Like many different industries, stakeholders within the additive manufacturing (AM) sector are intently monitoring discussions round tariffs and the way they could influence their companies. At Wohlers Associates, powered by ASTM Worldwide, we’ve got determined to offer a short pulse on the trade, paired with a brief evaluation, to assist the broader AM neighborhood place itself extra successfully in response to tariffs — and probably flip these challenges into alternatives.
This text is structured in two sections. The primary gives a short geographical evaluation of tariff impacts — in different phrases, how and to what extent varied international locations could also be affected. The second part presents an anonymized abstract of our conversations with a number of gamers within the AM trade. Discussions resulting in the event of this text had been performed on the finish of April 2025. In consequence, among the data and statistics included are topic to vary, 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’ve got aimed to channel and mirror a spread of viewpoints. Relying on the extent of curiosity and suggestions from the AM neighborhood, there could also be potential to increase this work additional.
Information evaluation
Determine 1 illustrates the distribution of U.S. imports of AM machines by nation of origin in 2024. This consists of all varieties of AM methods — metallic, 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 influence of tariffs paints a distinct image, since export of AM machines could also be topic to totally different tariff remedies relying on the nation of origin. As an example, Canada and Mexico are probably 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 normal 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 Could 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 mean 30% improve in the price of Chinese language machines imported to the U.S, and a mean 20% improve in the price of German machines. It is essential to notice that these values assume tariffs wouldn’t affect purchaser conduct—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 Business
The influence of tariffs is multifaceted and perceived in another way relying on an organization’s place within the AM ecosystem. Most firms are presently in a “monitoring mode,” making an attempt to know the particular implications of the tariffs relatively than implementing vital enterprise modifications. Whereas instant motion (like shifting buy orders) will not be broadly noticed but, there’s vital planning, mapping of potential situations, 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 as a substitute answer, enabling companies to bypass conventional provide chain points and enhance enterprise. It is very important be aware that the current tariffs are perceived by some as one other layer of volatility on prime of serious worth will increase skilled because the starting of COVID-19. These will increase (generally 10-40% in a yr) impacted uncooked supplies, parts, and providers, and had been a significant focus for companies lengthy earlier than the present tariff discussions grew to become outstanding.
Then again, many have expressed issues relating to potential implications of current tariff developments. Beneath 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 tough for firms to execute long-term buying and funding choices. The identical chart—Determine 2—that was beforehand introduced would have proven a very totally different breakdown of tariffs collected from totally different international locations simply ten days earlier, on Could 5. Not solely did the overall estimated tariff income decline by practically 60%—from $280 million to $118 million between Could 5 and Could 15—however the implications of the sooner tariff ranges would have had a major influence 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. In consequence, many American firms searching for to increase their polymer AM capability would have confronted a tough selection: take up greater prices by persevering with to depend on Chinese language methods or shift to home or much less closely tariffed international alternate options. Nonetheless, inside simply ten days, the tariff outlook—and its potential influence—shifted dramatically. As of Could 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 will not be simply interchangeable because of the advanced, multi-variable nature of the AM course of. Sustaining entry to know-how from international locations like Germany, Israel, and Japan is seen essential for enabling home U.S. manufacturing. Tariffing spare components and inputs (like metallic powders, plastics, wire) from China will also be problematic, particularly if home provide is inadequate.
- Complacency: A possible long-term threat 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 know-how sooner or later.
Winners and Losers
Figuring out clear winners and losers is tough given the uncertainty, primarily as a result of the particular tariff stage issues. Anecdotal proof suggests {that a} 10% tariff won’t result in modifications in buying conduct 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 anticipated 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 influence of tariffs has been minimal up to now. Whereas such firms might supply a few of their enter supplies (together with feedstocks) from non-U.S. sources, tariffs have but to trigger a major 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 possible consequence of imposing new tariffs.
Moreover, this era might be a really useful time for U.S.-based service bureaus and contract producers. If a non-U.S. producer wants a fast answer for manufacturing within the U.S. resulting from tariffs, outsourcing to a contract producer with present capability is the most probably 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 continuously swap suppliers, so as soon as a contract producer is accepted and performing nicely, they’re prone to retain the enterprise even when the tariff state of affairs modifications sooner or later.
AM firms able to shifting manufacturing to the U.S. might enormously profit from these tariffs – a pattern that has already begun, albeit for a very totally different motive: eligibility to work with the U.S. Division of Protection.
Then again, firms closely reliant on printers or alternative components from international locations focused by U.S. tariffs (e.g., Europe, Israel) or inputs from China might face challenges except waivers or various sourcing are secured. For instance, service bureaus and contract producers that supply their feedstock from China and function at a low margin might discover the monetary viability of their companies in danger.
Recommendation for AM Companies
A number of items of recommendation had been provided for firms navigating this surroundings:
- Wait and see: Keep away from overreacting or making hasty choices earlier than totally 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. Take into account diversification on the availability aspect as nicely.
- Deal with the proper 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 satisfy their forecasts, relatively than acknowledging inner points. In the end, firms ought to deal with the issues they’ll management, such because the reliability and repeatability of machines, high quality, and repair ranges, relatively than exterior elements like tariffs.
- Authorities work: If pursuing enterprise with the U.S. authorities (DoD, DOE, NASA, and so forth.), bear in mind that there’s vital concern about Chinese language-manufactured merchandise, and the desire to not use Chinese language gear, even when modified. Our interviewees suggested startups to keep away from investing in Chinese language printers if focusing on this market. Corporations with present Chinese language gear might face challenges and thorough opinions.
- 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 can be sluggish to adapt or caught in conventional methods of pondering (“that is how we have all the time accomplished it”) might battle. Management high quality is essential.
- Advocate for coverage: Have interaction with policymakers both immediately or by organizations similar to AM Coalition to coach them concerning the nuances of the AM trade. Advocate for insurance policies that assist home manufacturing and normal adoption of AM.
The general sentiment from this engagement with the AM trade is that whereas tariffs current challenges and uncertainty, the underlying pattern in the direction of home manufacturing and the inherent advantages of AM (pace, flexibility, provide chain resilience) supply vital alternatives for the trade if navigated strategically and supported by applicable insurance policies. To maneuver these alternatives and this advanced state of affairs, Wohlers Associates gives not solely essentially the most complete knowledge and evaluation on the AM market, however the advisory providers 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 | wa@wohlersassociates.com
Pablo Enrique, PhD, Additive Manufacturing Supervisor at Wohlers Associates, powered by ASTM Worldwide
