Nike announces price hike—Here's what's getting more expensive
What's the story
Nike has announced plans to hike prices of select products from June 1.
The price increase will affect a wide range of items from shoes to clothing. The decision comes as part of "seasonal planning," the sportswear giant said.
Interestingly, Nike didn't attribute this move to US President Donald Trump's tariff policies, which have heavily impacted global trade dynamics.
Pricing changes
Price hike details and exemptions
From June 1, Nike shoes priced over $100 will increase by up to $10. Clothing and equipment prices will also go up by $2 to $10.
However, popular items such as Air Force 1 trainers and shoes under $100 are exempt from these price hikes.
Children's products as well as Jordan-branded apparel and accessories are also excluded from this increase.
Sales strategy
Nike to resume direct sales on Amazon
In a major change in its sales strategy, Nike has announced that it will start selling products directly on Amazon in the US.
This will be the first time since 2019 that the sportswear giant will be selling its products directly on the platform.
The decision comes amid widespread uncertainty surrounding trade policies, which have impacted companies around the world.
Trade tensions
Tariffs impact on Nike's pricing strategy
Nike's decision to hike prices is driven by a combination of internal and external factors.
The company said, "We regularly evaluate our business and make pricing adjustments as part of our seasonal planning."
Many Nike trainers are produced in Asia, which has been targeted by Trump's tariffs on foreign countries he accuses of "ripping off" Americans.
Retail response
Walmart also announces price hikes due to tariffs
Walmart has also announced plans to hike prices at its stores due to high import duties.
"Given the magnitude of the tariffs, even at the reduced levels announced this week, we aren't able to absorb all the pressure," said Walmart's senior vice president Stephanie Schiller Wissink.
In a post on Truth Social, Trump wrote that "Between Walmart and China they should, as is said 'EAT THE TARIFFS,' and not charge valued customers ANYTHING."