Like many different industries, stakeholders within the additive manufacturing (AM) sector are intently monitoring discussions round tariffs and the way they could affect their companies. At Wohlers Associates, powered by ASTM Worldwide, we now have determined to offer a quick pulse on the trade, paired with a brief evaluation, to assist the broader AM neighborhood place itself extra successfully in response to tariffs — and doubtlessly flip these challenges into alternatives.
This text is structured in two sections. The primary gives a quick geographical evaluation of tariff impacts — in different phrases, how and to what extent numerous international locations could also be affected. The second part presents an anonymized abstract of our conversations with just a few gamers within the AM trade. Discussions resulting in the event of this text had been carried out on the finish of April 2025. Consequently, a number of the data and statistics included are topic to alter, particularly given the fluid and evolving nature of tariff-related insurance policies.
Whereas this report represents a small-scale effort and primarily focuses on implications for U.S. firms, we now have aimed to channel and mirror a variety of viewpoints. Relying on the extent of curiosity and suggestions from the AM neighborhood, there could also be potential to broaden this work additional.
Knowledge evaluation
Determine 1 illustrates the distribution of U.S. imports of AM machines by nation of origin in 2024. This contains all varieties of AM methods — steel, polymer, concrete, sand, ceramic, and so forth. As proven, Germany, China, and Israel had been the highest three exporting international locations to the U.S. in 2024, with complete imports valued at roughly $625 million (supply: UN Comtrade).
Nonetheless, taking into account the affect of tariffs paints a unique image, since export of AM machines could also be topic to completely different tariff therapies relying on the nation of origin. For example, Canada and Mexico are possible exempt because of the United States-Mexico-Canada Settlement (USMCA), underneath which most qualifying items are tariff-free. In distinction, many different international locations face both country-specific or common tariffs.
Determine 2 reveals the breakdown of about $118 million in new tariff income that might be hypothetically collected if the proposed tariff charges (as of Might 15, 2025) had been utilized to 2024 AM machine imports. China and Germany would each account for the lion’s share at simply shy of $92 million. This extra tariff income would end in a median 30% enhance in the price of Chinese language machines imported to the U.S, and a median 20% enhance in the price of German machines. It is essential to notice that these values assume tariffs wouldn’t affect purchaser habits—a simplification that doesn’t mirror real-world dynamics however permits for a clearer comparability of the potential magnitude of the tariffs.
Pulse of the U.S. AM Trade
The affect of tariffs is multifaceted and perceived in a different way relying on an organization’s place within the AM ecosystem. Most firms are presently in a “monitoring mode,” attempting to know the precise implications of the tariffs fairly than implementing vital enterprise adjustments. Whereas speedy motion (like shifting buy orders) is just not extensively noticed but, there may be vital planning, mapping of potential eventualities, and requesting of quotes occurring. Corporations wish to perceive their choices and have contingency plans of their “again pocket”.
Past direct price implications, tariffs and associated geopolitical elements just like the push for reshoring are seen as creating each issues and alternatives. Some view tariffs and provide chain disruptions as a chance for AM to additional current itself instead resolution, enabling companies to avoid conventional provide chain points and enhance enterprise. You will need to be aware that the latest tariffs are perceived by some as one other layer of volatility on high of serious worth will increase skilled because the starting of COVID-19. These will increase (generally 10-40% in a 12 months) impacted uncooked supplies, elements, and companies, and had been a significant focus for companies lengthy earlier than the present tariff discussions grew to become distinguished.
Then again, many have expressed issues concerning potential implications of latest tariff developments. Under is the listing of main issues that had been highlighted in our discussions with gamers within the AM trade:
- Uncertainty: The present state of affairs is characterised by chaos and uncertainty, making it troublesome for firms to execute long-term buying and funding selections. The identical chart—Determine 2—that was beforehand introduced would have proven a totally completely different breakdown of tariffs collected from completely different international locations simply ten days earlier, on Might 5. Not solely did the full estimated tariff income decline by practically 60%—from $280 million to $118 million between Might 5 and Might 15—however the implications of the sooner tariff ranges would have had a big affect on the polymer AM market within the U.S. Contemplating that 56% of polymer AM machines imported into the U.S. in 2024 got here from China, the upper tariff percentages at the moment would have considerably elevated the price of these machines. Consequently, many American firms searching for to broaden their polymer AM capability would have confronted a troublesome selection: take in larger prices by persevering with to depend on Chinese language methods or shift to home or much less closely tariffed overseas alternate options. Nonetheless, inside simply ten days, the tariff outlook—and its potential affect—shifted dramatically. As of Might 15, not solely is the projected tariff income a lot decrease, however the penalties for the polymer AM market seem far much less extreme. This illustrates the excessive diploma of volatility and uncertainty presently surrounding U.S. tariff coverage discussions.
