59% of Product Leaders Say Tariffs Are Rewriting Innovation Roadmaps

Tariffs are not only driving up import costs but also prompting product teams to reprioritize supply chains, pricing and technology investment. A PYMNTS Intelligence report released in December 2025 surveyed 60 product executives at U.S. midsize companies with annual revenue of $100 million to $1 billion, highlighting that procurement and production operations were the first to feel the pressure.

PYMNTS reported on March 3, 2026, that new tariffs had continued to be announced after the U.S. Supreme Court struck down most of the Trump administration's tariffs on February 20. Among executives at goods companies, 59% said their businesses had shifted from long-term innovation to cost-cutting adjustments, while 47% said tariffs were hurting their finances. Across the full sample, 60% said uncertainty was constraining funding for AI and automation.