As tariffs continue to rise, a McKinney clothing store owner explains how limited domestic options are affecting his business and customers. NBC 5’s Vince Sims has the story.
As tariffs continue to impact international trade, North Texas businesses are feeling the effects. For Mike Zach, owner of Mike’s Off The Square clothing store in McKinney, that means rising costs and tough decisions on pricing.
“I've done it my whole life,” Zach said. “I tell people I have lint in my blood. I've been doing it so long.”
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WATCH HEREIn his McKinney store, the labels tell the story of his clothes.
“We buy things from Italy, from China, from Canada, from all over the world,” Zach said.
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SIGN UP Because of that, he's watched the trade wars closely.
Zach said some manufacturers notified him last week that any future orders were going up from 10% to 25%.
He said some retailers like him can't absorb all of that increase.
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“With the tariffs, it's increasing the prices to the consumer, and they're not getting any more,” Zach said.
He'd love to source from other manufacturers to avoid tariffs, but he says it's limited for him.
“There's no shoes made in the U.S. basically anymore,” Zach said. “Most of the clothing is not made in this country, and a lot of it has to do with the machinery and the technology and the artisans, and we don't have them here anymore.”
Zach added, “So we just have to work harder to find different resources and to keep our price points in line with what our customers want. Because without the customers, all we have is a museum.”
Zach said there has been a tariff benefit. He said there has been a boost in business.
“There's still weddings going on,” Zach said. “There's prom, there's things going on that they need things. They want to get it now before prices go up. So it's actually a good thing for right now.”
As international trade policies continue to change, Zach is just hoping customers remember one thing.
“The businesses, it's not their fault,” Zach said. “None of the retailers are getting rich on account of these tariffs.”
