As the global trade landscape shifts dramatically with new tariffs on imports from China, businesses face crucial decisions about their procurement strategies for essential equipment and security solutions. With recent tariffs reaching as high as 145% on many Chinese goods, companies are reevaluating their supply chains and security investments. In this climate of economic uncertainty, physical security for valuable business assets—particularly mobile devices like laptops—cannot become collateral damage of cost-cutting measures. The impact of current tariff policies on business technology procurement highlights the growing threat of physical asset theft. Luckily, LapLok is manufactured in India.

The New Tariff Reality and Its Business Impact

The business landscape has been dramatically altered by recent trade policies. In April 2025, the Trump administration imposed a minimum tariff rate of 145% on most Chinese goods imported to the United States. While some technology products received temporary exemptions, the exemptions appear to be limited and uncertain, with officials signaling that separate tariffs targeting semiconductors and the electronics supply chain are forthcoming in the next 1-2 months.
These trade policies have created significant disruption across supply chains. According to a CNBC Supply Chain Survey, the most widespread reaction to the Trump tariffs has been the cancellation of orders, reported by 89% of respondents, with 61% indicating they would raise prices for products that are still being imported under the new tariff rates. The majority of businesses estimate that building new domestic supply chains would cost around double (18%) or more than double (47%) their current costs.
For the technology sector specifically, these tariffs create a complex challenge. While major devices like smartphones and computers received a temporary exemption from the reciprocal tariffs, many computer accessories and peripheral devices remain subject to the steep tariffs. This creates a challenging environment for businesses that need to secure their physical assets with specialized security equipment, much of which has traditionally been manufactured in China.

The Growing Threat to Physical Assets

While businesses navigate this uncertain trade environment, the threat of physical asset theft continues to grow. With the average cost of a data breach reaching $4.88 million in 2024, organizations cannot afford to overlook physical security measures that prevent device theft in the first place.
The statistics on theft are alarming:
  • Every day, over 1,600 laptops go missing from U.S. airports alone
  • The cost of stolen business data and resulting problems (identity theft, credit card fraud, privacy breaches) can be many times the value of the laptop itself
  • Physical theft represents a significant portion of security incidents
  • Small businesses are particularly vulnerable, with 22% reporting employee theft experiences
As the global laptop market continues to grow, with shipments expected to reach 193.6 million units in 2025, the pool of potential targets for theft expands. This problem is compounded by the fact that approximately 75% of newer laptop models no longer come with built-in cable lock slots, removing a traditional security option that many businesses have relied upon.

Why Physical Security Should Not Be Compromised

In an era where cybersecurity dominates the security conversation, physical security remains a critical first line of defense. No amount of sophisticated encryption or network security can protect data on a device that has been physically stolen. Consider the following:
  1. Cost-Benefit Analysis: The cost of implementing physical security measures is minimal compared to the potential losses from device theft—not just the hardware replacement costs, but the far more significant costs associated with data breaches, intellectual property theft, and regulatory compliance violations.
  2. Remote Work Vulnerabilities: With more employees working in public spaces like cafes, airports, and co-working facilities, the opportunities for opportunistic theft have multiplied. Physical security devices that can secure laptops to fixtures provide essential protection in these environments.
  3. Insurance Requirements: Many business insurance policies require reasonable security measures to be in place before covering losses from theft. Physical security devices offer a tangible demonstration of due diligence.
  4. Regulatory Compliance: For businesses in regulated industries, demonstrating physical security measures for devices containing sensitive data is often a compliance requirement.

The Indian Manufacturing Advantage: Beyond Tariff Avoidance

As businesses seek alternatives to Chinese-manufactured security products, Indian manufacturing offers several compelling advantages beyond simply avoiding punitive tariffs:
  1. Tariff Stability: With current U.S. trade policies heavily targeting Chinese imports while seeking to build stronger trade relationships with India, products manufactured in India offer greater price stability and predictability for procurement planning.
  2. Supply Chain Diversification: Relying on security products from India helps businesses diversify their supply chains, reducing overall risk exposure to trade disruptions with any single country.
  3. Quality Manufacturing: India has developed robust manufacturing capabilities for precision electronic and hardware products, with quality standards that meet or exceed international requirements.
  4. Ethical Production: Indian manufacturing operations typically operate under stronger labor and environmental standards than many Chinese facilities, helping businesses meet their ESG (Environmental, Social, and Governance) commitments.

LapLok: A Case Study in Trade-Resilient Physical Security

In this challenging environment, LapLok offers a compelling example of how businesses can maintain robust physical security while navigating the complexities of international trade policies. As a universal laptop security solution manufactured in India, LapLok provides several key advantages:
  1. Tariff Advantage: By manufacturing in India rather than China, LapLok avoids the punitive tariffs currently imposed on Chinese imports, allowing for more stable pricing and availability.
  2. Universal Compatibility: Unlike traditional cable locks that require built-in security slots (which 75% of newer laptops no longer have), LapLok works with any laptop model, providing a future-proof security solution.
  3. Portability and Convenience: Weighing less than one pound and designed to be approximately the size of a smartphone, LapLok provides robust security without the bulkiness of traditional locking systems.
  4. Multiple Security Functions: LapLok offers dual functionality, able to secure both laptops and bags simultaneously, making it an ideal solution for professionals who work in public spaces.
  5. Innovative Design: The system includes an intelligent password management system and robust materials that resist tampering and theft attempts.

Recommendations for Business Decision-Makers

As businesses navigate the complexity of current trade tensions while maintaining appropriate security measures, we recommend the following approach:
  1. Inventory Assessment: Conduct a thorough assessment of your current physical security measures for mobile devices, identifying potential vulnerabilities.
  2. TCO Analysis: When evaluating security solutions, look beyond the immediate purchase price to consider the total cost of ownership, including potential tariff increases, data breach risks, and insurance implications.
  3. Supply Chain Diversification: Prioritize security solutions from countries with stable trade relationships with the United States, such as India, to minimize future procurement disruptions.
  4. Security Policy Updates: Ensure that your security policies explicitly address physical device security, particularly for employees working remotely or in public spaces.
  5. Education and Awareness: Implement regular training programs to ensure employees understand the importance of physical device security and proper use of security devices.

The current trade environment presents significant challenges for businesses seeking to protect their physical assets. However, these challenges also create an opportunity to reevaluate security strategies and implement more resilient approaches. By prioritizing physical security solutions that are manufactured outside of China—such as LapLok's India-manufactured products—businesses can maintain robust protection for their valuable devices and data while avoiding the uncertainty and cost increases associated with punitive tariffs.
In an age where data is among a company's most valuable assets, the physical security of the devices that contain and process that data cannot be compromised. By making strategic investments in tariff-resilient security solutions, businesses can ensure that their physical security posture remains strong regardless of shifts in international trade policies.