In a home textiles market disrupted by tariff volatility and evolving supply chains, Caldeira, a U.K.-based decorative pillow manufacturer, is capitalizing on a unique advantage. With one of the lowest fixed tariff rates to the U.S. at 10% and a newly established Liverpool-to-New York shipping route cutting container transit time to just 10 days, the company holds a strong competitive edge.
CEO Tony Caldeira describes this as being “as close to domestic as you can get without producing in North America.” This advantage comes as many competitors grapple with steep tariff hikes on imports from India, China, and other sourcing hubs. Caldeira warns retailers not to expect relief, pointing to tariffs as high as 50% already imposed on India, along with challenges involving China and Mexico.
To strengthen its market position, Caldeira has expanded warehouse capacity at its Liverpool headquarters by 25%, doubled showroom space, and continues to explore U.S. growth through potential partnerships or acquisitions. Currently, the U.S. accounts for roughly half of the company’s total exports, supported by its Manhattan showroom.
Despite its advantages, Caldeira acknowledges intense pricing pressures from retailers. He emphasizes that while aggressive negotiations are part of current market conditions, the company’s fixed tariffs, short lead times, and strong design offerings keep it ahead of the curve. Furthermore, its extensive supply chain allows for diversified manufacturing while still benefiting from the 10% tariff rate.
With its faster Liverpool-to-New York shipping and fixed tariffs, Caldeira is positioning itself as a near-domestic vendor for U.S. retailers, offering both reliability and speed in a challenging market.
