Tariff increases are not just a tax on consumers, they will also bring uncertainty to the stable global supply chain for top brands. Chinese and US textile and apparel organizations have expressed concern about escalating trade tensions and their opposition to protectionism.

Around a 1,000 types of products listed in the textile and apparel category are part of the 200 billion dollars in Chinese imports potentially subject to ten per cent tariffs imposed by the US. The products, mainly raw materials such as yarns and fabrics, range from silk to cotton, to lace to embroidery.

For the second year in a row, a protectionist trade agenda in the US is the top concern for the US fashion industry. Companies are very concerned about the broader implications of protectionism for the US economy, consumers and the global economy.

One strategy for US companies is to find other sourcing opportunities. Companies are sourcing from many other countries, including Vietnam, Bangladesh, India, Indonesia, as well as countries in the western hemisphere. But American brands and retailers also feel there is nothing to replace China for the quality sourcing they are looking for. In order to not hurt consumers, the US tariffs have been focused on manufacturing inputs rather than clothing, footwear and home textiles.