Robert Besser
25 Apr 2025, 22:43 GMT+10
NEW YORK CITY, New York: Stores that sell secondhand clothes, shoes, and accessories might actually benefit from President Trump's trade war, even as other businesses worry about its impact, experts say.
American fashion is popular around the world, but most clothes sold in the U.S. are made overseas. A Yale University study said U.S. tariffs could make clothes 65 percent more expensive and leather goods 87 percent more expensive. These higher prices might push shoppers to look for cheaper options—like resale websites, consignment shops, or thrift stores. Used items are usually more affordable and don't face tariffs unless they are imported.
Kristen Classi-Zummo, an expert at market research firm Circana, believes resale will grow even if the overall fashion market struggles. "Value-focused" shopping channels are likely to do well in this uncertain time, she said.
Still, it's unclear how long the tariffs will last or if secondhand sellers will raise their prices.
Jan Genovese, a retired fashion executive, sells her designer clothes on apps like Mercari. If new clothes get too expensive, she might buy secondhand more often.
Even before tariffs, secondhand fashion was growing fast. A report from McKinsey predicted that by this year, secondhand fashion would grow 11 times faster than new clothing sales, driven by people wanting to save money and shop more sustainably.
While younger people like millennials and Gen Z were the main secondhand shoppers, the trend may now be spreading. A company called Sensor Tower found that downloads of secondhand shopping apps like eBay, Poshmark, and ThredUp went up three percent from January to March—the first increase in three years. The week Trump announced new tariffs, some of these apps saw a big jump in downloads.
Classi-Zummo also noticed that shoppers are now buying everyday items secondhand, not just rare or vintage pieces. "It's still cheaper than buying new," she said.
Poshmark, a site where people buy and sell used clothes, hasn't seen a boost in sales from the tariffs yet, but its CEO says they're ready for it. They're improving the app to help shoppers find what they want more easily.
Emily Gittins, CEO of Archive, a tech company that helps brands like Dr. Martens and The North Face set up resale programs, said more brands are now interested in selling used items already in the U.S. to avoid overseas costs.
Off-price retailers like TJ Maxx and Burlington might also do better during the tariffs since they sell leftover stock from U.S. warehouses. But secondhand sellers could still face challenges. Rachel Kibbe, who runs a company focused on sustainable fashion, said if the U.S. adds a 20 percent tax on used goods from Europe, it could hurt some secondhand sellers. She's pushing for these types of goods to be exempt from tariffs.
Kibbe also said that ending tax-free imports from China could help secondhand sellers by making cheap new clothes more expensive.
James Reinhart, CEO of ThredUp, said the new tariffs could help resale platforms like his but probably won't lead big brands to rely heavily on secondhand sales. "They'll look into it," he said, "but I don't think resale alone will help them survive."
Rebag, a luxury resale store that sells used designer handbags, expects to gain more customers because of the tariffs and plans to open more stores. Its CEO, Charles Gorra, said they adjust their prices based on how new luxury items are priced. However, resale prices haven't gone up as much as new ones, because demand hasn't kept up.
Norah Brotman, a 22-year-old college student, buys most of her clothes on eBay or from thrift stores like Goodwill. She also resells older fashion styles on Depop. She hopes the tariffs might encourage people to shop more thoughtfully.
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