With tariffs being one of President Donald Trump’s campaigning points (that is already beginning to come to fruition), the clothing industry has been bracing itself for a big shift. And, Gen Z and Millennials have already made a backup plan, according to ThredUp’s latest report.
Since 98% of clothing is made outside the United States, some anticipate rising costs on price tags or compromise in the production of clothes, whether it be exploitative labor or lower quality materials. Fast fashion powerhouses are already doing the latter. However, some savvy shoppers have instead decided on an alternative that’s both cost-efficient and ethical.
According to a report by ThredUp, an online resale platform, conducted by third-party retail analytics firm GlobalData, many consumers are turning to secondhand clothing. “59% of consumers say if new government policies around tariffs and trade make apparel more expensive, they will seek more affordable options like secondhand. This figure is highest among Millennials at 69%,” the report says, based on responses collected from 3,034 consumers.
While relying entirely on secondhand shopping may not be possible as it depends on what’s available to shop, the shoppers do intend to spend a significant amount of their shopping on pre-loved items. “Consumers plan to spend 34% of their apparel budget on secondhand in the next 12 months. This figure is higher among younger generations (Gen Z and Millennials) who say they'll spend nearly half (46%) on secondhand,” the report states, based on responses from surveys about sustainability and circularity goals given to 50 U.S. fashion retailers.
Retailers are similarly expecting thrifting to take priority. “80% of retail executives expect new government policies around tariffs and trade to disrupt their global supply chain,” per ThredUp’s report. “44% of retail executives are looking to reduce reliance on imported goods, and 54% of retail executives believe resale offers a more stable and predictable source of clothing in the face of potential tariff fluctuations.”
The United States government has already enacted tariffs for some countries. As they go into effect, the way they change the clothing industry and consequently the secondhand market are something fashion experts will surely continue studying.
