Handbags are headed to Capitol Hill, as the fashion industry braces to battle tariff plans set by the Trump administration.
The accessories industry will testify before a U.S. government panel later this month in opposition to the administration’s proposed tariffs on Chinese-imported travel goods and handbags, WWD has learned.
Travel goods — including handbags and wallets — were included in the administration’s third wave of action in its ongoing trade war with China. This third group of categories amounts to about $200 billion in annual imports. Initially set as a 10 percent proposed tariff, the Trump administration ratcheted up action last week by suddenly increasing its tariff proposal to 25 percent.
On Wednesday, the Chinese government escalated pressure in the tit-for-tat trade battle by revealing a 25 percent tariff on an additional $16 billion worth of goods. The tariffs apply to 333 products including cars, some fuels and fiber optic cables.
Synthetic material handbags and accessories produced in China face tariffs of about 20 percent, while leather goods presently see an approximate 9 percent entry levy. Should the revised trade policies be implemented, some accessories categories would see up to 45 percent tariffs, which would go into effect as early as September.
The 15 percent