🔥 Warm-Up (5 minutes)
- What steps can a company take to protect itself financially when tariffs on imported goods suddenly increase?
- In your view, how do trade agreements between countries typically influence the cost and availability of goods for local businesses?
📖 Key Vocabulary
| English | Type | Example Sentence |
|---|---|---|
| levy | n. | The government imposed a new levy on imported steel to protect domestic producers. |
| circumvent | v. | Some firms tried to circumvent the higher tariffs by rerouting shipments through a third country. |
| protracted | adj. | The protracted trade negotiations left manufacturers uncertain about future input costs. |
| stipulate | v. | The agreement stipulates that duties be phased out gradually over a five-year period. |
| retaliatory | adj. | The ministry announced retaliatory tariffs on agricultural imports within days of the original hike. |
| bottleneck | n. | Stricter customs inspections created a bottleneck at the port that delayed deliveries for weeks. |
| procure | v. | Facing rising duties, the firm chose to procure raw materials from a domestic supplier instead. |
| onerous | adj. | Exporters complained that the new documentation requirements were unnecessarily onerous. |
| curtail | v. | Analysts expect the tariff increase to curtail the volume of cross-border trade this year. |
| hedge against | phrasal v. | Manufacturers are hedging against further tariff hikes by diversifying their supplier base. |
🧠 Grammar / Strategy Focus
When a sentence opens with a negative or restrictive adverbial expression — such as Not only, Rarely, Seldom, No sooner, Hardly, or Under no circumstances — the normal subject-verb order inverts, and an auxiliary verb (do/does/did, have/has/had, or a modal) moves before the subject, just as in a question. This structure appears frequently in formal and business English to add emphasis or a more sophisticated tone. For example: 'Not only did the tariff increase raise import costs, but it also forced several manufacturers to seek alternative suppliers overseas.' Note that certain adverbials pair with specific conjunctions — 'no sooner... than' and 'hardly/scarcely... when' — so the adverbial and its partner conjunction must agree.
✏️ Part 5 Practice
Incomplete Sentences
📝 Part 6 Practice
Text Completion (Subject: Revised Customs Clearance Procedures Following Tariff Adjustment)
Dear Procurement Team,
Following the government's announcement of a 15% increase in tariffs on imported electronic components, effective September 1, all overseas purchase orders (1) reviewed by the compliance department prior to submission.
It is imperative that every department head (2) aware of the revised customs documentation requirements, as incomplete filings will result in significant clearance delays at the port.
(3) the tariff hike is expected to raise per-unit costs by roughly 8%, management has approved a temporary budget adjustment for the fourth quarter.
Not only (4) the new duties affect our component costs, but they will also require us to renegotiate several long-standing supplier contracts.
Please direct any questions regarding the transition to the compliance hotline. We appreciate your cooperation during this period of adjustment.
Regards, Trade Compliance Office
📰 Part 7 Practice
Reading Comprehension
Manufacturers across Southeast Asia are grappling with the fallout from a series of unexpected tariff hikes imposed by major trading partners over the past six months. The cumulative effect of these levies, compounded by lingering port congestion and stricter rules-of-origin requirements, has forced many firms to reassess supply chains that were, until recently, taken for granted. Industry analysts note that companies reliant on a single overseas supplier have been hit hardest, as the sudden surcharges have eroded profit margins that were already thin. 'Firms that diversified their sourcing base years ago are weathering this storm considerably better than those that did not,' observed one regional trade consultant, whose remarks were echoed by several manufacturing associations.
In response, a growing number of companies are exploring nearshoring arrangements, relocating portions of their production closer to end markets in order to sidestep punitive duties altogether. Others have opted to renegotiate long-term contracts with existing suppliers, insisting on clauses that allocate a share of any future tariff burden to the supplier rather than absorbing the full cost themselves. Trade attorneys caution, however, that such contract amendments must be drafted carefully; provided that the clauses comply with applicable trade law, they can shield buyers considerably, but poorly worded provisions may prove unenforceable in the event of a dispute. Whichever strategy firms adopt, few expect the current volatility in tariff policy to subside anytime soon.
🎧 Listening Practice
Conversation (Part 3 style)
Teacher: read the script aloud twice (or record it) at natural speed, then ask students the questions below.
Man: Have you seen the latest circular from customs? Apparently the duty on imported auto parts is going up by twelve percent starting next month.
Woman: I caught wind of that yesterday. Honestly, I'd been hoping it was just a rumor, but procurement confirmed it this morning.
Man: So where does that leave the Q4 shipment? We'd already locked in pricing with the supplier in Shenzhen.
Woman: That's the tricky part. Legal is looking into whether we can invoke the force majeure clause, but I wouldn't bank on it.
Man: In the meantime, should we start reaching out to the alternative vendor in Vietnam, just to have a contingency in place?
Woman: I think that's wise. Better to have options lined up than to be scrambling if the Shenzhen deal falls through.
Man: Agreed. I'll set up a call with them by the end of the week.