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TJX and other off-price retailers aren’t too worried about tariffs

January 20, 2025

JANUARY 20, 2025 – Retail Dive Senior Reporter, Daphne Howland recently reported on the topic of the anticipated Trump tariffs.  But, as she pointed out, “Off-price retailers have yet another advantage over their competition: a measure of protection against protectionism.”

 

Howland wrote, “Tariffs were among Donald Trump’s favorite ideas during his presidential campaign and he has continued to float various levies on imports since his electoral victory last month. As a result, chatter about the effect of tariffs on retail is on the rise, though the topic is rife with uncertainty.”  Many retailers – especially mainstream retailers – are feeling the uncertainty as a high percentage of the merchandise they sell is sourced from outside the U.S.”

 

As uncertainty looms Howland wrote, “But off-price retailers are mostly shrugging this off, for a few fundamental reasons.  The nature of off-price retailers’ merchandise pipelines — where much of their assortment is obtained from retailers and brands offloading excess inventory — serves as a cushion against tariffs. In fact, this possibly gives them an advantage, according to analysts and the companies themselves.”

 

Read the rest of the story by clicking here: Off-price retailers aren’t too worried about tariffs | Retail Dive