SUPPLY CHAIN CRISIS

The fashion industry is one of many that is feeling the weight of tariffs - disruptions that come at a time when it is struggling to make progress toward previously stated climate and sustainability goals

- Joleen Ong

Recent geopolitical developments have underscored the fragility of global supply chains, reminding businesses in constantly-evolving sectors like consumer goods and fashion that the strength of supplier relationships is one of the few persistent sources of resilience. Maintaining such relationships through responsible purchasing (based on environmental and social considerations, not just cost and quality) is not oniy ethical, but strategically necessary.

The fashion industry is one of many that is feeling the weight of tariffs - disruptions that come at a time when it is struggling to make progress toward previously stated climate and sustainability goals. According to a 2025 benchmarking survey by the US Fashion Industry Association, 100% of 25 leading apparel brands and retailers identified the current administration’s protectionist stance and volatile trade relationships as a top challenge, and more than half flagged policy uncertainty, especially retaliatory tariffs, as their primary concern.

Rather than responding with short-term cost-cutting, though, major consumer-goods companies are making strategic investments to build resilience. For example, retailers like Walmart and Target have front-loaded inventory to absorb tariff shocks ahead of the holiday season; and Apple chartered cargo flights to transport 1.5 million iPhones from India, an option made possible by increasing production with a key supplier.