Footwear Needs Tariff Relief

Footwear Needs Tariff Relief

During this holiday season, many Americans will purchase a pair of shoes for themselves or to give as a gift. In fact, footwear ranks as one of the top gifts people buy for their friends and loved ones this time of year, according to the NPD Group. American footwear consumers may not realize, however, that the shoes they buy are taxed at a rate higher than almost any product sold in America today.

Tariffs (taxes on imports) average 1.4 percent for all consumer goods but can reach up to 67.5 percent for footwear, depending on the type of shoe. These tariffs stifle product innovation and needlessly drive up the cost of shoes at retail for everyone in America. An astounding and record-breaking $2.7 billion was paid last year alone in footwear taxes.

Even Santa and his elves at malls across the country are not exempt from the naughty list of tariffs. It is hard to be jolly knowing St. Nick’s boots are hit with a 20 to 37.5 percent import tax! Moreover, the highest tariff rates often fall on low-cost shoes and children’s shoes and impact hardworking families year-round but especially during the holidays.

Written by FDRA President Matt Priest

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