U.S. high tariff, could it cause importers to cease imports?

U.S. tariffs are rising again—and fashion brands are worried. Will duties make imported women’s clothing too expensive to sell? Or will the industry adapt like it always does?

High tariffs won’t stop fashion imports in 2025, but they will push brands to rethink sourcing, raise prices, and get smarter about fabric composition and supply chain strategy.

I’ve seen these changes up close. Here’s how they’re playing out and how brands can stay ahead.

What does the current tariff landscape look like?

Tariffs aren’t new, but recent revisions are raising the stakes for fashion importers in 2025.

Women’s fashion—especially cotton and synthetic items—faces steep duties under current HTS codes, though some fabric shifts can reduce exposure.

Swatch Selection Moment

Tariff History: From 2019 Trade Wars to 2025 Revisions

The 2019 U.S.-China trade war marked a turning point.

Apparel imports from China saw sudden 15–25% tariffs. While some were rolled back, others stayed—and 2025 sees new increases under Section 301 reviews.

HTS Code Overview for Women’s Apparel

The Harmonized Tariff Schedule (HTS)¹ determines your tax rate.

For example:

Knowing your exact HTS code is critical. Slight differences in fabric or construction can mean a 10–15% tariff swing.

Key Changes for Cotton, Synthetic, and Blended Fabrics

Blended items with synthetic fibers often carry the highest duties.

2025 revisions target blended knitwear (like hoodies or joggers) more aggressively, especially from China. Cotton items remain heavily taxed, but there are legal workarounds.

How do tariffs affect fashion importers?

Rising duties don’t just add cost—they reshape decisions across design, logistics, and retail pricing.

Brands are forced to adjust their pricing, sourcing regions, and even the fabric composition of their products.

Increased Cost Per Unit and Margin Compression

Let’s say your landed cost is $5 per hoodie. A 32% duty adds $1.60.

If your MSRP is $25, that’s a 6.4% margin hit. Multiply that across thousands of units—and it’s a serious loss.

Sourcing Managers Balancing Price vs Speed

A cheaper factory in Cambodia may save you on duties, but take 20 more days to deliver.

Sourcing leaders now constantly weigh speed, cost, tariff impact, and factory reliability when planning drops.

Retail Pricing Pressures and Consumer Pushback

Can you pass the cost to customers?

Not always. Many brands are caught in a squeeze—either raise prices and risk losing shoppers or absorb costs and lose margin.

Could importers really stop importing clothing?

Stopping? No. Shifting? Absolutely. The apparel supply chain is adapting rapidly.

U.S. brands are not cutting off imports—but they’re diversifying away from high-tariff countries like China.

Unlikely to Stop, But Likely to Shift

China remains a key hub, but no longer the only one.

We’re seeing brands shift select categories to Vietnam, Bangladesh, or Central America to dodge high tariffs while keeping quality.

Diversification Strategy (Vietnam, Cambodia, Mexico)

No country is perfect—but each offers unique strengths.

The smartest brands use a mix of sources to hedge risk.

Rise of Nearshoring for Speed & Reduced Tariff Exposure

For urgent replenishment or high-duty items, nearshoring is gaining traction.

Mexico, Colombia, and even US-based cut-and-sew options are helping brands launch faster, avoid tariffs, and lower shipping risk.

What strategies are brands using to survive high tariffs?

This isn’t just a logistics problem—it’s a product strategy shift.

Design, sourcing, and business teams are working together to create tariff-smart apparel plans.

Mixed-Country Sourcing Models to Hedge Tariffs

One product, two countries. Design it that way.

Some brands make fabric in China but assemble in Vietnam or Jordan—creating hybrid tariff advantages.

Duty-Optimized Product Development

A change from 65% polyester to 55% cotton can change your HTS code—and your tax rate.

We work with clients to build product specs that hit the right tariff thresholds while maintaining performance and style.

Increasing DTC Margins to Offset Costs

Brands selling direct to consumers can absorb duties more easily.

DTC models³ allow higher gross margins, helping brands survive higher landed costs without collapsing profit.

How do we help clients handle these challenges?

At Modaknits, we’ve been preparing clients for this shift since the first trade war wave in 2019.

We offer diversified sourcing, fast sampling, and detailed HTS code support to help brands stay profitable.

Flexible Sourcing (China + ASEAN Partners)

We produce in China for speed—but also work with Vietnam and Cambodia for lower duties.

That gives our clients options when tariff policies change overnight.

Lower MOQ for Testing Alternate Styles or Countries

Want to try a Vietnam supplier? We’ll build you a test batch fast.

Our low MOQ sampling lets you test new factories or fabrics without committing thousands of dollars.

HS Code Advice & Documentation Support for U.S. Customs

We analyze your garments and assign correct HTS codes.

Our team works closely with freight forwarders and customs brokers to ensure your documents are accurate and your duties optimized.

What’s the outlook for 2025 and beyond?

Tariffs won’t vanish—but how brands react will define who wins.

Those who prepare, diversify, and plan smarter will outpace those who wait and hope.

Possibility of Tariff Relief After U.S. Election?

Some in the industry hope a new administration will ease duties.

But we don’t count on it. Brands should build for resilience, not rely on politics.

Continued Push Toward Localized Warehousing and Faster Drops

To speed up delivery and cut re-import duties, more brands are warehousing near key markets.

Expect more fulfillment centers in the U.S. and Europe, especially for DTC-focused brands.

How Brands Are Future-Proofing Their Supply Chains

Top brands are investing in supply chain visibility, smart sourcing platforms, and flexible logistics.

The goal isn’t to avoid tariffs—it’s to survive and thrive in a world where they exist.

Conclusion

Tariffs are here to stay—but they don’t have to crush your business. Brands that adapt their sourcing, rethink product design, and lean into smarter logistics will lead the next wave of fashion.