Footwear industry pleads for tariff relief amid crisis

In late April 2025, the Footwear Distributors and Retailers of America, representing major U.S. footwear brands, reached out to President Donald Trump requesting exemptions from his imposed tariffs. This request comes as the footwear industry faces dire challenges due to Trump's newly announced reciprocal tariffs, which the trade group described as posing an "existential threat" to the sector. The letter was signed by 76 brands, including notable companies such as Nike, Adidas, and Skechers, and highlighted the pressing need for tariff relief to prevent potential shortages in footwear inventory. The association indicated that many of its members have already been affected, with numerous orders placed on hold and a risk of low inventory for American consumers. The significant duties on footwear products, which can range from 150% to 220%, have increased operational costs for businesses, leading to concerns about passing these costs onto consumers in the form of higher retail prices. As the U.S. tariff regime escalates, domestic companies are warning of the ramifications this will have on sales, consumer prices, and overall supply stability within the market. The footwear organizations wrote in the letter that without immediate relief, many companies might be forced to close. Adidas and Nike have previously warned that these tariffs could lead to a downturn in sales, jeopardizing jobs and economic stability within the industry. The ongoing uncertainty surrounding tariff rates, particularly concerning products sourced from China, Vietnam, and Cambodia, means that footwear firms are struggling to adapt their business models quickly enough. Overall, the footwear industry has been advocating for urgent action to stave off a crisis, emphasizing that the current tariff situation not only disrupts their operations but also contradicts the administration's broader goals of revitalizing U.S. manufacturing. The call for tariff exemptions, which was formally presented to Trump on April 29, emerged from a growing recognition that the trade policies are detrimental to the very businesses that the administration aims to support.