FactSet, a financial data, market insights, and analytics company, found that 259 S&P 500 companies mentioned “tariff” or “tariffs” in their earnings calls between December 15, 2024, and March 6, 2025—more than in any other quarter in the past decade.

As treasurers and their teams brace for reciprocal tariffs, Bottomline—a global leader in business payments and cash management—and Strategic Treasurer, a leading treasury consulting firm, have partnered to launch a flash survey aimed at capturing real-time Q1 2025 data on how treasury and finance professionals are thinking about new and potential tariffs and responding to U.S. President Donald Trump’s tariff gambit. ⃰  

Titled “2025 Tariffs & Treasury: Measuring the Impact”, the survey provides a comprehensive industry analysis, helping gauge monitoring efforts, levels of concern, and strategic actions taken to manage tariff-related challenges.

Among its key findings, “41% of survey respondents (corporates and banking) indicated that their management asked for additional information on the potential impact of tariffs in the past three months”, said Craig Jeffery, managing partner at Strategic Treasurer, highlighting the growing urgency among treasury and finance teams to assess and mitigate tariff-induced risks.

Here are some more of the key findings:

Sixty-eight percent of companies are actively preparing for tariff impacts  

More than two-thirds of companies (68%) have been actively preparing for tariffs and their potential impact. Nearly half (47%) have identified associated risks or exposures, while a third (33%) have ramped up monitoring efforts or are collecting more information, data, or news to stay ahead.

Source: 2025 Tariffs & Treasury: Measuring the Impact

In a recent webinar titled “From Tariffs and Chaos to Control”, sponsored by Bottomline and hosted by Strategic Treasurer, which highlighted the results of the aforementioned flash survey, Leonardo (Leo) Gil, Vice President of Product at Bottomline, observed, “There’s a lot of pressure within the finance function to turn this identification of risks and awareness into action. It's not just about risk mitigation but also about enabling data-driven decisions that facilitate strong cash management practices, forming the foundation of the agility of the Office of the CFO.”

Gil further added that, amid increased uncertainty, the critical questions are: Do we have the liquidity to move? Do we have the liquidity to pivot? Can we absorb inflow delays or higher costs?

A significant portion of organizations (24%) are also employing scenario modelling techniques to proactively consider various tariff outcomes. This strategic approach allows them to mitigate risks, optimise resource allocation, and respond swiftly to evolving trade dynamics. By simulating different tariff scenarios, organizations can better navigate uncertainties and strengthen their financial and operational resilience.

Impact of tariffs and potential tariffs on organizations

About 29% of companies report no noticeable impact so far, while 15% are unsure of any effects. However, the majority have already observed specific effects or taken action in response.

Source: 2025 Tariffs & Treasury: Measuring the Impact

Key impacts range from efforts to manage exposure to cost-related challenges and adjustments in inventory or sourcing strategies.

“Nearly a third of organizations believe that tariffs have led them to rethink how they manage exposure. That’s a big shift. It tells us that companies aren't just reacting—they're realizing that risk exposure isn’t something to assess only once a quarter. It's something you need to be managing dynamically, sometimes even daily”, remarked Gil.

He went on to say, “This is where treasury plays a central role. It helps the business understand where risks exist, how they are evolving, and what levers are available to mitigate them. That could mean anything from monitoring currency fluctuations and counterparty risk to evaluating trade terms or identifying vulnerabilities across regions or suppliers.”

Almost a quarter (22%) of companies reported an increased need for working capital or financing due to tariffs. Given that tariffs can lead to earlier payment demands from suppliers, higher input costs, or even inventory stockpiling, this puts considerable pressure on cash management.

“Suddenly, treasury needs to reevaluate capital allocation, credit lines, and liquidity buffers—everything in real-time. This is where treasury becomes the connector between finance and operations. It’s not just about knowing how much cash is available, but also about forecasting what the business will need, when it will need it, and why. Ensuring the right structures are in place is crucial”, explained Gil.

Gil expanded on this by emphasising, “What’s powerful about these two data points—exposure management and increased working capital needs—is that, ultimately, tariffs are just a disruption. They serve as a catalyst for change. The key is how organizations approach their financial resilience. The good news is that treasury is at the center of it all. Teams that proactively identify risks, align capital strategy with business operations, and build flexibility will help their organizations weather this volatility successfully.”

Beyond increased working capital or financing needs, some organizations are proactively leveraging risk management tools to lower the risk of financial distress associated with tariffs. Seventeen percent of respondent organizations stated that tariffs and potential tariffs have led them to execute trades or hedges to manage risk exposure. Given the uncertainty surrounding trade policies, these hedging strategies likely aim to stabilize pricing, protect margins, and reduce supply chain cost volatility.

