Cross-border infrastructure fuels expansion, return policies shape buying, and volatility strains supply chains

Ian Sinclair

Ian Sinclair

EVP, Commercial Solutions

ISinclair@nls.ca

National Logistics Services
150 Courtneypark Drive West
Mississauga, Ontario

In turbulent economic times, a true logistics partner can scale up, optimize and help your fast-moving enterprise adapt and thrive. 

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Recently in Logistics; Cross-border expansion into Canada or the U.S. demands more than fulfillment, with returns playing a critical role. Cashew research shows 47% of shoppers hesitate to buy when return shipping is not free. A U.S. Supreme Court ruling striking down key tariffs has reshaped trade policy while creating uncertainty around refunds and future duties. Ontario courts have granted cross-border protection to Eddie Bauer’s 24 Canadian stores amid its U.S. Chapter 11 case. Walmart Canada is expanding its beauty offering to attract younger, value-focused shoppers following Hudson’s Bay’s closure.

Expanding into Canada or the U.S. requires more than shipping product. Brands must manage customs, tax compliance, fulfillment, customer service, and payment operations to meet local expectations. International companies that build the right cross-border infrastructure and partner with experienced logistics providers can reduce upfront risk, simplify market entry, and create a scalable foundation for North American growth.

Research from Cashew shows 47 percent of shoppers hesitate to buy when return shipping is not free, positioning returns as a trust signal that influences conversion before checkout. The study of 2,000 consumers across Canada and the U.S. found that unclear policies, weak sizing guidance, and process friction reduce repeat purchases, with older shoppers accounting for a large share of returns. Retailers that simplify returns and improve product fit information can strengthen revenue and long-term loyalty.

A U.S. Supreme Court decision invalidating key tariffs has reset trade policy while creating uncertainty around potential refunds and future duty structures. Shifting authorities and unclear timelines are complicating cost planning, sourcing strategies, and customs compliance. At the same time, cartel-related violence in Mexico is disrupting major freight corridors, adding routing, capacity, and security risks to cross-border supply chains.

The Ontario Superior Court has recognized Eddie Bauer’s U.S. Chapter 11 case, placing its 24 Canadian stores under coordinated cross-border protection. With declining sales, rising costs, and US$1.74 billion in funded debt, the retailer is pursuing a dual-track process to secure a buyer or conduct an orderly wind-down. While stores remain open, the outcome will determine its Canadian retail future and reflects broader strain across legacy apparel chains.

Walmart Canada is expanding its beauty assortment to capture value-focused and younger shoppers following Hudson’s Bay’s closure, emphasizing masstige brands, exclusives, and accelerator-backed labels. Additions such as MCoBeauty, DAISE, and Bubble Skincare support broader national rollouts and exclusive partnerships. The retailer is also entering higher-tech categories with LED beauty devices and AI-powered skin analysis, reinforcing its position as a growing mid-market beauty destination.

Are your logistics needs being addressed in 2026? Let’s explore your eCommerce fulfillment strategies. You can book a brief call with our team of seasoned logistics professionals to evaluate your needs and formulate a customized plan to propel your business forward.

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NLS Logistics Team Communications
As a leading Third Party Logistics (3PL) firm, we have the strategic infrastructure, technology relationships, and insights to help Canadian and international brands reach and serve the Canadian market
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