Footwear giants on the brink of bankruptcy... Trump crisis grows

The new customs tariffs initiated by U.S. President Donald Trump are dragging global footwear giants into an economic crisis. Leading industry brands such as Nike, Adidas, Crocs, Skechers, Columbia, Under Armour, and Toms have announced that they are under severe financial pressure due to customs duties that have risen to 220 percent under the new regulations.

JOINT WARNING FROM MAJOR BRANDS TO THE WHITE HOUSE

The biggest names in the industry clearly stated in a joint letter addressed to the Trump administration that these new taxes are driving the sector toward collapse. The letter stated, "The American footwear industry is under a major threat due to these taxes. We want to be exempted from the tariff burden."

STOCKS ARE DEPLETING, SUPPLY CHAIN MAY COLLAPSE

The letter, which emphasizes that hundreds of firms are at risk of closing, warns that many companies have stopped accepting orders, while some brands' current stocks will be depleted in a very short time. It was pointed out that these developments will also significantly affect U.S. consumers.

According to the letter, some footwear brands have been forced to pay customs duties ranging from 150 percent to 220 percent on imported products. This situation is creating immense economic pressure on production and retail chains.

Industry representatives state that this burden will negatively affect not only the firms but also consumers directly due to price increases.