Nike will raise prices on select footwear, apparel, and equipment in the U.S. Starting June 1, as the sportswear giant grapples with growing uncertainty around U.S. Tariffs and weakening digital sales.
The company confirmed that prices for most shoes priced above $100 will increase by up to $10. Apparel and equipment will also see hikes of between $2 and $10. However, Nike’s popular Air Force 1 sneakers, children’s products, and Jordan-branded apparel and accessories will be exempt.
While Nike did not directly cite tariffs as the reason for the move, a company spokesperson said, “We regularly evaluate our business and make pricing adjustments as part of our seasonal planning.”
The announcement comes just weeks after Adidas warned of similar price increases due to import tariffs imposed by the Trump administration. The U.S. has placed a base 10% tariff on many imports and has threatened to impose additional levies—ranging from 32% to 54%—on goods from countries like Vietnam, Indonesia, Thailand, and China. The rollout of these so-called “reciprocal” tariffs has been paused until July as trade negotiations continue.
President Donald Trump has downplayed the impact of tariffs on prices, calling on major companies to absorb the costs. He recently criticized Walmart on social media for linking price increases to tariffs, saying the retailer should “eat the tariffs” rather than passing them on to consumers.
In a March call with investors, Nike CFO Matt Friend acknowledged the company is “navigating through several external factors that create uncertainty in the current operating environment,” including tariffs and broader macroeconomic pressures. He noted that these factors could affect consumer confidence.
Tariff Pressure on Supply Chain
Vietnam remains Nike’s largest manufacturing base, producing 50% of its footwear and 26% of its apparel. Other key suppliers are located in China, Indonesia, and Cambodia—all regions at risk of facing steep U.S. import duties under the Trump administration’s evolving trade policies.
The economic significance of U.S. manufacturing contracts to Vietnam is also under scrutiny as President Trump’s son, Eric Trump, visits the country this week. His trip coincides with the Vietnamese government’s approval of a $1.5 billion investment plan by the Trump Organization in partnership with Kinh Bac City Development, aimed at building hotels, golf courses, and luxury real estate.
Nike’s Strategic Shift and Struggles
Amid declining revenues, Nike recently announced it will resume selling products directly through Amazon for the first time since 2019. The move marks a reversal of former CEO John Donahoe’s strategy to prioritize Nike’s own website and physical stores. Donahoe was replaced by former executive Elliott Hill, who is now leading a turnaround strategy focused on Nike’s core markets—the U.S., UK, and China.
The shift comes as Nike faces plunging online sales across regions. In the last quarter ending February, digital sales dropped 25% in Europe, the Middle East, and Africa, and 20% in Greater China. Overall revenue also declined, highlighting the urgency of Hill’s restructuring efforts.
As Nike adapts to new trade realities and attempts to rebuild consumer trust and revenue streams, the price increases mark a significant moment for both the company and American consumers already facing inflationary pressures.
About The Author
