Steven Madden Shifts Sourcing Post-Trump Victory

(Reuters) – Steven Madden (NASDAQ:SHOO) executives announced on Thursday their efforts to quickly transition product sourcing away from China following Donald Trump's U.S. presidential election victory.

In February, Trump indicated that if he assumed power, tariffs on China could be reinstated, potentially exceeding 60%. This has raised concerns for retail companies reliant on imports from the region.

During a post-earnings call, Steven Madden executives stated they had been anticipating the possibility of needing to expedite their move from China. They are currently developing manufacturing bases in countries such as Cambodia, Vietnam, Mexico, and Brazil.

"Just under half of our current business would be potentially subject to tariffs on Chinese imports if Trump imposes tariffs when he takes office in January," said a company executive.

The company aims to decrease the percentage of goods sourced from China by approximately 40% to 45% over the next year.