That said, we’re far away from a celebratory tone. While we have seen a rebound, the situation surrounding tariffs remains fluid, and continues to cast a shadow over the economy. Federal Reserve Vice Chairman Philip Jefferson recently acknowledged the challenges, noting that the continuation of high tariffs, even if lowered somewhat, “...could lead to a rise in inflation”. He also emphasized that “there remains much uncertainty about how prices will evolve moving forward, and how long these effects may last.”
We also don’t know what the full impact of the tariff situation may have on supply chains, nor the long-term consequences of the disruptions caused by the virtual shutdown in shipments from China. That is where our brand partners come into the conversation. While some brands have managed to keep prices stable—either through better factory negotiations or absorbing some of the margin losses to insulate their retail partners and consumers—others have been forced to raise prices on certain products.
The good news is the prevailing belief is that the administration will eventually de-escalate the tariff situation, allowing for some semblance of normalcy to return. However, it would be naive to assume that we are out of the woods. It’s just too early to predict the full extent of the impact.
So for now, I encourage you to continue connecting with your customers and to deliver the best service and products to support their running journey. In times of economic challenge, running remains a constant in many people's lives, and the run specialty channel will continue to be there to support them.
Thanks for your support of the RIA, and we will continue to monitor the situation closely and provide you with updates as they become available.
Terry
Executive Director
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