Clothing & Apparel Tariff 2026: What You Pay More for Fashion

Clothing and apparel carry one of the highest effective tariff rates of any consumer product category in 2026, at 22.5%. With average price increases of 20%, the impact on American household budgets — particularly lower-income households that spend a higher share of income on clothing — is substantial. This analysis covers the full scope of clothing tariff impacts, from fast fashion to luxury brands, shoes to athletic wear.

Updated 2026-03-25
22.5%
Effective Tariff Rate
+20%
Average Price Increase
👕
Clothing & Apparel

Price Impact: Specific Clothing & Apparel Items

ItemBase PriceTariff CostNew PriceNote
Pair of jeans$60 +$12 $72Most denim imported from China, Mexico, or Bangladesh
Winter jacket$150 +$30 $180Down fill often from China
Running shoes$130 +$26 $156Nike, Adidas heavily Vietnam-sourced
T-shirt$25 +$5 $30Often Bangladesh or China
Dress shoes (leather)$200 +$60 $260Leather goods face higher specific rates
Athletic socks (6-pack)$20 +$4 $24Textile tariffs apply
Handbag (mid-range)$150 +$45 $195Leather from China faces Section 301
Children's coat$80 +$16 $96Same tariff rate as adult apparel

Source: Yale Budget Lab, USITC, Harmonized Tariff Schedule

Why Clothing Tariffs Are So High

Apparel tariffs have a long history in the United States. Even before the 2025 trade policy changes, the U.S. maintained relatively high tariffs on clothing under the Harmonized Tariff Schedule — many categories carried 12–27% baseline duties designed to protect domestic textile manufacturing. The 2025 China-specific tariff expansion and the 10% global baseline tariff stacked on top of these pre-existing duties, pushing effective rates to 22.5% on average, with some specific categories (leather shoes, handbags) facing rates approaching 30–40%.

The result is that clothing is among the most heavily taxed consumer goods in the U.S. economy. For a category that is also heavily regressive — lower-income households spend a significantly higher share of their budgets on clothing — this represents a meaningful economic burden.

Fast Fashion: Shein, Temu, and De Minimis

The single most disruptive tariff change for clothing consumers was the May 2025 elimination of the de minimis exemption for Chinese goods. Previously, packages valued under $800 could enter duty-free — a provision that Chinese fast-fashion platforms like Shein and Temu used to offer extraordinarily low prices by shipping directly from Chinese factories. After elimination, these platforms faced full tariff application on every package. Shein and Temu raised prices 15–35% following the policy change, with some items doubling in price. The platforms shifted some inventory to U.S. warehouses and began sourcing from non-Chinese suppliers, but prices remain significantly higher than the pre-tariff baseline.

Brand-Specific Impacts: From H&M to Gucci

Mid-market and fast-fashion brands (H&M, Zara, Gap, Old Navy, Target private labels) have passed through a significant portion of tariff costs. These brands source heavily from China, Bangladesh, Vietnam, and Cambodia — all subject to either China-specific tariffs or the global baseline. Price increases of 10–25% on these brands' products have been documented since early 2025.

Athletic footwear brands (Nike, Adidas, New Balance, Under Armour) are among the most vocal about tariff impacts. Nike, for example, sources approximately 45% of its footwear from Vietnam. The 10% Vietnam tariff has raised costs on Nike's most popular models, which are often in the $90–$200 range.

Luxury and premium brands (Ralph Lauren, Tommy Hilfiger, Coach, luxury European brands) have more pricing power and have absorbed more of the tariff cost, but price increases are still visible across the category.

Impact on Shoes and Leather Goods

Footwear and leather goods face some of the steepest tariff rates in the apparel category. Running shoes imported from Vietnam or China now face 10–34.7% tariff rates depending on origin. Leather handbags from China face Section 301 tariffs specifically targeting leather goods. A $130 pair of running shoes now carries approximately $26 in tariff cost. A $300 leather handbag may carry $50–$100 in embedded tariff costs depending on origin.

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How to Reduce Your Clothing & Apparel Tariff Cost

  • Shop thrift stores and consignment shops — secondhand clothing is not subject to import tariffs
  • Look for "Made in USA" labels — American Apparel, some New Balance models, Carhartt (some lines)
  • Consider clothing rental services for formal and occasional wear
  • Buy end-of-season at clearance prices — retailers discount to clear inventory regardless of tariff costs
  • Prioritize quality over quantity — higher-quality garments made domestically or in low-tariff countries may cost more upfront but last longer

Frequently Asked Questions: Clothing & Apparel Tariffs

Why did my Shein/Temu order get more expensive?

The de minimis exemption for Chinese packages was eliminated in May 2025. Previously, packages under $800 from China entered duty-free. Now, all Chinese-origin packages face full customs duties. This is the primary reason prices on these platforms have risen significantly.

Are Nike shoes more expensive because of tariffs?

Yes. Nike sources approximately 45% of footwear from Vietnam, which now faces the 10% global baseline tariff. China-sourced Nike products face higher tariffs. Nike has raised prices and partially absorbed costs, but the typical running shoe now costs $13–$25 more than it did pre-tariff.

Do children's clothes have different tariff rates?

Children's clothing faces the same tariff structure as adult clothing — there is no age-based exemption. The effective rate depends on country of origin and specific product type, not whether it is adult or children's wear.

Are there any clothing brands not affected by tariffs?

Brands that manufacture primarily in the United States are minimally affected by import tariffs. American Giant, some New Balance models, Carhartt (some lines), and various workwear brands maintain U.S. manufacturing. However, purely domestic clothing brands are relatively rare and typically priced at a premium.

How much do clothing tariffs cost a typical family per year?

A family of four spending $3,000/year on clothing faces approximately $600/year in additional tariff costs at the 20% average price increase rate. Lower-income families spending $1,500/year face approximately $300 in additional costs.

Related Country Tariff Analyses

The countries most responsible for clothing & apparel tariff impacts: