February 11, 2016
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Now that the Trump administration’s $200 billion of additional tariffs have gone into effect on thousands of Chinese imports, the apparel and retail industries are figuring out what to do next. Covered in this round of tariffs are buttons, bobbins, yarns, embroidery, textiles, handbags and leather. Apparel is not part of the equation yet.
President Trump launched a trade war in March by imposing a 10 percent tariff on aluminum and a 25 percent tariff on steel coming from countries around the world.
The retail boneyard is piled high with store doors that closed last year, and many more may be on the way.
For nearly a decade, interest rates have remained near zero, meaning it was very inexpensive for businesses to borrow money. But those sunny days may be over. Twice this year, the Federal Reserve has raised the prime rate, and it is expected to do so again later this year.
How Are Finance People Handling the Weak Retail Market and Have They Adjusted Their Financing Rules for Clothing Manufacturers?
As retailers start shrinking their footprints around the country, apparel manufacturers are wondering how to cope with this constricting retail landscape.
The global economy started out this year with a whimper, not a bang.