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With the U.S. set to ramp up tariffs across multiple sectors, there’s a natural question floating around: Will this reduce the demand for offshore staff in countries like the Philippines and Colombia?

The short answer? Probably not. In fact, we’re likely to see the opposite.

Tariffs Raise Costs. Offshore Teams Offset Them.

Tariffs don’t just affect importers. They ripple across the entire operating model.
Goods become more expensive. So does packaging. Shipping. Freight. Sometimes even software and tooling, depending on where it’s coming from.

When businesses feel that squeeze, they start looking for ways to rebalance the books.

Labour is often the first, and most flexible lever.

It’s why outsourcing/nearshoring/remote staffing gets so much attention during times of economic pressure. And it’s why we expect demand for offshore teams to rise, not fall, in the months ahead.

But Not All Offshoring Is Created Equal.

Here’s the risk. When businesses turn to offshoring purely as a cost-saving measure, and do it reactively, it doesn’t always go well. We’ve seen businesses move quickly without putting the right systems in place. Without proper onboarding. Without enough context or communication.

The result? Offshore teams get overloaded, isolated, or treated like a second tier.
Work slips. Engagement drops. And whatever money was saved gets lost in churn, inefficiency, or rework. That’s not sustainable. For anyone.

A Smarter Way Forward.

The companies who succeed with offshore talent share one thing: they treat their global teams like their local teams. They don’t just look at wage savings – they look at skills, structure, and long-term capability. They build career pathways. They invest in training and tools. They build culture across borders.

For these companies, offshoring isn’t a crisis response. It’s a core part of their strategy.

What This Means for You.

If you’re a business leader staring down rising costs from tariff changes, here’s the takeaway:

• Outsourcing might be part of the solution – but only if you do it with intent.
• Don’t just chase the cheapest hire. Build the right team for the long haul.
• Think beyond roles. Think about how your people work together across time zones, cultures, and expectations.

Because the real opportunity here isn’t just in reducing costs. It’s in building a more resilient, capable, and connected workforce, wherever they are.

And that doesn’t come from moving fast. It comes from moving right.