Summary:
Logistics startups born from pandemic challenges are thriving.
Project44 helps clients assess costs of shipping before tariff dates.
Altana offers a tariff simulator to measure financial impacts.
Demand for logistics solutions is at an all-time high.
Five out of eight new clients for Altana were secured in just over a week.
The Surge of Logistics Startups
Startups that emerged during the pandemic to tackle supply chain challenges are experiencing a remarkable resurgence. Companies are gearing up for U.S. tariffs that are currently in flux, as highlighted by The Wall Street Journal.
Project44's Innovative Solutions
Chicago-based Project44 has recently partnered with multinational clients across sectors like retail. They provide customized software that helps businesses analyze whether shipments can arrive before tariff implementation dates. This involves assessing costs associated with expedited shipping versus paying tariffs.
“Is it cheaper to put products on an airplane and have it arrive before the tariff date, or stay on the ocean and pay the 20 percent?” - Jett McCandless, Founder and CEO of Project44.
The Tariff Landscape
In addition to tariffs on Chinese goods, the Trump administration has imposed 25% levies on products from Mexico and Canada, with some tariffs postponed to next month.
Altana’s Tariff Simulator
Another startup, New York-based Altana, launched a “tariff simulator” in January. This tool helps clients measure the financial impacts of tariffs and discover alternative suppliers globally who may not be affected by these tariffs.
“There’s definitely a ton of demand,” says Evan Smith, Co-founder and CEO of Altana. “Big shocks in the system tend to be very helpful for our business.”
Since the release of their software, Altana has secured deals with eight large enterprise customers, with five contracts finalized in just the past week and a half.
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