The American Footwear Distributors and Retailers Association, which includes Nike and Adidas, has appealed to US President Donald Trump to exclude footwear from the new tariffs, calling them an “existential threat” to the industry. About this informs Bloomberg.
The letter, signed by companies such as Nike Inc., Under Armor Inc., Puma SE and the U.S. unit of Adidas, among others, says that the introduced fees could trigger an increase in the price of shoes in the United States and lead to the closure of some factories.
“If the current situation continues, American shoe workers and consumers will suffer. This is an emergency that requires immediate action and attention.”, the document says.
The appeal emphasizes that the introduction of tariffs does not stimulate the return of production to the United States, because this requires “significant capital investments and multi-year planning to change sources of supply.” Sources note that the transition to new logistics chains is too costly, and companies cannot cover the additional costs at the same time.
It is also emphasized that the countries where the main volumes of production are concentrated, in particular Vietnam and Indonesia, may suffer the most. For example, half of Nike shoes are made in Vietnam.
It will be recalled that in mid-April, Donald Trump announced the introduction of a 90-day delay on some of the proposed tariffs, including those related to Vietnam and Indonesia. This announcement caused a collapse in the stock markets and caused a significant uproar in the business environment.
