Cavela’s AI-driven platform disrupts supplier sourcing by enabling multi-country manufacturing negotiations

San Francisco-based AI startup Cavela has secured $6.6 million in seed funding to revolutionise supplier sourcing for brands navigating rising tariffs and trade shifts, leveraging autonomous AI agents to automate and optimise global manufacturing partnerships.

In 2025, Cavela, a San Francisco-based AI startup founded by Anthony Sardain in 2023, secured $6.6 million in seed funding to transform the complex and often costly process of supplier sourcing for brands, particu...

larly small and midsize companies. This funding round was co-led by XYZ Venture Capital and Susa Ventures, with participation from Crossover Capital. Cavela’s AI-driven platform uses autonomous agents to automate the discovery and negotiation of manufacturing partnerships across more than 40 countries, addressing a pressing challenge faced by businesses seeking alternatives to traditional Chinese manufacturing hubs amid rising tariffs and geopolitical shifts.

Anthony Sardain, who has a personal connection to Asian trade hubs through his family and upbringing across Malaysia, Hong Kong, Thailand, Singapore, and mainland China, highlights the difficulties brands face when trying to establish new supply chains outside of China. “You don’t just walk into Vietnam and build up a supply chain,” he told TechCrunch. Many brands become locked into a single supplier to mitigate risks, especially those without dedicated global sourcing teams. Cavela’s AI agents aim to break that dependency by acting as a virtual procurement team, capable of processing the multifaceted data involved in manufacturing, such as text, images, diagrams, and blueprints, something that was previously unfeasible without the advancement of generative AI.

The company’s technology enables brands to upload comprehensive product details, which the AI uses to identify and contact dozens of potential suppliers via digital communication channels like WhatsApp, email, or text message. This automated outreach gathers critical information regarding manufacturers’ production capabilities, lead times, and quotes. Brands receive consolidated proposals in their inbox within days, significantly reducing the traditional back-and-forth communication burden. Following this, companies typically review samples from shortlisted suppliers before selecting final production partners.

Cavela estimates that its customers not only expedite the supplier sourcing process but also achieve an average production cost saving of around 35%. Sardain explains the advantage this scale of sourcing offers: “If you get 100 quotes, you’re going to, by chance, land on a much lower price, and you’re also going to get a much better supplier in the process.” Customers such as Western Welder Outfitting and The Longhairs have reported finding manufacturers with pricing below pre-tariff levels, underscoring the platform’s potential to counteract the inflationary effects of current global trade barriers.

The startup’s advancing technology stands in line with growing market trends where AI is increasingly deployed to optimize operational inefficiencies in supply chains. While giants like Alibaba offer broad supplier networks primarily concentrated in China, Cavela’s AI-powered approach offers a tailored, multi-country sourcing solution designed to navigate increasingly fragmented and tariff-impacted trade environments. Other competitors like Pietra also leverage AI in brand operations, but Cavela’s unique focus on autonomous AI agents performing comprehensive, data-driven supplier negotiations distinguishes it in the landscape.

The newly acquired funding is set to accelerate enhancements to Cavela’s AI capabilities and software tools, aiming to refine its autonomous sourcing agents and expand client support. This infusion marks a significant vote of confidence from investors seeking to capitalise on the growing demand for resilient, cost-effective, and tech-enabled manufacturing supply chains, particularly as brands adjust to an evolving geopolitical landscape that demands agility beyond traditional sourcing paradigms.

In sum, Cavela’s innovative use of generative AI to automate and optimise supplier sourcing represents a notable evolution in how brands can mitigate rising production costs and reduce reliance on single-country supply chains. This approach offers a pragmatic solution for businesses contending with the ripple effects of tariffs and global trade realignments, empowering them to access diversified manufacturing networks while streamlining negotiation and procurement efforts.

Source: Noah Wire Services