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Modular Wins
How to adapt to tariff shifts with smarter modular product design.
Issue 042
If you’re part of a product design or engineering team, you’re likely feeling the impact of recent tariff changes—especially if you’re sourcing components made from steel or aluminum. As of March 12, 2025, the United States imposed a 25% tariff on all steel and aluminum imports, including those from Canada, aiming to protect domestic industries.
So, how do savvy teams stay ahead of unpredictable price hikes and supply chain disruptions? One word: modularity.
Modular design isn’t just about simplifying your product—it’s about building flexibility into your system so you can adjust quickly when circumstances change. In today’s environment, things are changing fast.
Let’s explore how modular thinking—and collaborating with your vendors—can give you a competitive edge.
Why Modularity Matters Now More Than Ever
Imagine this: a key steel component in your assembly just increased in price due to new tariffs. Do you halt production? Delay delivery? Absorb the cost? Not if your product is modular.
When your components are designed to be interchangeable, it’s easier to swap materials, tweak parts, or adjust sourcing—without redesigning the entire product.
Need to switch from steel to aluminum because of tariffs?
Want to localize parts sourcing without altering your core design?
Looking to add or remove functionality based on cost constraints?
Modular design makes all of this possible. And here’s the best part: it doesn’t require a complete redesign—just smarter planning upfront.
Team Up with Vendors to Build Flexibility In
Let’s be honest. No one understands the production floor like your vendors do. When you’re designing modular components, involving your stamped parts or tooling vendor early can be crucial.
> Flexible Tooling Solutions: Vendors can help design modular dies or quick-change tooling setups so parts can be adapted with minimal rework. This is invaluable when you need to pivot quickly.
> Scalable Production Plans: A modular setup allows your vendor to scale production more easily. If tariffs force you to change materials or quantities, a modular approach enables both of you to respond swiftly—without overhauling the production line.
> Alternate Part Development: By co-developing interchangeable parts with multiple material options, you can pre-plan responses to tariff shifts—before they occur.
Pro Tip: Host a modular design workshop with your vendor. You’d be surprised at the efficiency ideas they’ll bring to the table.
Real-World Wins from Modular Thinking
Let’s take a look at how one major U.S.-based industrial equipment manufacturer is already moving to address the latest round of tariffs through modular design.
In early March 2025, when the U.S. reimposed a 25% tariff on Canadian steel and aluminum, this company—already familiar with trade-related disruptions—knew they had to act fast. Thankfully, their product teams had already begun adopting modular architecture over the past few years in response to previous supply chain shocks. Because of this foresight, they were well-positioned to adapt quickly.
Now, with tariffs driving up steel prices, they’re working with their stamped parts vendor to accelerate development of modular component alternatives using domestic and tariff-free materials. Their teams are focused on:
> Swapping structural parts for interchangeable modules built from aluminum and other non-tariffed materials> Adjusting tooling setups to accommodate material changes with minimal disruption
> Building in sourcing flexibility by designing components that can be produced by multiple vendors
While it’s early days, initial results are promising. Their engineering and procurement teams report:
Greater agility in material substitution
Faster retooling times for updated modules
Less reliance on tariffed steel due to adaptable sourcing strategies
They’re not done yet—but their modular foundation is helping them pivot faster than if they were locked into a rigid product design.
Your Move: Build Flexibility into Your Designs
You can’t always predict tariffs. But you can predict how well your team handles them. Modular design principles make your products easier to adapt, quicker to scale, and more cost-effective to update.
And when you involve your vendors in the process early, you’ll discover options that go beyond internal brainstorming.
Rethink your next product line with modular architecture
Build in sourcing flexibility for critical parts
Collaborate with vendors to simplify tooling and reduce lead times
So tell me—how have modular designs helped your team handle recent tariff challenges? I’d love to hear your story. Drop a comment below 
Gromax Precision Die & Mfg., Inc. specializes in designing and manufacturing precision metal stamped parts and tooling, including progressive stamping dies and custom equipment. With an on-time delivery rate of 99.68% and a defect rate of just 0.066%, the company ensures exceptional reliability and quality.
Gromax is ISO 9001:2015 certified and ITAR registered, serving industries such as medical, defense, aerospace, industrial automation, and automotive with high-quality, innovative solutions.