From CNBC: 2025-06-05 10:44:00

Tariffs imposed by President Donald Trump could significantly raise prices for products like clothing made in China and Vietnam. Estimates show a 19% increase in prices for a men’s sweater and shoes made in China with a 30% tariff. Retailers are strategizing to mitigate the impact of tariffs and maintain profitability, but consumers may still face price hikes.

The cost of producing a men’s cotton sweater from China could increase by 19% under current tariffs, rising to 93% with the highest proposed tariff. Similarly, the cost of producing men’s shoes from Vietnam may rise by 8% under current tariffs and 36% under the highest proposed tariff. Retail prices could see significant increases as a result.

Retailers are implementing strategies to offset the impact of tariffs on consumer prices, such as shifting manufacturing locations, altering product features, or exploring other tax efficiencies. Even major retailers like Walmart may struggle to absorb the full cost of tariffs, potentially leading to job losses and GDP decline. Large retailers may use pricing strategies to minimize the noticeable impact of tariffs on consumers.



Read more at CNBC: Trump tariffs news: How prices could change