The following are key insights from my interview with Forbes contributor Elaine Pofeldt, published on April 22, 2025. This excerpt highlights my thoughts on the current e-commerce landscape. To read the complete interview and article, please visit the Forbes website.
I was recently interviewed by Forbes contributor, Elaine Pofeldt, on the recent increases in tariffs and the state of e-commerce in 2025. Here are some of my thoughts.
Adapting to the New E-Commerce Landscape
As the founder of the 7 Figure Seller Summit, I’ve had a front-row seat to the seismic shifts occurring in e-commerce this year.
In my recent Forbes interview, I discussed how the implementation of 145% tariffs on Chinese imports has fundamentally altered the landscape for thousands of online sellers.
“This has been my biggest concern—and top of everybody’s minds,” says Gary Huang, a veteran e-commerce entrepreneur. “There’s a lot of uncertainty in the supply chain world. At 145%, it’s not cost-effective to import from China anymore, especially for brands operating on razor-thin margins—like those in the electronics niche.” — Forbes, April 22, 2025
During our conversation, I emphasized that this tariff situation is the predominant concern across our community.
When you’re looking at a 145% tax on imports, the math simply doesn’t work for most businesses, particularly those in competitive niches where margins were already slim.
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Finding New Markets and Solutions
In the interview, I discussed several market adaptations we’re seeing in response to these tariff challenges. “Some e-commerce sellers are expanding to Canada,” I noted.
“It’s a smaller marketplace, but it could be more profitable because there’s less competition and no China tariffs.”
I also pointed out that
“no one country can replace China in terms of product selection, quality, and vertically integrated supply chains,”
though we’re seeing factory owners adapt by opening facilities in Southeast Asia.
The AI Revolution in E-Commerce
In my Forbes interview, I emphasized how artificial intelligence has become a crucial survival tool amid these supply chain challenges.
Our 7 Figure Seller Summit this year has the theme “Ecom Sellers Strike Back,” focusing on how sellers can leverage AI to counterbalance rising costs.
I shared several key AI trends that are transforming our industry:
Customer service automation
“With AI agents and bots, you can reduce a lot of manual work,” I explained. AI can draft responses based on your brand voice that customer service staff can quickly review and send.
Generative Engine Optimization
We’re moving from traditional keyword-based SEO to what I call “GEO” – which is more intent-based and context-based. This shift aligns with how modern AI search systems work.
AI-powered search transformation
Amazon’s Rufus AI chat assistant represents “a huge shift in the models of e-commerce,” changing how customers discover products on the platform.
Enhanced listings through AI copywriting
Tools like Helium 10 and DataDive are revolutionizing product listings. “Using AI tools, foreign sellers can write almost native-level copywriting… the language barrier for domestic American sellers is no longer a barrier.”
Competitive analysis acceleration
AI dramatically speeds up competitor research. “Now, with AI tools, you can download a spreadsheet of reviews, upload it into ChatGPT, and ask it to be a market researcher. It can spit out the top five problems in minutes.”
Revolutionary image generation
ChatGPT 4.0’s image generation is “leaps and bounds better” than previous versions. Sellers can now use AI for about 80% of their graphic design work.
Audio innovation
Creating product jingles once required hiring an agency. Now, “you can use Suno to create a jingle in just minutes with a text prompt.”
Conclusion
I concluded my Forbes interview with a note of cautious optimism:
“For the brands that survive, this is an opportunity. There could be a shakeout, and six to twelve months down the line, the landscape might be less competitive.”
The e-commerce market continues to expand dramatically, growing to $26.8 trillion in 2024, with projections reaching $214.5 trillion by 2033, according to IMARC Group.
For those who successfully navigate these challenges by finding new markets and leveraging AI effectively, substantial rewards await.
These are key takeaways from my interview with Forbes contributor Elaine Pofeldt, published on April 22, 2025. The original article titled “E-Commerce Sellers Band Together to Navigate Tariffs, Supply-Chain Challenges—and AI” contains additional insights and perspectives. To read the full article, please visit the Forbes website.