New Trump Tariffs Send Nike & Other Sneaker Brands Stock Plunging
Written by djfrosty on April 7, 2025
Now that Donald Trump has decided to accelerate America’s path to a recession and implement unnecessary tariffs on every country and penguin inhabited island outside of Russia (of course), stocks have plummeted for every single sneaker brand as they make all of their merchandise overseas.
According to Complex, the new Trump Tariffs sent Nike stock plunging 13% as both China and Vietnam were hit with huge tariffs and as any sneaker head knows, their favorite grails are made in both the aforementioned countries. Unfortunately this was before China announced retaliatory tariffs in which they clapped back at the U.S. with a 34% tariffs on U.S. imports instead of “negotiating” as the “dealmaker” known as Trump had hoped they’d do.
How this will affect Nike’s stock going forward is anyone’s guess, but already there’s word that Nike will indeed be raising the prices of their sneakers due to the new tariffs and with the kind of 2025 sneaker lineup that dreams are made of (for sneakerheads anyway), one can only wonder if heads will continue to copp or pass on highly-anticipated releases given that we’ll more than likely be in a recession by the middle of the year, if not earlier.
Per Complex:
The plunging stock prices of Nike are a direct response to Trump’s tariffs of 10 percent for all imports taking effect on April 5, with steeper tariffs on imports from select countries being imposed on April 9. For the latter, the higher tariffs include 34 percent on imports from China, 32 percent on imports from Indonesia, and 46 percent on imports from Vietnam. Nike said in an SEC filing last year that factories made roughly 50 percent of its footwear in Vietnam, 27 percent in Indonesia, and 18 percent in China.
Nike isn’t the only sportswear company being affected by the news of the tariffs. Stock prices took a huge tumble for brands like Adidas (16 percent), Crocs (15 percent), On (15 percent), Under Armour (17 percent), and others on Thursday, with percentages expected to fluctuate throughout the day.
Well, at least grocery prices are down, right? Oh wait.
Though there is word that Democratic and Republican congressmen and women are working on a bill to reiterate that only congress has the power to implement tariffs, with the way MAGA Republicans bend to their orange overlord’s every whim and demand, we’re not sure that will actually happen anytime soon.
Get ready to pay an extra $20 to $30 for your favorite Air Jordans going forward as no way Nike is going to eat the cost of Trump’s tariffs. Don’t get us started on $2300 iPhones.
But hey, at least trans men can’t play in women’s sports anymore, right? SMH.
What do y’all think about Trump’s new tariffs? Let us know in the comments section below.