal parts
For spice companies, this means higher costs even if the spices themselves remain tariff-free.
What’s Getting More Expensive—and Why It Matters
1. Shipping Containers
Why it matters: Full-container-loads (FCL) are the backbone of bulk spice trade.
What’s changed: With steel now 50% more expensive to import, the cost of new containers and leasing rates are rising fast. This is already pushing up freight charges—especially for long-haul shipments from Asia and South America.
Psychological impact: Hidden cost increases can feel more frustrating than direct price hikes—because they’re harder to predict or control.
2. Cargo Racks and Pallets
Why it matters: Bulk spices like turmeric, cloves, or cumin require sturdy pallets to prevent damage during long-haul shipping.
What’s changed: Steel-reinforced pallets now cost 20–30% more, and even composite alternatives are increasing due to metal fasteners and structural elements.
Pro tip: Communicate clearly with warehouse partners about substitutions. Mistrust often arises when changes appear unannounced.
3. Food-Grade Foil Liners
Why it matters: High-aroma spices like cardamom or paprika need strong barriers to lock in freshness.
What’s changed: Aluminum foil liners—often used inside bags, boxes, or drums—are now 15–25% more expensive. Prices spiked after aluminum delivery premiums nearly doubled.
Buyer behavior insight: Clients are more likely to accept price increases if they’re tied to product protection and safety.
4. Steel Drums and Spice Canisters
Why it matters: Many buyers request steel drums for bulk delivery because they’re stackable, airtight, and durable.
What’s changed: Each drum now costs $4–8 more to produce or import. Over thousands of units, this adds up fast.
Copy tip: If you’re selling or distributing in steel, frame it as a value add—not just a cost.
5. Equipment and Machinery
Why it matters: From sealers to grinders, most spice factories depend on imported machinery made with steel or aluminum.
What’s changed: Replacement parts and upgrades now carry up to 15% higher base costs, delaying maintenance and production schedules.
⚙️ Marketing note: Position your brand as proactive, not reactive—show clients you’re investing in reliable systems despite the environment.
What This Means for Your Spice Business
| Component | Cost Increase | What to Watch |
| Shipping containers | +10–15% per shipment | FCL vs. LCL strategy |
| Pallets & racks | +20–30% | Load stability, warehouse space |
| Foil liners | +15–25% | Spice aroma retention, shelf life |
| Steel drums | +$4–8 per unit | Pricing tiers, substitution options |
| Equipment | +5–15% | Maintenance delays, co-packing fees |
What You Can Do About It
- Communicate early with clients about changes in packaging costs—transparency builds trust.
- Explore alternatives: HDPE drums, high-barrier multilayer plastics, or modified atmosphere packaging.
- Revisit shipping formats: Consolidate loads, negotiate with carriers, or explore regional warehousing to offset rising transport costs.
- Lock in supply: Secure packaging contracts before mid-July when temporary tariff suspensions may expire.
- Tell the story: Buyers care about quality and safety. Use these changes to reinforce your commitment to protecting the product—not just moving it.
Final Thought: These Aren’t Just Costs—They’re Opportunities to Build Trust
How you respond to rising costs says more about your value than the price tag itself. Keep your partners informed. Offer solutions. And if you’re absorbing some of these costs yourself, don’t be afraid to let that show—your reliability might just become your best selling point.