The Footwear Distributors and Retailers of America (FDRA) is hoping it can secure some reset in trade policy for the footwear sector.
In recent months, President Donald Trump has disclosed the implementation of reciprocal tariffs, and then walked back on the higher duties by putting them on hold for an average of 90 days. And while it can be argued that even at the temporarily reduced rates that tariffs are still too high for footwear, the timeframe for the freeze does give countries a period to allow for talks centered on the renegotiation of trade agreements.
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“We applaud President Trump for taking a more thoughtful and strategic approach to the tariff policy — clearly listening to the concerns we’ve shared and the conversations we’ve led, one that acknowledges the real-world challenges we face in the footwear industry,” said FDRA president and CEO Matt Priest on Wednesday. “For too long, outdated tariffs have driven up costs for working families and threatened jobs across our industry. This shift in direction is both refreshing and necessary.”
Priest noted that increasing footwear manufacturing in the U.S. isn’t feasible due to constraints involving supply chain, labor and costs. And on Sunday, even Trump—to the dismay of the National Council of Textile Organizations—acknowledged what products might be best made state-side.
“We’re not looking to make sneakers and T-shirts. We want to make military equipment. We want to make big things,” Trump said to reporters as he was about to board Air Force One. He elaborated: “I’m not looking to make T-shirts to be honest. I’m not looking to make socks. We can do that very well in other locations. We are looking to do chips and computers and lot of other things, and tanks and ships.”
Priest said that the recognition by Trump and his administration of those constraints gives the U.S. an opportunity to both reset decades of misguided trade policy and move the footwear sector forward with smart, targeted solutions.
“We’re encouraged by the President’s leadership and urge the administration to stay on this path,” the FDRA CEO said. “By embracing a modern, pragmatic trade framework, the U.S. can support consumers, protect American jobs, and finally put the footwear industry on the right track.”
As for what happens when the first of the 90-day pause period for most global reciprocal tariffs ends on July 9 is anyone’s guess. Last Friday, Trump threatened on social media a “straight 50 percent tariff on the European Union” beginning on June 1 when he became frustrated that talks between the U.S. and EU were “going nowhere.” But then on Monday he agreed to restore the July 9 deadline to allow for talks to continue between the U.S. and the 27-member nation bloc. Thus far, the U.S. reached a trade deal with the U.K. earlier this month.