Dec. 25 at 5:18 PM
Tariffs and supply chain disruptions have driven leather prices sharply higher in 2025, pushing up retail prices for boots, handbags and furniture, with relief unlikely for years. Higher import duties, freight costs and scarce hides have squeezed margins across the industry, forcing many companies to raise prices.
Bootmaker Twisted X described widespread chaos after new tariffs took effect, as shipments were halted, costs fluctuated and margins were recalculated daily. Similar pressures are hitting major brands, including Coach owner Tapestry and Steve Madden, as pre-tariff inventory has been replaced by much more expensive goods.
Analysts estimate leather goods prices could remain nearly 22% higher over the next one to two years, driven by tariffs on key suppliers such as China, Vietnam, Italy and India, ongoing supply bottlenecks, and a shrinking U.S. cattle herd. Luxury leather prices are already rising, and broader price hikes are expected to become more visible by 2026.
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