While the most commonly cited impact was the need to develop approaches for managing exposure, at the other end of the spectrum, only 6% of respondents reported a positive outcome, such as increased domestic sales or improved competitiveness.

Investments, automation, and collaboration: Treasury’s strategic action to address tariff-driven challenges

When asked about the areas where organizations plan to increase investments in response to heightened risks, approximately half of the companies (51%) stated they are unsure about where to invest.

“That’s half of the market essentially saying, we know there’s a risk, but we just don’t know what to do about it”, Gil pointed out.

Among the organizations that indicated a greater likelihood of increased investment during times of elevated risks, the most notable areas include investment in technology solutions to identify and monitor risks (17%), consulting services (14%), and data services (13%).

From a risk management consulting perspective, Craig Jeffery of Strategic Treasurer advises corporations: “To the extent that there is significant uncertainty —whether from pending elections or tariff battles—corporate finance departments become increasingly cautious. They seek to operate within a range of expectations, and when it is difficult to determine that range, they assume an increasingly wider set of potential outcomes and must assign risk weightings to various potentialities as best they can. Companies that can better calibrate those individual weightings are able to better reduce the overall range of economic impact they need to address.”

Beyond consulting services, what can help finance chiefs and treasurers prepare for uncertainties—particularly the unknowns regarding the magnitude and volatility of tariffs or potential tariffs—is to ensure visibility into all cash flows and cash balances. Maintaining a clear cash position allows them to respond quickly and strategically.

Leo Gil, in the latest Treasury Update Podcast, where he and Craig Jeffery of Strategic Treasurer explored how tariffs impact treasury, recommended: “Having complete (100%) or even real-time cash visibility is paramount to reacting faster. Next, automation is critical. If organizations can aggregate all their bank data globally across accounts in an automated way and integrate that data with ERP systems, AP, and AR, they gain a comprehensive view of inflows and outflows. Automated reconciliation of transactions and bank accounts puts them well ahead of the game.

“With these capabilities in place, finance organizations and treasurers free up valuable time to analyze data, monitor news, run scenario modelling, and secure a seat at the company’s strategic table. This enables them to contribute to early decision-making and ask the right questions to navigate uncertainties effectively,” he noted.

To further reduce the impact of tariffs, strong collaboration between the Treasury office, the CFO, and the board is vital to align on the company's strategic direction and leverage their collective insights to better anticipate risks.

Additionally, Gil advocates, “Breaking down silos between Treasury, AP, AR, and procurement is key to fostering seamless collaboration. When these functions work together efficiently, the organization becomes more agile and resilient, ensuring long-term success.”

Moreover, reviewing our article, Five steps to help CFOs and Treasurers mitigate the impact of new or higher tariffs, can aid CFOs, treasurers and their teams in addressing the challenges posed by tariffs while enhancing their preparedness for potential trade disruptions.

Trump’s new baseline tariff and reciprocal rates

President Trump’s new 10% baseline across-the-board tax on all U.S. imports, effective April 5, is accompanied by what he terms “kind” reciprocal tariffs on approximately 60 countries or trading partners. These tariffs, which go into effect on April 9, target what the White House described as the "worst offenders", including the European Union, China, Japan, Vietnam, South Korea, Taiwan, and India. Additionally, a 25% tariff on all foreign-made automobiles took effect on April 3.

Source: The New York Times, April 2, 2025; data from the White House, Observatory of Economic Complexity. Notes: Trade balance and import share figures based on 2024 trade data.

Trump’s sweeping tariff plan—designed to boost government revenue, correct trade imbalances, and protect American manufacturers—is expected to reshape the global economy, financial and energy markets, trade networks, supply chains, and geopolitical dynamics, while significantly influencing corporate strategies and operations.

Trump's "Liberation Day" tariffs will also likely make the CFO’s and corporate treasurer’s jobs more complex and challenging. They may further amplify business uncertainty and unpredictability as inflation concerns grow and speculation about a potential recession or stagflation in the U.S. economy intensifies.

In this environment, finance leaders, treasurers and their teams must dedicate more time to gathering and analysing relevant information, data, and news, and then integrate that into their forecasting, planning, and decision-making processes. In this context, downloading the 2025 Tariffs & Treasury: Measuring the Impact survey report, continuing to read CTMfile content, and tuning into the Treasury Update Podcast will arm them with insights to build the tariff muscle needed to combat the tariffs rollout.

 

⃰ Disclosure: Strategic Treasurer owns CTMfile.