However They Play Out, Tariffs Do Amplify the Call for Building America’s Electronics Future

At Cascade System Technology (CST), we’ve long believed and recently expressed in our blogs through other means that America’s future — in innovation, in national security, and in economic resilience — depends in large measure on rebuilding and reinvesting in our domestic electronics supply chain and ecosystem.

Last week, of course, all eyes and certainly the headlines were focused on far-reaching round of import tariffs announced by the White House. As of this writing on April 12, 2015, some electronics {such as finished goods like Apple iPhones) and some components (like semiconductors) have just been exempted from the broad array of tariffs the Administration has deployed. Promising news, to be sure!

But putting aside the short- and long-term ramifications of the last two week’ worth of U.S. and global trade machinations, I feel certain their very existence furthers the point I and CST have been making over the last few years: It just makes too much sense to manufacture and source more and more electronics material here in the U.S.!

The positives of U.S.-based sourcing

For original equipment manufacturers (OEMs), sourcing electronics like components, printed circuit boards (PCBs), and complete circuit board assemblies (PCBAs) from U.S.-based suppliers – CST is a perfect example! — offers more than patriotic appeal—it’s a sound business strategy. Here’s are some of the reasons why:

• Lower (or at Least More competitive) Prices — Everyone knows free-trade efforts over the last decades included efforts to increase profits by ‘chasing’ lower-cost labor, cheaper materials, and minimal regulations offered by offshore sourcing. Now that tariffs are adding back some of those costs, domestic sourcing is becoming increasingly more price-competitive, feasible, and attractive again.
• Improved Lead Times — Domestic sourcing reduces the long transit times associated with overseas shipping, which (in turn) accelerates product development cycles, improves time-to-market, and helps OEMs respond quickly to changes in demand.
• Supply Chain Resilience — Global disruptions — from pandemics, to persistent port delays, to shipping pinch-points caused by warfare, to (yes) the current, emerging tariff wars — have combined to expose the fragility of international supply chains. U.S.-based partners help OEMs build more resilient, agile supply networks with faster recovery from such disruptions.
• Better Communication & Collaboration — While Zoom, collaboration and file-sharing software, and other tech-tools ostensibly make distance irrelevant, there remain advantages to partnering and working with suppliers ‘just down the road’ or, at least, in the same country. Proximity fosters clearer communication, faster prototyping, and tighter collaboration on design, quality, and engineering changes. Time zones align. Language barriers disappear. Problems are simply solved faster.
• Quality & Compliance Assurance — U.S. manufacturers adhere to strict regulatory, quality, and traceability standards—often exceeding international norms. For OEMs in sectors like aerospace, medical, defense, and automotive, this translates to greater reliability and peace of mind.
• IP Protection — With U.S.-based manufacturing, OEMs minimize the risk of intellectual property theft — an increasingly critical concern as electronics become more integrated and complex.
• Support for Domestic Innovation — Sourcing locally supports the broader American technology ecosystem — fueling job creation, R&D investment, and the growth of advanced manufacturing capabilities. It also aligns with initiatives like the CHIPS and Science Act, which aim to restore U.S. leadership in electronics and semiconductors.
• Flexibility for Custom and Low-Volume Runs — Many U.S. manufacturers specialize in high-mix, low- to mid-volume production, which is ideal for OEMs requiring fast-turn prototypes, frequent revisions, or complex builds.
• Compound Benefits — Be it tax incentives for R&D; tighter collaborations between higher-ed and private industry; tech-centered economic development initiatives; or STEM-focused workforce development — investments in our domestic, regional, and local electronics ecosystems have a momentum-building, cumulative effect that will raise all boats. The stronger we seek to become, the stronger we will become.

Realizing those same benefits, right here at CST

Whether you’re a medical device manufacturer, clean-energy technology producer, or prime/sub-prime contractor to the military or aerospace sector — and whether you require SMT solutions, PCBAs, microelectronics, conformal coating, or box build support — you’ll see these same advantages to sourcing and onshoring with CST.  Advantages of working with us, as a domestic supplier include:

• Turnkey Manufacturing — At CST, you can develop, build, and procure your finished solution in one stop — including sourcing downstream raw materials (like PCBs), components, and other parts needed for your assembly from our well-vetted suppliers.
• Quick Turn Manufacturing Capability — This allows us to complete your projects fast, including 3-to-5-day turnaround on complex dual-sided boards.
• Entirely In-House Technical, and Manufacturing Quality Reviews — All of the products we develop and manufacture undergo a detailed design, technical, and manufacturing reviews to ensure a smoother and more cost-effective production process. Right here in our Hillsboro, OR facility — our technical team will conduct a thorough analysis of:
  • Gerber file analysis — to identify issues or gaps in your design
  • Component availability and alternates — which can reduce your BOM and associated costs
  • Technical feasibility checks — including suggested design improvements to reduce complexity, enhance manufacturability and repeatability, ensure performance, and accelerate production timelines.
• And an additional assurance: Why take chances on — and incur the additional costs of qualifying from a distance — overseas suppliers, when CST offers the confidence that comes with a hard-earned ISO 9001:2015 Certified Quality Management System and ISO 14001 compliant Environmental Management System?

And as for CST’s response to the tariffs?

For the time being, our approach at CST is to be measured but clear-eyed. We’re staying calm — but we’re not standing still.

We will continue to invest in our people, in our processes, and those technologies that give us and our customers an edge — no matter where the policy- and tariff-winds blow. We’re doubling down on our commitment to do and encourage more sourcing domestically where it makes sense, while also maintaining the global partnerships we need to serve our clients well.

We’ll also encourage policymakers to think of tariffs not as an endgame, but as one piece of a larger strategy. Again, as I’ve written before, that strategy must include:

• Targeted funding, investment, and incentives in the entire electronics ecosystem – chip-makers, for sure, but also the supply base that enables them (“Chips don’t float!”)
  • CASE IN POINT: Give a listen to my recent testimony at a hearing of the Oregon State Legislature House Committee On Economic Development, Small Business, and Trade (held on 03/19/2025). My comments supporting investments in the infrastructure surrounding semiconductors can be heard at the 1:24:54 mark!
• Focus in and Incentives for reshoring electronics manufacturing capabilities of all kinds
• Stronger ties and collaboration between industry and higher education
• A long-term workforce development plan for the electronics sector

The bottom line

Trade and tariff aside, I and all of my colleagues here at Cascade Systems Technology believe America can lead the world in electronics. We believe that the Pacific Northwest and companies like ours will shape that future with the right strategy that achieves readiness and self-reliance.

CST is here to do its part to create that future!

–  Shantanu R. Gupta,
President & CEO, Cascade Systems Technology

Share on Facebook

Tweet

Follow us