Follow-up Survey on impact of 2025 'Liberation Day' Tariffs
In April 2025, following the U.S. government’s introduction of sweeping “Liberation Day” tariffs on key garment and footwear sourcing countries, the Business and Human Rights Centre surveyed the top 25 fashion brands importing into the US, regarding the human rights implications of tariff-related purchasing decisions. No brands responded to that initial outreach.
Since then, over the past ten months, the Centre has tracked multiple public reports linking factory closures and layoffs to tariff-related adjustments in brands’ purchasing practices, including order cancellations, volume reductions, and downward price negotiations. Trade unions, labour rights organisations, and media outlets have highlighted the adverse consequences for workers, particularly women and migrant workers, whose livelihoods depend heavily on export-oriented manufacturing.
The Business and Human Rights Centre therefore recontacted the same top 25 fashion brands to understand how they are responding to ongoing tariff uncertainty, what measures they have put in place to ensure their purchasing decisions protect jobs, and what human rights due diligence has been undertaken in relation to any changes in sourcing or pricing practices.
“We have never seen anything like this before.”Bahlakoana Lebakae, Secretary General of the General Workers Trade Unions (GENTU)
BHRRC outreach to top fashion brands
The Business and Human Rights Centre has once again contacted the top 25 fashion companies importing into the U.S. to understand what specific tariff-related purchasing or sourcing adjustments they have implemented since April 2025, and how these decisions have been assessed for their potential and actual impacts on workers. This includes examining what measures companies have taken to ensure that suppliers are not required to absorb disproportionate cost pressures, and how continued protection of workers’ livelihoods has been integrated into their human rights due diligence processes.
However, once again, no brand answered the survey to provide information on their sourcing strategies. Adidas, Fast Retailing, H&M, Inditex, LVMH, Nike, Shein, provided general statements without giving information on how they are responding to this specific tariff issue. Abercrombie & Fitch, American Eagle Outfitters, Cintas, Gap, Levi, Kohl's, Macy's, PVH, Target, TJX, Under Armour, Urban Outfitters, Authentic Brands, Walmart, Ralph Lauren, Lululemon and Victoria's Secret did not respond at all. VF Corp, declined to respond.
"Brands need to be transparent in terms of what they’re planning [and] their commitment to purchasing orders and practices. So far, we have not seen that in place. We need transparency and we need engagement with unions and stakeholders in discussions.”Tharo Kun, Center for Alliance of Labor and Human Rights (CENTRAL)
As tariff-related pressures continue to reshape global sourcing strategies, the available evidence suggests that the consequences are already being borne disproportionately by suppliers and workers. It is critical that companies move beyond high-level commitments and demonstrate, in practice, how purchasing decisions linked to external shocks are assessed, implemented and mitigated to prevent adverse human rights impacts. The continued absence of substantive disclosure from companies significantly limits visibility into how these risks are being managed, raising concerns about the adequacy of current approaches to oversight and accountability in the sector in periods of economy disruption.
The Business and Human Rights Centre will continue to track the evolving impacts of tariff-related adjustments across supply chains, including shifts in sourcing, pricing and production. It will also continue to engage companies to better understand how human rights considerations are being integrated into operational and commercial decision-making.