Nike Under Strain as US Tariffs Threaten Vietnam-Based Supply Chain

Nike’s global supply chain is facing significant disruptions due to planned tariffs imposed by the United States on goods from Vietnam, a key manufacturing hub for the sportswear giant. These tariffs are part of a larger trade policy aimed at rebalancing trade relationships. The move presents challenges to Nike’s operations as it grapples with declining sales and profitability under the new leadership of CEO Elliott Hill. Analysts suggest that Nike’s options to adapt its supply chain quickly are limited, adding uncertainty regarding how much of these cost increases will be passed on to consumers.