The Footwear Distributors and Retailers of America (FDRA) issued a statement this week, suggesting that the July Consumer Price Index (CPI) underscores continued affordability pressures facing American families during the back-to-school (BTS) shopping season, as inflation and higher tariffs increase costs across the footwear supply chain.
“Consumer prices rose again in July, marking the 64th consecutive month inflation has exceeded the Federal Reserve’s 2 percent target,” FDRA said in a media release. “Footwear prices increased year-over-year for the eighth straight month, while women’s footwear prices posted one of their fastest annual increases in nearly four years. The latest data reinforces concerns that pricing pressures continue to build throughout the footwear supply chain even as some input costs begin to stabilize.”
Matt Priest, President and CEO of FDRA, commented, “Families are already dealing with higher costs for housing, groceries and other necessities, and now they’re seeing those pressures when they shop for back-to-school shoes,” said “July’s numbers show footwear prices continuing to move higher, with some categories seeing their strongest price increases in years. While footwear companies have worked hard to absorb rising costs, tariffs are making that increasingly difficult. Shoes already face some of the highest tariffs of any consumer product, and additional duties only add pressure to prices at a time when families can least afford it.”
FDRA’s statement said footwear entered the current tariff environment already carrying a significantly higher tax burden than most consumer products.
“While tariffs on consumer goods average just over 2 percent, footwear tariffs average more than 12 percent,” the trade association noted. “Tariffs on some children’s shoes can reach nearly 50 percent, even before additional tariffs are applied. U.S. footwear companies now pay more than $5 billion annually in tariffs to the federal government.”
The latest inflation data comes as consumers are already bracing for higher footwear costs.
FDRA quoted dats from the recent FDRA-AlixPartners Back-to-School Consumer and Executive Footwear Survey, which saw half of consumers expecting footwear prices to rise over the next six months, while one-third planned to purchase fewer pairs than last year.
“July’s CPI data showed footwear prices rising for the eighth consecutive month on a year-over-year basis, with women’s footwear prices accelerating again and recording one of their fastest increases in nearly four years,” FDRA stated.
“Parents can’t tell their kids to stop growing because shoes cost more,” Priest added. “Back-to-school shoes aren’t a luxury purchase. They’re something families have to buy, which is why policies that add unnecessary costs to footwear hit household budgets particularly hard.”
The FDRA-AlixPartners research also reportedly found that consumers are increasingly prioritizing quality and durability over quantity, while lower-income households expect to reduce spending. Those report findings point to growing sensitivity to prices as families make purchasing decisions during one of the busiest footwear shopping periods of the year.
“The data makes clear that price pressures haven’t disappeared,” Priest said. “Footwear is an everyday necessity for working families, students and growing children. Policymakers should be looking for ways to lower costs, not add to them. Reducing the tariff burden on shoes would provide meaningful relief at a time when inflation continues to strain household budgets.”
Image courtesy Famous Footwear/Miramar Outlets/IG
