FDRA President & CEO Matt Priest in a statement wrote his organization is “deeply concerned about the President’s continued use of tariffs as a political weapon” in response to President Trump’s Mexico tariff increase announcement.
The full statement follows:
“We are deeply concerned about the President’s continued use of tariffs as a political weapon. It simply does not make sense to impose massive tax increases on hardworking American individuals and families as a bargaining chip for negotiating with Mexico or China. On the China front, U.S. footwear companies and consumers are now facing an additional 25 percent tariff on top of already record high footwear tariffs. This would mean nearly a 100 percent tariff on certain types of shoes and additional cost increases of over $7 billion annually for footwear consumers. The President’s most-recent announcement on Mexico threatens further harm to U.S. footwear consumers and companies. The value of US footwear imports from Mexico jumped 20 percent in 2018 to $500.2 million, the second-biggest year on record. Mexico serves as a strategic sourcing location for certain brands wanting to make quality leather shoes at affordable prices close to market. Adding higher costs on these shoes from Mexico not only raises rates, but it will start to limit product we see on store shelves. The shoe consumer is losing across the board if we see higher tariffs, and there is nowhere around it.”
FDRA is the footwear industry’s business and trade association.