Long-term tariff repercussions on the dance apparel industry remain to be seen, given that the timelines and details seem to be a moving target. One thing is certain, however: Stress levels are high amongst small and not so small business owners alike. “We are in flux with daily changes, waiting for something formal to occur,” says Freed USA general manager Julienne Viola. “We are endeavoring to ride the storm for the next six months.”
Talking about the Trump administration’s tariffs is difficult for many, mostly because of the unknown. Dance Retailer News reached out to nearly 20 different store owners, dancewear brands, and retail experts for this article, but most—including the U.S. Small Business Administration—did not respond to interview requests. A major dance brand said it was unable to comment “as it’s all still very much to be confirmed exactly where it will all land.” One store owner who has been in business 12 years would only speak on condition of anonymity: “I am preparing the best I can,” she says. “But I don’t think all dance brands or dance retailers are going to survive this.”
What Are Tariffs? Why Do They Matter to Dance?
Tariffs are taxes on imported goods, collected once they cross the border by the U.S. Customs and Border Protection. They are used as a way to raise revenue, protect domestic industries, and as a negotiation tactic with foreign governments. However, they can mean higher cost of goods and prices for consumers, prompt retaliatory tariffs, and potentially increase the chances of a recession. President Trump’s unpredictable stance and changing timelines have already caused enormous uncertainty for businesses and consumers, and the stock market continues to show volatility.
In April it was announced there would be a universal 10% tariff on all items coming into the country, while goods from China faced a 145% tariff. But the situation is constantly changing: On May 8, it was announced that the U.S. agreed to a “breakthrough” trade deal with the U.K.—the first country to come to an agreement—and on May 12, the BBC reported that recent talks resulted in a “total reset” in trade terms between the U.S. and China.
“The world hasn’t seen anything like this since maybe 1910,” says Gilbert Russell, owner of Brio Bodywear in Ottawa, Canada, and author of Retail AI Unleashed. “Thankfully, dance is fairly recession-proof because parents … [will] start depriving themselves of things first before they cut off dance classes. That being said, I think we’re in for a rough ride.”
In 2023, 97% of the (nondance) clothes and shoes purchased in the U.S. were imported, and the tariff rates were already over five times higher than on all other imports, according to the American Apparel & Footwear Association. When it comes to dancewear, the statistics are likely similar. Even if items are made in U.S. factories, they often utilize raw materials from other countries. Think of the elastic that gets sewn into leotards or on shoes, the flowers and beading on costumes, and the marketing and packaging materials used by suppliers. Those items—even if they were ordered and paid for eight months ago and are just now ready to be shipped—now have a tax on them that wouldn’t have been accounted for in the budget.
One of the biggest long-term concerns amongst dance retailers involves potential price increases on dance shoes, since the majority of them are manufactured abroad. International Dance Shoes, which makes ballroom footwear at its factory near London, has put together a helpful web page with the latest news on how tariffs currently impact its orders to the U.S., per DHL, its main shipping partner. Shipments under $800 will continue to avoid extra charges, unless the order contains products manufactured in China, and then U.S. Customs may apply import duties to the entire order. All shipments over $800 now have an extra 10% tariff, on top of typical tariffs.
What Can You Do Right Now?
The most important thing you can do as a small business owner is to stay informed and be willing to adjust, similar to how everyone adapted their operations during the pandemic. “There is no long-range planning anymore,” Russell says. “It’s about responding quickly to what’s happening and being agile with the mindset of a surfer riding a wave.”
Here are some suggestions from two veteran dance retailers when navigating tumultuous times in business:
- Keep your inventory streamlined. “You don’t want to be sitting on inventory, especially now,” says Holly Bertucci, who has owned The Dance Bag in Modesto, CA, for 30 years. Russell agrees: “This isn’t the time to be brave in terms of purchasing.”
- Remind your customers of your quality customer service. “We facilitate people getting into dance, and that’s beautiful and joyful,” Russell says. “We need to be communicating less about potential pricing increases and instead connect emotionally about the joy of dance.”
- Take time for self-care. “You’re not going to see things clearly when you’re stressed,” Russell says. “Take care of yourself right now, whatever that means for you.”
- Don’t try to control the uncontrollable. “You can’t worry about something that isn’t here yet,” Bertucci says. “This is just one more thing to power through.”
Hannah Maria Hayes has an MA in dance education from New York University and has been writing for Dance Media publications since 2008.