NAVIGATING GLOBAL TRADE: Understanding Tariffs & the Harmonized Tariff Schedule (HTS) Classification Through Cookies

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NAVIGATING
GLOBAL
TRADE.

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Alex Kelleher

akelleher@imec.org
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  • ADDITIONAL RESOURCES:

    Handout: NAVIGATING GLOBAL TRADE: Understanding Tariffs & the Harmonized Tariff Schedule (HTS) Classification Through Cookies

    Watch: STAYING AHEAD GLOBALLY: 2025 Mid-Year Trade & Tariff Update


    Presented in collaboration with ILDEC (Illinois District Export Council), and Illinois SBDC International Trade Center at the WBDC (Women’s Business Development Center).

    What do vanilla extract, butter, and cookie sheets have in common with steel coils, aluminum bars, and CNC machines?

    They’re all governed by the Harmonized Tariff Schedule (HTS) — the “recipe code” system that determines how much you pay in import duties, what you’re eligible to claim under trade agreements, and whether you’re at risk of audit or penalties.

    This interactive session uses the cookie recipe as an accessible but powerful analogy to decode how HTS classification, tariff exposure, and global sourcing decisions directly impact your bottom line as an Illinois manufacturer. Whether you’re sourcing machine parts from Germany, electronics from Taiwan, or resins from China — getting the classification right can mean the difference between margin and loss.

    What You’ll Learn

    • How HTS classification determines every tariff dollar you pay
    • Why “similar” parts may carry very different duty rates
    • How classification affects total landed cost, FTA eligibility, and duty drawback
    • Real examples of Illinois manufacturers saving thousands of dollars annually through reclassification, sourcing strategy, and trade compliance planning
    • How to build a 4-phase tariff strategy (Assessment → Optimization → Implementation → Ongoing)
    • No-cost advisory services available through WBDC’s SBDC-ITC and IL District Export Council (ILDEC)

    Featured Frameworks

    • HTS vs. Recipe Code Model
    • Classification Cost Mapping
    • POC + POV Tariff Planning Framework
    • FTA Readiness & Duty Drawback Opportunities

    Who Should Attend

    • Illinois manufacturers in industrial equipment, food processing, electronics, or auto/ag supply chains
    • Compliance officers, or supply chain managers
    • Sourcing, engineering, and logistics professionals
    • Any firm managing imports of equipment, components, or raw materials

    Presenter

    Soraya Hernandez

    Director, International Trade Center

    Soraya Hernandez, M.B.A. serves as the Director of the Illinois SBDC International Trade Center at the WBDC (Women's Business Development Center) in Chicago, Illinois. In this role, she provides direct technical assistance to business clients through one-on-one advising and educational programming, including webinars and workshops, focused on leveraging international trade for business growth and market expansion.
    With over 25 years of experience as an International Business Strategist and Market Intelligence expert, Soraya has supported and advised business leaders and their teams across Fortune 500 companies, middle market enterprises, and startups throughout the Americas. Her expertise spans multiple industries, including Consumer Packaged Goods, Retail, Consumer & Institutional Financial Services, and Manufacturing.
    Soraya brings a unique blend of management, commercial, and technical skills to her work, a passion for experimentation and change, for seeing the opportunities to do things differently and a natural drive to give it a go. She excels at identifying cross-border growth opportunities, driving product innovation, and developing solutions for complex business challenges. Her extensive multinational and multicultural experience, combined with her operational knowledge and strategic business consulting expertise, has resulted in numerous successful international market expansions and business transformations.
    Soraya holds a dual Bachelor of Science degree in Civil Engineering and Business from the University of Notre Dame and earned her M.B.A. with honors from Loyola University Chicago's Quinlan School of Business.

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