Adidas has issued a stark warning to sneaker lovers in the U.S.: expect to pay more at the checkout. The sportswear giant says new import tariffs imposed by President Donald Trump are set to drive up the cost of popular trainers like the Gazelle and Samba.

Speaking during a press briefing on Tuesday, Adidas CEO Bjørn Gulden said the company’s heavy reliance on overseas manufacturing leaves it vulnerable to rising trade tensions.

“Since we currently cannot produce almost any of our products in the U.S., these higher tariffs will eventually lead to increased costs for all our products in the American market,” Gulden explained.

Uncertainty Over Tariff Fallout

The global apparel industry—especially brands that rely on manufacturing hubs like China and Vietnam—has been hit hard by Trump’s protectionist trade policies. Vietnam, now the global epicenter for athletic footwear manufacturing, faces some of the steepest tariffs, with levies reaching as high as 46%. While those rates are temporarily paused for 90 days to allow for further negotiations, the outlook remains tense.

Adidas, alongside rivals Nike and Puma, has significant production operations in Southeast Asia, where specialized skills and machinery are concentrated.

Gulden noted that while the full financial impact is still unclear, the company had been forced to make adjustments. “It’s currently impossible to quantify the cost increases or determine how they might affect consumer demand,” he said. “We’ve had to re-route products originally destined for the U.S. and fast-track exports ahead of tariff deadlines.”

Trade War Halts Financial Momentum

Adidas admitted the ongoing trade dispute had forced the company to halt a planned upgrade to its financial forecast. The uncertainty surrounding negotiations between the U.S. and exporting nations has left decision-makers in limbo.

“There simply aren’t enough factories in the U.S. with the tools or expertise to make our shoes,” Gulden said, casting doubt on Trump's push to bring manufacturing back to American soil.

Adidas Still Posts Record Profits

Despite trade headwinds, Adidas delivered its best Q1 performance in company history. Preliminary results revealed profits had nearly doubled to €610 million in the first quarter, driven by strong global sales—especially outside the U.S.

Sambas and the brand’s newly launched Taekwondo-inspired trainers performed particularly well, helping to offset market turbulence.

“You could ironically say that not being so dependent on the U.S. right now is an advantage,” Gulden remarked, subtly referencing American rival Nike.

Market Reaction

Adidas shares remained stable in Frankfurt trading on Tuesday. Much of the market’s earlier anxiety eased after some of the recently announced tariffs were temporarily suspended.

As the tariff clock ticks, all eyes are now on ongoing negotiations. For now, the message from Adidas is clear: unless trade tensions ease, American consumers will be footing a higher bill for their next pair of trainers.


By WafricNews Business Desk | April 29, 2025