Your Money Minute Apparel Industry Hard Hit By Tariffs 8/13/25
Aug 13, 2025
Explore how tariffs are reshaping the apparel industry just in time for back-to-school shopping. Discover the impact on clothing prices and how consumers are feeling the pinch. Major retailers are adjusting their marketing strategies to navigate this challenging landscape, raising questions about consumer options and shopping habits in the wake of increased costs.
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Tariffs Squeeze Clothing Prices
- Tariffs are helping drive higher apparel prices because much U.S. clothing is made overseas.
- Retailers already raised prices during COVID and face limits on passing on more increases.
Brands Already Raised Prices During COVID
- Stacey Whitlitz points out brands already hiked prices dramatically during COVID, citing Ralph Lauren and Tapestry.
- She questions whether consumers can absorb further increases amid disappearing promotions.
Promotions Are Disappearing
- Discount-driven promotions from retailers like Gap and Old Navy are fading.
- That reduction in promotions removes a key pressure valve for price-sensitive consumers.