- Workflow disruption: The broad imposition of tariffs is problematic for U.S. firms that depend on imported printers. For instance, the qualification necessities, particularly for demanding sectors like medical, aviation, and protection, are sometimes machine-specific, and AM machines usually are not simply interchangeable because of the complicated, multi-variable nature of the AM course of. Sustaining entry to expertise from international locations like Germany, Israel, and Japan is seen essential for enabling home U.S. manufacturing. Tariffing spare elements and inputs (like steel powders, plastics, wire) from China will also be problematic, particularly if home provide is inadequate.
- Complacency: A possible long-term danger is that protectionist insurance policies may result in complacency in Western industries, permitting China’s well-funded and fewer constrained AM sector to additional surpass Western expertise sooner or later.
Winners and Losers
Figuring out clear winners and losers is troublesome given the uncertainty, primarily as a result of the precise tariff degree issues. Anecdotal proof suggests {that a} 10% tariff may not result in adjustments in buying habits or mixture of suppliers, however a 25% tariff might set off shifts. Regardless of these uncertainties, some views emerged.
The U.S. home manufacturing base is predicted to be the larger winner in the long run. For firms closely concerned within the U.S. aerospace, protection, and area sectors with necessities similar to “Purchase American”, the direct affect of tariffs has been minimal to this point. Whereas such firms could supply a few of their enter supplies (together with feedstocks) from non-U.S. sources, tariffs have but to trigger a big change of their insurance policies or enterprise methods. Nonetheless, it ought to be famous that some analysts disagree with this assertion and don’t view the strengthening of the U.S. home manufacturing base as a probable end result of imposing new tariffs.
Moreover, this era could possibly be a really helpful time for U.S.-based service bureaus and contract producers. If a non-U.S. producer wants a fast resolution for manufacturing within the U.S. on account of tariffs, outsourcing to a contract producer with current capability is the almost certainly path, as constructing a brand new facility takes years. Profitable contract producers who can win these alternatives by serving to now have the potential for steady enterprise. The mindset of producers is to not consistently swap suppliers, so as soon as a contract producer is accepted and performing properly, they’re more likely to retain the enterprise even when the tariff state of affairs adjustments sooner or later.
AM firms able to shifting manufacturing to the U.S. could vastly profit from these tariffs – a development that has already begun, albeit for a totally completely different cause: eligibility to work with the U.S. Division of Protection.
Then again, firms closely reliant on printers or substitute elements from international locations focused by U.S. tariffs (e.g., Europe, Israel) or inputs from China could face challenges except waivers or different sourcing are secured. For instance, service bureaus and contract producers that supply their feedstock from China and function at a low margin could discover the monetary viability of their companies in danger.
Recommendation for AM Companies
A number of items of recommendation had been supplied for firms navigating this setting:
- Wait and see: Keep away from overreacting or making hasty selections earlier than absolutely understanding the implications of the altering tariff panorama.
- Diversification: Diversify your buyer portfolio to keep away from being overly reliant on one or two companies or sectors, which will be closely impacted by exterior insurance policies or market fluctuations. Think about diversification on the availability facet as properly.
- Concentrate on the correct concern: Tariffs are an actual downside however should not be the highest concern for a lot of AM firms. There’s a concern that some firms may use tariffs as an excuse for failing to fulfill their forecasts, fairly than acknowledging inside points. Finally, firms ought to deal with the issues they’ll management, such because the reliability and repeatability of machines, high quality, and repair ranges, fairly than exterior elements like tariffs.
- Authorities work: If pursuing enterprise with the U.S. authorities (DoD, DOE, NASA, and so forth.), remember that there’s vital concern about Chinese language-manufactured merchandise, and the choice to not use Chinese language tools, even when modified. Our interviewees suggested startups to keep away from investing in Chinese language printers if focusing on this market. Corporations with current Chinese language tools could face challenges and thorough evaluations.
- Change administration: Corporations with an agile, resourceful, and change-oriented mindset are finest positioned to navigate the volatility and discover alternatives, no matter their measurement. Conversely, these which might be gradual to adapt or caught in conventional methods of considering (“that is how we have at all times achieved it”) could wrestle. Management high quality is vital.
- Advocate for coverage: Have interaction with policymakers both immediately or via organizations similar to AM Coalition to coach them concerning the nuances of the AM trade. Advocate for insurance policies that help home manufacturing and common adoption of AM.
The general sentiment from this engagement with the AM trade is that whereas tariffs current challenges and uncertainty, the underlying development in direction of home manufacturing and the inherent advantages of AM (pace, flexibility, provide chain resilience) provide vital alternatives for the trade if navigated strategically and supported by acceptable insurance policies. To maneuver these alternatives and this complicated state of affairs, Wohlers Associates gives not solely probably the most complete information and evaluation on the AM market, however the advisory companies to help in making use of that perception. Go to wohlersassociates.com to study extra.
Authors
Mahdi Jamshid, PhD, Director of Market Intelligence at Wohlers Associates, powered by ASTM Worldwide | [email protected]
Pablo Enrique, PhD, Additive Manufacturing Supervisor at Wohlers Associates, powered by ASTM Worldwide
