Tariffs are Only Part of the Equation

June 5, 2025  

The Office of Public Affairs

When it comes to understanding the cost of exporting, many people just think about tariffs. And that makes sense. Tariffs, and their potential to impact trade, have been all over the news. But tariffs are actually only part of the equation. What about other ways that foreign governments restrict the flow of American-made goods across borders? We call these non-tariff barriers or NTBs.

NTBs create obstacles for U.S. exporters to sell their goods in a foreign market. These can take the form of duplicative testing, licensing requirements, product standards and even ownership restrictions. These NTBs are often justified by foreign governments through consumer safety, environmental protection, or even national security concerns.  

In recognition of the impact that NTBs play in making exporting more difficult for American businesses, the International Trade Administration within the U.S. Department of Commerce has a dedicated team of professionals who work with their government counterparts to encourage the removal of NTBs that affect American goods.

The Trade Agreements Negotiations and Compliance (TANC) team has resolved over 19 NTBs since January 2025 alone. For example, the TANC team resolved an issue with Mexico stemming from the country’s March 2024 plan to create new requirements for electric vehicles (EV) and EV chargers. According to U.S. industry, the measure could have fragmented the North American market by requiring all EVs sent to Mexico to comply with Mexican-specific standards on the connectors, chargers, and cybersecurity of EVs. For nearly a year, TANC and others in the International Trade Administration worked with other U.S. agencies to press Mexico to alter these new standards and implement a measure that would not restrict trade with the United States. As a result of these efforts, Mexico modified the measure and removed several Mexico-specific requirements, bringing the measure further in alignment with the North American market, satisfying many concerns from U.S. automakers and maintaining access to the EV market.

If you are a business who is facing an NTB on your product, you can contact our experts through the International Trade Administration’s Report a Trade Barrier platform. For more information about how the International Trade Administration is helping American businesses export around the globe, visit our Export Solutions platform.