A group of leading companies in the footwear industry, such as Nike, Under Armour, Puma, and the U.S. subsidiary of Adidas, have sent an urgent joint letter requesting immediate action to address the situation created by the tariffs imposed by U.S. President Donald Trump. In the letter, the companies warn that the tariffs will not lead to the return of footwear manufacturing to the United States, as this would require significant capital investment and years of planning to relocate supply sources.
In the letter dated April 29, the American Apparel and Footwear Association expressed its concerns and urged the Trump administration to consider tariff exemptions for their products. They argued that the tariffs will increase footwear prices in the country and could result in company closures, posing an existential threat to the entire industry.
According to the group, companies cannot absorb the new costs while making adjustments to their business models to focus on domestic production. This would primarily affect footwear producers in countries like Vietnam and Indonesia, which could face significant tariffs, as a large proportion of the production of brands like Nike takes place in these nations.
Trump's recent decision to temporarily suspend several proposed tariffs, including those on Vietnam and Indonesia, has raised concerns in financial markets and criticism from business leaders. In another context, the president announced the end of tariff exemptions for small-value shipments from China, a measure that will take effect on May 2 and will directly impact American consumers purchasing inexpensive products from companies like Temu and Shein.
