Nike, Adidas to raise prices; Puma expected to follow

Several companies are passing higher costs onto consumers.

Nike announced it will increase prices between $2 and $10, depending on the product, with the added costs starting June 1, USA Today reported.

Nike did not specifically say tariffs when introducing the new price structure, but said it was part of its seasonal planning, according to Reuters.

About half the footwear made by Nike is produced in China and Vietnam, CNBC reported. China imports face a 30% tariff while Vietnam currently has a temporary 10% tariff, down from the initial tax set by President Donald Trump, which was 46% and is on pause for 90 days.

Shoes between $100 and $150 will go up $5, while footwear that is more than $150 will increase by $10.

Children’s shoes, items under $100 and Nike Air Force 1 or Jordan items will not have a price increase.

Nike is also returning to Amazon after leaving the online retailer in 2019, CNN reported.

“Nike is investing in our marketplace to ensure we’re offering the right products, best services and tailored experiences to consumers wherever and however they choose to shop,” the company said in a statement about the change.

Puma and Adidas are following suit.

Adidas’ CEO Bjørn Gulden said in late April that it would increase the price of all products because of the U.S. government’s tariffs. The company, which is based in Germany, manufactures its products in China, Vietnam, Indonesia, India and Cambodia.

“Since we currently cannot produce almost any of our products in the U.S., these higher tariffs will eventually cause higher costs for all our products for the U.S. market,” Gulden said, according to USA Today.

Puma cut the amount of merchandise it was seeing from China to the U.S. by 10%, Reuters reported.

Company CFO Markus Neubrand said it was waiting to institute price hikes until after competitors did so.

“We don’t want to be the leader in terms of the pricing change in the U.S. market,” Neubrand said.