US Tariffs Got You Down? It’s Time To Increase Your Prices

Recognizable brands, such as Adidas, Levi Strauss, and Nike, have all said they’ll be increasing prices for select products. In fact, according to Reuters, over a third of businesses studied have raised their prices because of the US tariff uncertainty, particularly between the US and China.

Some industries have been hit harder than others. For example, consumer goods, such as clothing and footwear, as well as alcohol and coffee, are primarily imported from overseas.

With the trade negotiations going back and forth since May, it’s not surprising to see businesses take action in an effort to dampen rising costs.

After first announcing the new US tariff rates in April 2025, President Trump gave countries around the world a few months to determine a set rate. The recent deadline was August 1, 2025, also named “Liberation Day” by the administration.

As of yesterday, tariffs have increased for more than 90 countries, including Canada, Brazil, India, and Vietnam. Negotiations are still ongoing between the US and China.

➡️ The latest rates can be seen in our US tariff tracker.

So, does your business need to raise product prices to combat the new tariff rates? The full impact is still to be seen, but if you import goods from abroad, it’s likely you’ll need to:

• Increase prices to absorb higher taxes
• Understand the buying habits of your target audience
• Seek feedback from customers to avoid negative reactions
• Source products locally to avoid import taxes
• Pause discounts and sales for the time being

Ideally, strike a balance when increasing prices to avoid impacting sales or damaging customer relationships too much. At the end of the day, you run a business and need to make money, so the price increase might be an unavoidable step.