On April 2, 2025, President Trump's introduced reciprocal tariffs on over 200 countries. For Odoo users managing imports and supply chains, these changes demand immediate ERP system adaptations.
These aren't simple fee increases. The new formula—dividing the US trade deficit with a country by US exports to that country—has created different rates for each country :
- China: 54%
- Japan: 24%
- South Korea: 25%
Understanding Trump's 2025 Tariff Formula
The new tariff structure is unlike anything we've seen before, making it particularly challenging to implement in standard ERP systems like Odoo without proper customization.
The Basic Formula Explained
According to official U.S. Trade Representative data (April 2025):
- Base rate: 10% for most countries
- Higher-rate formula: Trade deficit ÷ US exports
- Example: China rate = $295.4B deficit ÷ $143.5B exports = 54%
Source: USTR Official Tariff Guidelines, April 2025
Why Standard Odoo Can't Handle This Properly
Standard Odoo configurations lack the capacity for these calculations because:
- Rates vary dramatically by country (10%-54%)
- Implementation happened with no transition period
- Calculations require external economic data
Customs duties and Tariffs are not new concepts, and we've seen no proposal from Odoo S.A to implement this in the inventory module or in it's Odoo 19 roadmap nor in the near future.
This is creating a perfect storm for businesses using Odoo for their import operations.
The Four Critical Impacts on Odoo Users
According to Al Paul, partner at EY, there's a "ripple effect" from these tariffs that extends far beyond simple cost increases (source).
Here are the challenges I see :
| Challenge | Odoo System Implications |
|---|---|
| 1. Cash Flow Challenges | • Inaccurate cash flow forecasts • Budget disruptions • Payment scheduling problems |
| 2. Supply Chain Reconfiguration | • Updated vendor records • Recalculated product costs • Revised procurement rules • Adjusted lead times |
| 3. ERP System Updates | • Revised product cost structures • Reconfigured import tax rules • Updated landed cost calculations |
Step-by-Step Guide to Adapting Your Odoo Based Business
Leveraging the power of Odoo, your business need to adapt following the below actions :
| Step | Key Actions |
|---|---|
| Step 1: Conduct an Import Audit | • Generate country-of-origin report • Calculate tariff impacts • Identify high-risk products • Assess cash flow impact |
| Step 2: Implement Tariff-Specific Fields | • Add custom fields (country of origin, applicable rate, pre/post-tariff cost) • Create auto-calculation fields • Track tariff expenses |
| Step 3: Revise Pricing Strategy | • Create new pricing rules • Develop country-specific pricelists • Implement automated adjustments • Prepare customer communications |
| Step 4: Build Monitoring Dashboard | • Track tariff expenses by country • Monitor month-over-month changes • Analyze impact on profitability • Identify potential savings |
Custom Solutions for Tariff Management
While the above steps can help you adapt your existing Odoo system, they require significant development time and expertise. Many businesses are finding that specialized add-ons provide a faster, more reliable solution. At Odoo Skillz, we provide a tailored add-on for Customs Duties and Tariff management. Our dedicated add-on helps you implement most of these needed changes in a matter of days.
Why Choose Our Customs Duties and Tariff Rates Add-on?
ROI Calculator: Most clients see 8x return within 3 months :
Without Add-on | With Add-on | Savings |
14 hours/week manual calculations | Automated | $800/month (*) |
8% error rate on pricing | <0.5% error rate | $3,200/month (**) |
Our specialized solution offers immediate advantages:
- Seamless Customs Integration - Automatically splits duties correctly between attached vendor and customs broker bills
- Country-Specific Rates - Pre-configured with the latest Trump tariff rates by country
- HS Code Management - Define codes at product/category level for accurate calculations
- Precise Customs Duties & Tariff Rates valuation - Get the exact pricing to use for competitive margins
"We implemented Odoo Skillz's tariff module in just two days. It saved us from hiring an additional customs compliance specialist." - I. M., Head of Finance @ a Sri Lanka Hardware Company
Acting Quickly in the New Tariff Environment
Don't let tariffs disrupt your business. Our clients typically implement within 3-5 business days and see ROI within the first month.
Our module is available for Odoo versions 13.0 through 18.0, works with Odoo Online, Odoo.sh, and On-Premise installations, and comes with our responsive support team ready to help.
Don't let Trump's tariffs disrupt your business. Take control of your import operations today with the right tools for the job. Ready to embrace hassle-free customs fee management?
Contact us today for a personalized consultation or visit the addon page to learn more and simplify your international trade journey.
Know more about our Customs Duties & Tariffs Add-on for Odoo
Sources
- USTR Official Tariff Guidelines, April 2025
- CFO Brew Al Paul (EY) interview
- Odoo 19 Roadmap, April 2025