Higher prices, less choice, job losses

President Trump’s trade war, retailers’ return to school and holiday season already seemed great. Spring season is the next and Trump’s latest sweeping global tariffs come into force.

Although spring seems to be too far from the future, for retailers, now the time of the year in which they plan spring orders, and both retail and production experts will affect the level of activity of tariffs.

The retail sector warned that the latest tariffs on Friday can lead to higher prices, less product and business losses on shelves.

Steve Lamar, CEO of American Clothing and Shoe Association, says, “High tariffs from key -based countries, last -minute policy changes and uncertain new requirements create a perfect storm for a difficult holiday season and a challenging spring.” He said. “America’s most popular brands and retailers are still in a hurry to navigate in the unreleased details of the new trade agreements. They are weighing difficult choices because they plan the spring of 2026: raising prices, cutting things or reducing the product range offered to consumers,” he said.

The US fashion industry is already carrying what Lamar calls “a large part of the burden”.

In 2024, it formed less than 5% of all imports and more than 25% of all the tariffs collected by the US government.

In summer, companies are usually in the advanced stages of planning and ordering for new year and spring seasons. Now, there is a common hesitation to make timely transport and supply decisions.

“To remain competitive, American companies are currently needed to be open, final trade conditions, not uncertainty above uncertain costs.” He said.

National Retail Federation’s Government Relations Deputy Chairman David French, said in a statement on Friday, “Tariffs that really open the markets, raising them, really open the binding trade agreements” should be the target of management, he said.

NRF warned that “the direct result of tariffs will be higher prices, recruitment, less capital expenditure and slower innovation”.

“The retailers have been able to keep the pricing line so far, but new tariffs will affect the goods in the coming weeks. We have heard directly from small retailers who worry about their ability to stay at work in the face of these unsustainable tariff rates.” He said.

Retail CEOs under stress

Aabesh, the founder of the plant health company Flora, who was drawn to popularity after appearing in the shark tank, said that CNBC directed the Florat team to pause the version of a new Flore Pod, with a product development and production cycle of 6 to 8 months, and the tariff uncertainty and its company in the case of its company.

“Initially, we were hoping for an version in December, and then we pushed him back to the spring.” He said. “Now, we have returned to the drawing board because we pay a 60%layer of tariff. This will increase the capsule from $ 50 to $ 100.

He is currently looking at tariff supply chain scenarios with other countries, such as Vietnam. However, “There is no convenient way to make the product in our price range in America.”

In early July, Vietnam agreed to make a trade agreement with the US as 20%. Negotiations between the United States and China continue and 30% tariff is in force, on top of other tariffs existing. If an agreement is not reached, tariffs on Chinese goods can reach up to 145%. Trump officials said that negotiations with China would take longer, but progress will be made.

NRF Supply Chain and Customs Policy Vice President Jon Gold said that until the first quarter of 2026, the posts will be affected by the tariffs because it challenges retailers and purchasing and resource decisions, “he said.

“Not knowing whether some lock suppliers will have new trade agreements or frameworks at lower or higher tariff rates, it was incredibly difficult for retailers to plan and predict how the next purchase and sales season will look properly. As a result, consumers may be subject to higher costs and less product usability.” He said.

Xan Hood, the founder and CEO of leather goods company Buffalo Jackson Trading Co., said he ordered for fear and uncertainty and spring with a product cycle to order and receive four to five months of products.

“You tend to think short -term when you’re under stress, Hou Hood said. “But I need to think like a bigger job and put my orders.

Hood said he never thought that his company would interfere with a trade war because he provided his product in both Mexico and India.

“These two countries must be good partners for the United States, Hou said Hood. “We still don’t know how to play finally.”

The US provided a 25% more tariff on Mexican goods and refers to progress in Trump talks, but India was a slightly surprising target for 25% of new tariffs than expected.

Hood said that making the same products in the United States would cost four to five times more expensive based on 50 human craftsmanship required to make a leather bag.

The trade war is not only the product economy, but also Hood’s ability to focus on strategy and growth as CEO. As a result of the tariffs, he said that the time he spent to play numerous scripts and solve logistics problems has taken him away from planning. “The thing that will take 10% of my time is now up to 50%,” he said. “When I once spent on new product development, marketing and strategy, it is now going to manage tariff -related problems.”

The ongoing uncertainty about Trump management policies and the health of factories in Mexico and India are great concerns. “Global supply chain is a very vulnerable system. Factories depend on orders from more than one company. He said.

Pause the regret orders of retailers

According to retail consultant and former retail sector manager Jan Rogers Kniffen, retailers do not want to pause orders. It was recently separated between the eastern coast and the west coast, along with approximately sixty clothes, accessories, shoes and cosmetic retailers and sellers. Knifen, “There were two types of companies I talked about, ‘Order’ goods and goods ‘paused’ and the decision to do nothing about those who regretted the retailers.” He said. He continued: “There was no company or person I spoke to.

Orders fell for the autumn season, but Kniffer said that they are probably 95% of what would happen in a “average” year.

“Retailers always do what they do when they encounter more uncertainty than ever before, they buy a little less than planned, and they’re trying to chase if things are strong.” He said. “They get the same opinion for the purchases for the spring season, and I think all of the same reasons. Consumers do not like uncertainty. Therefore, they will be a little careful about what they buy for next season.

According to Kniffer, the order from China has fallen in particular and will continue lower. “Every retailer in China tells me that they have taken me less than the autumn passing from China and they will remove less in the spring compared to the first year.” He said.

However, he added that the retailers still see the consumer as solid and demand. Returning to school began early and said, “I am the most optimistic that has a minimum effect on the highest and lower lines of analysts on US sellers and retailers.”

Even at the beginning of August 1 tariffs in many countries, Mike Short, President of the Logistics Company Ch Robinson, said that the ongoing trade investigations and court hearings are still hanging on US companies.

“It is clear that tariff and trade cuts are far from ending.” He said.

Most of this action is out of retail, but ultimately contribute to the layer of tariffs entering retail supply chains. For example, a large number of investigations related to the 232th part of the US Commercial Law, which includes sectors such as timber, pharmaceuticals, semiconductors, aviation, trucks and trucks, seafood and critical minerals, are active. “As we have seen with copper this week, these investigations can quickly lead to new tariffs.” He said.

“The truth is that tariff volatility has become new normal,” he said.

On Thursday, Amazon marked “fears of stagnation” and “tariff and trade policies” as potential winds for the second quarter in a row. Amazon CEO Andy Jassy said that demand and pricing are stable so far and Amazon would absorb higher costs if the tariffs rise.

Knifen said in the end, the retail strong will be strengthened, the weakness will weaken, he said. “Walmart, Costco, Home Depot, Dick’s sports equipment and TJX are the best five retailers in the country, so they will manage them better than other retailer they compete,” he said.

“Retail, the winners continue to win, lose until the losers change, or the disappearance of the losers.