The multi-stakeholder organization's Better Buying program warned that how brands and retailers respond to mounting costs could reshape supplier stability, working conditions and long-term business resilience.
of up to 12.5 percent on 59 countries and the European Union over perceived failures to impose forced labor import bans, brands’ and retailers’ responses to mounting costs could reshape supplier stability, working conditions and long-term business resilience, “Regardless of the intent behind these measures, it is important to consider how resulting cost pressures are managed throughout global supply chains,” said Katie Hess, head of product at the multi-stakeholder initiative’s responsible purchasing practices arm, which conducts surveys that allow suppliers to anonymously rate their buyers on how fairly they do business.
, levied under Section 301 of the Trade Act of 1974, targets countries such as Bangladesh, China, India and Vietnam—all key manufacturing hubs where the bulk of the world’s textiles are produced. In markets where margins are already sliver-thin, she said, added cost pressures can aggravate known vulnerabilities such as inhumane production targets, wage theft and abuse and harassment.consistently shows that periods of commercial uncertainty and financial pressure can increase operational strain within supply chains,” Hess said.
“Suppliers report greater challenges related to planning stability, cost absorption, production changes and order volatility. When these pressures intensify, risks associated with excessive overtime, unauthorized subcontracting and other labor rights concerns can also increase. ”Whether Washington is earnest in its desire to clamp down on forced labor—or if it’s simply using this as anto rebuild its original tariff regime—is beside the point, Hess said.
What matters now is how supply chains allocate that burden so it isn’t borne by those with the least leverage—workers most of all. Already, worker organizations such as the Asia Floor Wage Alliance have warned that imposing these tariffs could trigger a humanitarian crisis on the scale of the Covid-19 pandemic, when global brands “walked away from their responsibilities,” leavinglast year, AFWA found that suppliers absorbing cost increases passed them on to their employees through rising workloads, precarious wages and other hallmarks of deepening exploitation.
Women workers and non-union migrant laborers, it said, were often the first to be terminated with little to no severance. Hess noted that even in moments of relative calm, suppliers have consistently underscored the need for fair terms, predictable planning and constant engagement. These fundamentals become even more critical during periods of turmoil, when maintaining stable operations and supporting workers grows more challenging.
“Trade policy changes may be outside the control of individual companies, but purchasing decisions are not,” Hess said. “At a time of heightened uncertainty, supplier feedback points to a consistent need: greater predictability, stronger communication and commercial practices that enable suppliers to plan effectively. These are the conditions that help build resilient supply chains while supporting both business performance and worker well-being.
”After a deadly fire destroyed more than half of West Africa's largest secondhand clothing market, Kantamanto is reclaiming its narrative in a world drowning in textile waste. Also in this edition: An REI store votes to unionize, more Cambodian workers hurt in a road crash, and child workers rescued in India. Ugg's Otzo clogs feature Nuyarn lining, Carbios is postponing its China plant commissioning and Solena and The Protein Express received funding.
WWD and Women's Wear Daily are part of Penske Media Corporation. © 2026 Fairchild Publishing, LLC. All Rights Reserved.
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