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Home » Distribution Industry News » Tariffs and Supply Shifts Put Distributors at the Center of August Sourcing Surge

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  • Published on: October 2, 2025

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  • Picture of Distribution Strategy Group Distribution Strategy Group

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Distribution Industry News

Tariffs and Supply Shifts Put Distributors at the Center of August Sourcing Surge

Chemicals, aluminum, and bottles were among the most heavily sourced products on Thomasnet in August 2025, reflecting how tariffs, supply volatility, and sustainability demands are reshaping procurement. For distributors, the trend underscores growing pressure to act not only as suppliers but as strategic partners.

Chemicals led sourcing activity as construction, automotive, healthcare, and packaging buyers looked for stable domestic supply to offset global volatility. Distributors that can guarantee availability and manage costs are well-positioned, but they face rising expectations on service and transparency.

Aluminum demand surged after the U.S. imposed a 50% tariff on imports, forcing manufacturers to shift quickly to domestic channels. With China cutting production and supply tightening, distributors are being relied on to buffer customers against price swings and availability risks—making contract management and inventory strategy critical to margins.

Packaging demand, particularly for bottles, rose on seasonal demand and the push for sustainable options. Food, beverage, healthcare, and e-commerce buyers increasingly want eco-friendly, customizable packaging. Distributors offering specialty and green alternatives stand to benefit as sustainability moves higher on procurement agendas.

Service sourcing also climbed, with cutting, labelling, and contractor services in high demand. For distributors, the trend points to an evolving role where value is measured as much by services and supply assurance as by price.

The takeaway: distributors that can deliver stability, sustainability, and service integration are best placed to win in a shifting market where procurement priorities are being redefined by tariffs, regulations, and supply chain uncertainty, according to Thomasnet.

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