At 11 a.m. last Thursday, California was buzzing as Ryan Petersen, the founder and CEO of Flexport, took to the screen to address a virtual room packed with over 2,300 anxious clients. It wasn’t just a regular briefing—this was a moment when the world of global trade had turned upside down.
President Donald Trump’s announcement of sweeping new tariffs and a “Liberation Day” had sent shockwaves through the logistics industry, and Flexport, a global logistics and customs brokerage firm, had to respond fast.
The tariffs, some reaching up to 79%, would apply to products coming from China—everything from sofas to direct-to-consumer shipping models, once protected by the under-$800 duty-free threshold, were now subject to new customs obligations.
“We broke our lives treaming platform,” Petersen joked, sharing his experience with the audience at TechCrunch’s StrictlyVC event. “We need a better one.”
Flexport had no choice but to step up quickly. With tariffs on everything from sofas to everyday goods and the imminent threat of a $1.5 million penalty for ships made in China, Flexport’s team immediately dove into crisis mode. Petersen wasn’t just talking logistics; he was giving clarity to clients in what could have felt like total chaos.
“We need to understand this stuff and get the message out,” he explained. “I was writing a blog post, having hedge fund guys texting me to ask for insight.”
Petersen, known for his “founder mode” mentality, was in constant communication with his employees. After all, in a crisis, “you need to be the calmest person in the room.”
For Flexport, the tariff changes were a new reality. Many of their customers were relying on Vietnam as a way to diversify away from China—but with Vietnam slapped with a 46% tariff, even that buffer was gone.
The real shocker? The end of the de minimis program, which had allowed duty-free shipping for products under $800. This change directly impacted e-commerce giants like Temu and Shein, and smaller Shopify stores that were utilizing fulfillment services from Mexico.
With so much disruption, Petersen remained hopeful that these changes were just part of a bigger shift, and that free trade could still rebound. “Vietnam and Israel have already responded by eliminating tariffs on U.S. goods,” he said.
But for now, Flexport is riding out the storm, answering thousands of questions, fielding queries on social media, and, in Petersen’s words, breaking webinar platforms to keep their customers moving forward.
The message to businesses? Stay agile, stay informed, and stay calm.
