Understanding tariffs, supply-chain surcharges, and price increases — and how Port2Site helps you reduce their impact.
Request Tariff Strategy ReviewConstruction materials used in multifamily, commercial, hospitality, and luxury residential developments have experienced significant price increases driven by tariffs, supply-chain surcharges, distributor markups, and manufacturer list-price adjustments. These cost pressures are not limited to direct import tariffs—they also affect U.S.-made and U.S.-stocked products due to raw material sourcing, component dependencies, and distributor pricing strategies.
Port2Site helps developers, general contractors, architects, and asset managers reduce the tariff-driven cost burden by leveraging multi-country sourcing strategies, U.S.-manufactured and U.S.-stocked alternatives, factory-direct relationships, and value-engineered (VE) options that maintain design intent while lowering per-unit material costs. This page explains how tariffs affect your project costs and what Port2Site does to mitigate that impact.
Many lighting, plumbing, electrical, and hardware products are subject to Section 301 tariffs ranging from 7.5% to 25% (or more in some categories). These tariffs are applied at import, increasing the landed cost before any distributor markups are added.
Distributors and suppliers often layer additional surcharges (tariff recovery fees, fuel surcharges, supply-chain fees) on top of base pricing. This magnifies the cost impact beyond the tariff itself.
Manufacturers have adjusted list prices to offset tariff exposure, even on products made in the U.S., due to imported components or raw materials. This makes every layer of markup more expensive.
Tariff-induced shifts in sourcing countries have created longer lead times and limited availability. When demand exceeds supply, distributors raise prices—regardless of the actual cost structure.
Subcontractors purchase through distributor channels and apply their own markups to recover procurement costs, overhead, and profit. When base prices rise due to tariffs, every layer of margin increases proportionally.
Port2Site employs multiple procurement strategies to reduce the cost burden caused by tariffs, surcharges, and supply-chain inflation.
We work with manufacturers in countries not subject to Section 301 tariffs or with reduced tariff rates, allowing us to offer factory-direct pricing without the tariff burden applied to Chinese-manufactured goods.
We source from trusted U.S. suppliers who maintain inventory domestically. While tariffs may already be embedded in their cost structure, we bypass multiple layers of distributor markup and subcontractor pass-through pricing.
Port2Site maintains direct relationships with overseas manufacturers, allowing us to negotiate pricing, manage logistics, and import materials with full transparency. This eliminates the traditional importer → distributor → subcontractor markup chain.
We identify product categories most impacted by tariffs (lighting, plumbing valves, hardware) and provide value-engineered (VE) alternatives from U.S. or non-tariff suppliers that maintain design intent and performance.
We present side-by-side pricing that shows: spec'd item cost, domestic VE options, U.S.-stocked alternatives, and factory-direct VE pricing. You see the real cost impact and make informed decisions.
We consolidate shipments from multiple sources—domestic or international—into optimized jobsite deliveries. This reduces freight cost per unit and simplifies project logistics.
Protect pro formas and capital budgets by reducing per-unit material costs across multifamily, mixed-use, and commercial projects.
Lower total development costs and improve project returns by minimizing tariff-driven price inflation.
Improve project margins by sourcing materials at competitive prices and reducing subcontractor pass-through markups.
Reduce maintenance and capital improvement costs for bulk replacement programs across existing properties.
Access U.S.-manufactured and tariff-optimized products for export to Caribbean and Latin American markets.
Port2Site specializes in sourcing the following product categories with tariff navigation and cost reduction strategies.
LED Lighting Fixtures
Plumbing Fixtures & Faucets
Shower Systems & Valves
Hardware (Hinges, Locksets)
Electrical Devices & Panels
Flooring (LVP, Tile, Laminate)
Cabinets & Vanities
Exterior Lighting
Mirrors & Bathroom Accessories
Doors & Door Hardware
HVAC Registers & Grilles
Appliances (Optional)
Project: 250-unit luxury apartment community in a growing Sunbelt market
Challenge: The developer's spec'd lighting and plumbing fixtures were heavily impacted by Section 301 tariffs. Subcontractor quotes reflected distributor surcharges and pass-through markups, pushing per-unit material costs above budget.
Solution: Port2Site provided a multi-channel pricing comparison that included: (1) spec'd items at best domestic pricing, (2) U.S.-made VE alternatives, (3) non-tariff country factory-direct options. The developer selected a hybrid approach—using U.S.-stocked plumbing fixtures for speed and factory-direct LED lighting to maximize savings.
Result: The project saved $180,000 in total material costs while maintaining the design intent and accelerating delivery timelines.
Send us your fixture schedules, spec sheets, or material lists. We'll analyze tariff exposure and provide a cost-reduction strategy with side-by-side pricing comparisons.
Request Tariff Strategy Review