America’s tariffs on foreign goods offer a golden chance for tribes to create long-lasting income streams and manufacturing jobs, according to a veteran tribal rights lawyer.
Tribes’ legal status of being part of the United States as a whole but not of the state where their land is located gives them the capability to import materials into a federally sanctioned Tribal Trade without paying tariffs, said Gavin Clarkson, with the Howard and Howard business law firm.
The parts then could be assembled on tribal land and sold without ever paying a tariff
“The opportunity for Indian Country to try onshore manufacturing with this existing tariff regime does several things. It reduces costs potentially, but it also reduces uncertainty,” said Clarkson, a member of the Choctaw Nation of Oklahoma. “Tariffs might go up, might go down, but on Indian country in a Tribal Trade Zone, it stays at zero.”
Clarkson spoke at a Global Gaming Expo (G2E) panel titled “Tariffs, Trade … and Tribes?,” with fellow panelists Andrew Masiel, who is serving his fifth term on the Pechanga Development Corp., and Kip Ritchie, CEO of Potawatomi Ventures (formerly known as Potawatomi Business Development Corp.). Moderating the discussion was Cory Blankenship, executive director of NAFOA, founded in 1982 as the Native American Finance Officers Association.
Clarkson emphasized that efforts to establish tariff-free trade zones are not a method to “get around” importation laws because tribes’ inherent rights to tariff-free importation were acknowledged in the 1794 Jay Treaty between the U.S. and Great Britain and in the 1814 Treaty of Ghent, also between those countries.
“It’s not trying to evade anything,” Clarkson said of the trade zones. “Evading is illegal. Avoiding is American.”
Blankenship said the tariffs announced in April 2025 raised costs for commercial and tribal operators alike, with WarHorse Casino in Nebraska reporting about $3 million in additional costs within two days of the increased tariffs for imported steel, wood, carpeting, and other essentials for capital projects.
Amid the cost pressures and continued legal wrangling over tariffs, tribes have a unique opportunity, he continued.
“Can Indian Country be part of the solution? Not just an industry for absorbing tariff costs, but a location that helps gaming equipment manufacturers and others reduce their exposure altogether. That’s the landscape,” Blankenship added.
Ritchie said Potawatomi Ventures sees “a great opportunity” to increase its role in the national supply chain, but “it’s all about making sure we can be successful.” The corporation is studying what land, expertise, and other resources would be required and which projects would align with tribal goals.
Masiel said tariffs have increased costs for a cogeneration power plant the tribe is constructing because many components are available only from overseas producers. He told of experiences with obtaining slot machines and other equipment from Canada and Mexico, citing problems that arose from outside competition and other changes.
“You always have to bear in mind the complications and how things change, and mobilize,” he said.
Clarkson outlined how tribes could establish tariff-free trade zones throughout the country and he advised leaders to do extensive research about any potential operations to be brought to their lands. Initial steps include identifying products highly impacted by tariffs, determining which could be produced in the United States, calculating the land requirements, and setting up the legal infrastructure.
Processes such as programming firmware generally require a smaller footprint than manufacturing plants, he added.
Masiel said he sees a growing trend of tribes working together to accomplish goals. “It used to be you did it yourself and got it done,” he said. “Tribes are now thinking globally. It’s not just domestic enterprise.”
