• Loading stock data...
Wednesday, October 29, 2025
Want a chance to win $250 and free FOS gear? Take our quick reader survey. Take the survey here

Adidas Warns of Potential Price Hikes From Trump Tariffs

Adidas said uncertainty around U.S. tariffs prevented it from increasing its outlook for the full year both for revenues and operating profit.

Mar 31, 2025; Orlando, Florida, USA; A detailed view of the shoes worn by LA Clippers guard James Harden (1) during the game against the Orlando Magic at Kia Center.
Mike Watters-Imagn Images

Tariffs will mean higher prices for consumers, Adidas said in its latest earnings report.

In results that were pre-released last week, Adidas confirmed strong first-quarter numbers, reporting 13% higher sales compared with a year ago. 

But the German sportswear retailer said uncertainty around U.S. tariffs is keeping the company from updating its full-year guidance. 

“In a ‘normal world’ with this strong quarter, the strong order book and in general a very positive attitude towards Adidas, we would have increased our outlook for the full year both for revenues and operating profit. The uncertainty regarding the US tariffs has currently put a stop to this,” the company said in its earnings statement. The retailer confirmed its previous guidance, which it posted in March, saying it expected 2025 sales to increase at a high-single-digit rate.

CEO Bjorn Gulden said on the earnings call following the release that it is not planning any price increases yet, but would have to pass along increases if the currently paused tariffs end up going through. Vietnam, which was set to be hit with a 46% tariff, has become a dominant sourcing country for Adidas and other retailers including Nike and On, especially after Trump imposed hefty tariffs on Chinese imports during his first presidential term. On April 9, Trump announced a 90-day pause on all tariffs except for imports from China.

Although the company has already reduced its U.S. imports from China to a minimum, it’s still somewhat exposed to those currently very high tariffs. President Trump imposed 145% tariffs on imports from China. 

“Since we currently cannot produce almost any of our products in the U.S., these higher tariffs will eventually cause higher costs for all our products for the US market. Given the uncertainty around the negotiations between the US and the different exporting countries, we do not know what the final tariffs will be,” Gulden said in the earnings release.

Adidas is just the latest in a growing list of companies—including Delta, PepsiCo, and General Motors—that have pulled or lowered guidance in the latest round of earnings reports. Last week, Skechers withdrew its full-year guidance because of broad economic uncertainty stemming from tariff policies. Most Skechers footwear is manufactured in China and Vietnam. 

“External volatility and macroeconomic risks have increased significantly since adidas first issued its full-year outlook at the beginning of March. While the company confirms its outlook, the range of possible outcomes has increased,” the company said.

Since the renewed trade war began, Adidas said it has not seen direct change in demand for its products. “We have not seen over the last eight weeks a lack of demand because of tariffs,” Gulden said on the earnings call.

The company noted that U.S. tariffs have no impact on 80% of its business, as it derives most of its sales outside the U.S. “Currently it’s a local problem we need to solve, but we don’t have the facts to solve it yet,” Gulden said.

The footwear category grew 17%, driven by double-digit growth in its Originals, sportswear, and running lines. The three-stripes brand saw continued popularity in its skate, retro running, and terrace styles including the Samba and Gazelle models. Adidas also noted it launched additional styles after selling out its Taekwondo, Japan, and Tokyo models.

Given the direct impact of tariffs and the danger of tariffs rising, plus the possible negative impact on the U.S. consumer, Gulden warned of possible “negative pressure” on the brand. 

“Overall, we view the guidance hold as a positive sign at a time when many companies have withdrawn their financial outlook,” Telsey Advisory Group said in a note following the release.

Shares of Adidas dipped 3% as of Tuesday midday.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Rozier’s Lawyer Says Missed 2023 Games Cost Him Shoe Money

Rozier had a Puma deal through the end of the 2022–23 season.
Donald Trump Jr. imitates President Donald Trumps as he speaks during a memorial service honoring Charlie Kirk at State Farm Stadium in Glendale on Sept. 21, 2025.

The Trumps Are All In on Prediction Markets

Truth Social is launching a platform that will offer sports event contracts.
Patty Goodman straightens a display of Hoka shoes Friday, Aug. 30, 2024 at Goodman’s Shoes.

Has Hoka Peaked? Some Analysts Think So 

Hoka is on the decline, while On has more share to take.
Sep 21, 2025; Tampa, Florida, USA; (left to right) Tampa Bay Buccaneers owner Avram Glazer, owner Edward Glazer and owner Joel Glazer during the second quarter against the New York Jets at Raymond James Stadium.

Mavs, Bucs Owners Donate to Trump’s White House Ballroom Renovation

The White House said the ballroom is “currently unable to host major functions.”

Featured Today

September 21, 2025; Santa Clara, California, USA; NFL commissioner Roger Goodell before the game between the San Francisco 49ers and the Arizona Cardinals at Levi's Stadium

NFL Fall Meeting: 7 Big Topics Among Team Owners 

Media, facilities, and labor highlight some of the key areas of concern.
Ohio State Buckeyes running back Isaiah West (32) runs the ball in the second half at Camp Randall Stadium on Saturday, Oct. 18, 2025 in Madison, Wisconsin
October 25, 2025

NIL Has Birthed a Third-Party Cottage Industry—and It’s a Mess

There’s no limit to how much players can make from NIL deals.
Christie's
October 21, 2025

Lou Gehrig’s $4M Jersey and the Exploding Sports Memorabilia Market

An ultra-rare sports collection is about to hit the auction block.
@chef__tezz/Instagram
October 19, 2025

Inside the NFL’s Private Chef Network

Private chefs are the unsung architects of player performance.
Limited Hype
July 27, 2025

Sneaker Reselling Was Once Easy Money. Success Is Now Complicated

Vendors need to evolve what they’re selling and how they do it.
August 12, 2025

‘We Have Pricing Power’: On Smashes Earnings Expectations

U.S. tariffs haven’t cooled demand for On’s high-priced sneakers and apparel.
Sponsored

Why Alexis Ohanian Is Betting Big on Women’s Sports

Alexis Ohanian reflects on his evolution from Reddit cofounder to one of today’s most dynamic sports investors.
Happy Gilmore 2 hockey stick putter
July 21, 2025

Callaway’s $500 ‘Happy Gilmore’ Putter Booming on Resale Market

Callaway released a limited-edition Odyssey-branded hockey stick putter.
A Lululemon store at Freehold Raceway Mall in Freehold Township, New Jersey on Nov. 30, 2023
July 2, 2025

Sportswear Stocks Rise as Trump Touts Vietnam Trade Deal

Tariffs on Vietnam imports will be 20%, down from a prior threat of 46%.
From vintage to unique collaborations, various Nike and Jordan shoes are displayed on a wall at Saved Soles inside West Ridge Mall.
June 26, 2025

Nike Stumbles Less Than Expected, Giving Wall Street Hope

The sports apparel and footwear giant beats Wall Street expectations.
Jun 20, 2024; Eugene, OR, USA; Detailed view of Nike Alphafly 3 racing flat at the Nike by Eugene store.
June 25, 2025

Investors Hunt for Signs Nike Has Regained Its Footing

Nike’s fundamentals are “still challenged.”