Will tariffs apply if my products are only partially assembled in China? Can I avoid tariffs by shipping to another country first?

Tariffs are based on the country of origin—which is defined as the country where the product undergoes substantial transformation (i.e., where its essential character changes).

So, even if your goods are only partially assembled in China, if the final product is still classified as Chinese origin, U.S. tariffs on Chinese imports will likely still apply.

In some cases, routing products through a third country (e.g., Vietnam or Mexico) may help avoid tariffs—but only if substantial transformation occurs there. Simply relabeling or repackaging in another country does not change the country of origin.

To determine if this strategy applies to your product:

Note: Answers reflect the current status as of April 18th, 2025. We’ll continue updating this article as trade policy evolves.