Steve Madden Draws Consequences from Imminent US Import Tariffs

The renowned shoe manufacturer Steve Madden has announced plans to reduce up to 45% of its imports from China in the coming year. This is a direct response to the high import tariffs on foreign goods announced by the designated US President Donald Trump. The company, known for its fashionable shoes, shared these strategic adjustments during a conference call about its recent financial results, indicating that it has been establishing factories in Cambodia, Vietnam, Mexico, and Brazil for several years. Analysts expect that other companies will also be forced to relocate their production from China due to increased pressure. Trump's trade policy to date has already targeted various import goods such as solar panels, steel, and aluminum, but the planned tariffs this time are even more extensive. There is a proposal for a 60% tax on goods from China and tariffs of up to 20% on all other US imports. "We have been preparing for some time to withdraw our goods from China more quickly," explained CEO Edward Rosenfeld. The company aims to reduce the share of productions potentially subject to tariffs to a quarter. Despite sales volume of around 2 billion dollars in 2023, over 70% of Steve Madden's US imports currently come from China. The National Retail Federation, the largest retail organization in the US, sharply criticized Trump's plans. A study commissioned by them from Trade Partnership Worldwide LLC warns of dramatic losses in consumer purchasing power. The proposed tariffs on clothing, toys, furniture, household appliances, shoes, and luggage alone could cost American consumers between 46 billion and 78 billion dollars annually. For instance, the price of men's jeans could rise from 80 dollars to up to 96 dollars, and a coat could cost between 112 and 121 dollars.