For all of the uncertainty around the U.S. China trade war Womens Nike Air Max , the Trump administration has at least made one of its objectives clear: Bring manufacturing jobs back to American workers.Currently, 98% of the shoes sold in the U.S. are made abroad, with China accounting for about 70% of the total, so there's no denying that an additional 25% tariff — as the president has threatened to impose — would hit the footwear industry hard.But even so, manufacturers say the move is unlikely to prompt a mass influx of shoe production within domestic supply chains, despite Trump's recent tweet exhorting companies to get out of China if they want to avoid the taxes. (“Make your product at home in the USA and there is no tariff," it read. "You can also buy from a non-tariffed country instead of China.”) For one thing, much of the talent and infrastructure needed to support the multibillion-dollar industry has long since moved overseas. And for another, producing even a single pair of shoes is far more complex a process than most pro-tariff arguments imply."To make an athletic sneaker, for example, we might actually use 20-plus factories — definitely more than a dozen," said Sabrina Finlay, CEO of Otabo, a manufacturer for emerging and leading shoe brands. "We might be doing some part of it in China cheap Nike sneakers , some in the U.S. and some in Europe to actually get to a finished product. And so to say that we're going to get around this issue [by shutting] down the primary assembly factory in China, it's not a solution."Otabo practices what it calls "collaborative manufacturing," working closely with a network of factories around the world and connecting them with the brands they work with, including NOBULL and Kujo Yardwear. In one U.S. factory, Finlay said, she's witnessed firsthand how valuable an international supply chain can be, since the company has brought over processes that it has developed in China to help improve the factory's technology and quality control, diversify its offerings and add efficiencies. "We see this as our future," she said. "This is how we actually grow more manufacturing in the U.S. It's how we grow manufacturing across international communities."The footwear industry has been among the most vocal opponents of the new set of proposed tariffs — which would affect about $300 billion worth of Chinese imports, including most consumer goods — in part because shoe imports are already so heavily taxed, with existing duties averaging 11% and topping out at 67.5%. On Monday, more than 170 prominent shoe brands and retailers, including Nike, Foot Locker and Brooks Sports signed a public letter to President Donald Trump condemning the potential additional taxes as “catastrophic for our consumers Cheap Men Air Max , our companies and the American economy as a whole.”Several of the biggest shoemakers —Nike, Adidas and Puma among them — have in recent years shifted some of their production to Vietnam and other countries as labor costs in China have risen, and will likely continue to do so as the trade war uncertainty continues. Doing so, though, requires significant resources to invest in manufacturing infrastructure and training — something most smaller brands don't have access to.These companies, said Finlay, will likely bear the full brunt of the tariffs if they are imposed, and be forced to pass on costs to the consumer. "If you are a smaller brand, and you rely heavily on the cash flow from one production order to get to the next, those brands are definitely reacting in a very different way," she said. "They're holding back and prioritizing better-selling SKUs over other SKUs. They're generally more cautious about how they're going to launch and how they're going to spend their money in case something doesn't work out well."The threat of higher import costs — and of consumers' having less to spend on shoes if other prices go up, too — also discourages spending in other arenas, so brands might hold off on hiring staff, moving to a new office or investing in new manufacturing.According to the Footwear Distributors and Retailers of America Cheap Nike Air , an additional 25% tariff would amount to a $7 billion annual tab for U.S. shoe customers. Already, several publicly listed retailers have warned investors about the potential fallout, including Kohl's and J.C. Penney, both of which lowered their earnings forecasts this week, citing the potential costs. Kohl's indicated that it might absorb some of these itself to stay competitive, since its customers tend to be value-driven, and could go elsewhere if prices become too steep."Our teams are working very closely with our vendors to make sure that collectively, we've got a strong plan," said CEO Michelle Gass on Tuesday's earnings call. "So that's been of the highest priority for our merchant leaders and merchant teams. But I think it's important for us wherever this nets out, we're looking at this from a long-term standpoint, and we're looking to make sure that we can protect the customer and protect our market share."Companies of all sizes will have to make this judgment, keeping in mind that next year's election could change the equation entirely, and those with fewer resources to work with also have fewer options."In the near term, as far as 'How do you get around this?' You don't Cheap Nike Free ," said Finlay.Correction: This article previously listed several brands no longer associated with Otabo. It has been amended to note the company's current brands.Want more?These Shoe Pricing Stats Discredit Trump’s Assertion That China Pays Import TariffsTrump’s Tariff Threat Could Impact American Workers With Higher Workboot Prices Nike is answering the call of those who took the brand to task this week over its previous maternity policy — or lack thereof — for female runners.The company said on Friday that it is taking new measures to support female athletes throughout their pregnancies after it received a wave of backlash following a New York Times article last weekend. The write-up called attention to a discrepancy in the way Nike, at one time, wrote its contracts for female track and field athletes.The story revealed that Nike reduced the payments of female runners — and sometimes paid them nothing at all — if they were unable to compete for various reasons, including pregnancy and the subsequent postpartum period.Nike this week admitted that it had previously reduced the contracts of female runners but said it amended the policy last year.On Friday, the brand said it now recognizes "we can go even further.""Moving forward, our contracts for female athletes will include written terms that reinforce our policy," a statement read on the firm's corporate site. "Our mission has always been to support athletes as they strive to be their best. We want to make it clear today that we support women as they decide how to be both great mothers and great athletes. We recognize we can do more and that there is an important opportunity for the sports industry to evolve to support female athletes."The controversy ignited by the Times article — which included comments from former Nike-sponsored female runners Kara Goucher and Alysia Montaño — has compelled other brands to speak out and clarify their own policies. Under Armour, New Balance and Asics told FN this week that they do not reduce the contracts of female runners during pregnancy or the postpartum period.In a statement on Friday, Brooks Running also told FN that it is upping its efforts to support the female runners it sponsors."At Brooks we believe in supporting our athletes in the pursuit of their dreams, which includes starting a family," the company said. "We will not reduce our female athletes pay or terminate a contract due to pregnancy or postpartum recovery. We will reflect this intention in all current and future contracts to provide much-deserved peace of mind to all of our athlete partners."Want More?Nike Says It's Serious About Increasing Diversity — Here's How It's DoingHow Nike Is Helping the Fashion Industry Become More Sustainable « buy them with Fallout 76 Items cashTodd Bowles' days as coach of the New York Jets » Weitere Artikel der Kategorie Allgemein |
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