Nike raised prices by as much as $10 on many of its best-selling sneakers – but the struggling sneaker giant refused to blame the spike on tariffs.
The Beaverton, Ore.-based company – which produces most of its apparel and sneakers in China and Vietnam – hiked prices on its Nike.com website by 2% to 6% on popular footwear including Air Max 270, Vomero 5 and Zoom Fly 6, according to a BMO Capital Markets price check released Wednesday.
“Nike has strategically and quietly raised prices on styles they believe can handle price increases,” BMO analyst Simeon Siegel told the Post.
“It’s reasonable to assume it’s because of tariffs. The way the math works is that a 10% tariff can be offset by a 3% to 5% price increase.”
The company, however, refused to attribute the unannounced hikes on President Trump’s 10% tariff levied on Vietnam or the 30% tax on China.
“We regularly evaluate our business and make pricing adjustments as part of our seasonal planning,” the company said in a statement last week in response to reports that it would hike prices on June 1.
The price increases come despite sagging sales for more than a year, leading the company to lure longtime Nike executive Elliott Hill out of retirement and name him CEO in October to spearhead a turnaround.
Hill had spent three decades in various leadership roles before stepping away in 2020.
In March, Nike reported a 9% sales decline during the all-crucial holiday season quarter, and forecast a steeper-than-expected drop in fourth-quarter revenue.
A source familiar with the company’s strategy said Nike is not raising prices on children’s products or on items less than $100.
Most Nike sneakers that currently cost more than $150 will see increases of up to $10, while footwear priced below $150 will go up by $5, the source said.
“It’s rare to see this broad of a price increase,” Siegel said.
Some of the company’s popular styles remain at their current prices, including the $115 Air Force 1 sneakers, which sell for $115 on the site, according to the BMO report. Apparel like the Indy Sports Bra, NBA jerseys and Sportswear windbreakers also avoided hikes, according to the report.
Last week, Nike said it would return to selling its merchandise on Amazon for the first time since 2019 – a move that industry experts viewed as a Hail Mary because of its plummeting sales.
Other major retailers, including Walmart, have warned that the levies will force them to raise prices — despite Trump’s call for them to “eat the tariffs.”
On Wednesday, Macy’s reported that it is cutting its full year profit outlook because of tariffs.
The famed department chain also said it would raise prices on “selective brands and categories.”
This story originally appeared on NYPost
