Allbirds, Inc. is tightening its inventory and adjusting prices in response to evolving global trade policies, particularly tariffs on goods manufactured in Vietnam. The company has reduced its initial inventory purchases for fall 2025 and its buy plans for spring 2026.
These actions are part of Allbirds' efforts to mitigate potential cost increases and margin pressures stemming from tariffs. The company produces a significant portion of its footwear in Vietnam, making it susceptible to changes in trade policy.
Management expects higher per unit freight costs in the direct channel and the assumed continuation of a 10% incremental tariff on Vietnam goods to impact gross margins. The strategic adjustments aim to maintain a healthier inventory position and manage profitability.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.