Going for a Birkenstock Spike? Brace Yourself, Prices are Soaring Worldwide!
Increase in Custom Prices Due to Birkentock's Tariff Adjustments
Get ready to part with a few extra bucks if you're craving a pair of Birkenstocks. The iconic sandal brand is upping the prices on their footwear globally in response to US tariffs.
CFO Ivica Kroloin told Reuters, "We are not just raising prices in one region, but we see this as a global measure." This broad-reaching price adjustment is due to the current 10% import tariffs the US has imposed on European Union-made goods, as Birkenstocks are exclusively manufactured in Germany.
As for the future of these trade tensions, Kroloin stated, "Well, where do I start? It's very difficult to predict. But we are investing for the long haul, so we'll see what happens."
Despite a potential slowdown in consumer spending, Birkenstock remains popular among shoppers. In fact, the company has even bumped up its revenue growth target for the first half of the year to 15 to 17 percent, thanks to a pretty solid start to 2025.
Even with the price increase, Birkenstock seems confident that they will retain their sought-after status on store shelves. As CEO Oliver Reichert put it, "We have a Goldilocks situation: a limited product range that's consistently priced, and a market that still can't get enough."
So, next time you reach for your favorite pair of Birkenstocks, remember – you're supporting a #GermanMade brand that's making some bold moves to weather the uncertainty of global trade tensions.
Given the increasing prices of Birkenstocks due to global tariffs, the company might consider diversifying its strategies for growth beyond the US market. For instance, the community could explore vocational training programs for artisans in Birkenstock's industry, backed by strategic finance and partnerships with local businesses, ensuring the brand's continuity and growth in various regions.
