Cavallo Helps Distributors Manage New Tariff Volatility and Protect Profitability

New broad-based tariffs pose major challenges for distributors and manufacturers

GRAND RAPIDS, Mich., April 4, 2025 /PRNewswire/ -- A wave of new tariffs is hitting global supply chains, and distributors are facing sudden cost spikes that can quietly erode margins and sink profits. Cavallo, the leader in AI-powered Profit Maximization, today announced new capabilities designed to combat tariff-driven margin leakage and give distributors the tools they need to act fast.

Cavallo's solutions identify tariff-driven margin leakage, enforce intelligent quoting and approval guardrails, and enable precise, real-time pricing adjustments. With deep margin visibility, distributors can see exactly how tariffs are impacting profitability—down to the penny—and take immediate action to protect their bottom line.

"Distributors face a multitude of challenges as international trade policies become more volatile, and a single tariff decision can quickly lower profit margins and cause financial strain," said Mike Biwer, CEO of Cavallo. "Our software empowers distributors with greater control over the order process. By automatically catching orders impacted by trade regulations before they are processed, and applying business rules and workflows, our customers can more easily navigate and manage tariffs to protect their bottom line."

Trade policy shifts and tariff volatility require new solutions to help distributors manage unpredictable costs and protect profit margins. A 2-3% margin swing on high-volume orders can turn revenue growth into a net revenue loss if distributors are unknowingly selling products below profitability thresholds. In addition, tariffs impact business strategies like pricing and sales compensation.

Many distributors still rely on manual workarounds to manage tariffs, often burying them in lump-sum costs or generic tax fields within their ERP. This outdated approach creates blind spots that threaten profitability.

Cavallo eliminates that risk with purpose-built tools designed to help protect margins in real-time and understand, down to the penny, where and how tariffs are impacting the bottom line. With Cavallo, distributors can respond faster, price smarter, and protect margin where it matters most.

To learn more, visit www.cavallo.com/tariff.

About Cavallo

Cavallo is a leader for AI-driven Profit Maximization. Its platform integrates with top ERP systems to ensure flawless orders and deliver actionable insights to optimize revenue streams for distributors, manufacturers, and product-centric brands. Its real-time analytics and advanced workflows also help businesses enhance customer retention and align sales and marketing initiatives. Cavallo's mission is to help customers to maximize profits at scale. For more information, visit www.cavallo.com.

Media Contact:
Jacob Harvey
Catapult PR
jharvey@catapultpr-ir.com

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SOURCE Cavallo