(NewsNation) — As tariffs threaten to raise prices on everything from groceries to apparel, secondhand stores and resale platforms are poised to see a surge in business.
Since nearly all clothing sold in the United States is imported, tariffs are expected to hit apparel particularly hard.
Many Americans are already seeing emails from retailers warning of upcoming price hikes and shortages, but some cost-conscious consumers are turning to thrift shops and online resale platforms to stretch their budgets.
Thrift stores benefit from US trade war
The Yale University Budget Lab estimates short-term consumer price increases of 65% for clothes and 87% for leather goods like shoes, handbags and belts, noting U.S. tariffs “disproportionately affect” those goods.
The secondhand market has already been booming, growing from a $20 billion industry in 2017 to a projected $60 billion in 2025, even before the tariffs take full effect.
Apparel is expected to lead the resale boom, followed by books and furniture, according to Yale.
Thrifters often get better products: Stylist
Whitley Adkins, a fashion and wardrobe stylist, said while secondhand websites like Poshmark, Facebook Marketplace and eBay are seeing more interest, consumers are discovering that thrifting is often a way to find higher-quality goods.
“People thrift to save money, right? That’s the first thing you think when you hear the word thrifty: you’re going to save money. But I think people may or may not know that oftentimes, when you thrift, you not only save money, but you find things that are higher quality,” Adkins said.
A 10% tariff has been placed on goods from most countries; however, most U.S. clothing imports come from Bangladesh, Vietnam and China, where tariffs range from 37% to 145%.
Rental clothing services like Rent the Runway and Nuuly are also expected to see an increase in business. But small U.S. businesses that rely on foreign goods are likely to face a serious challenge due to rising costs.
