Page 4 - The Katten Kattwalk - Fall 2025 - Issue 30
P. 4

World Textile Information




        Network Sits Down With




        Karen Artz Ash









        Following President Donald Trump’s global tariff wars,
        World Textile Information Network (WTiN) sat down with

        Intellectual Property Partner Karen Artz Ash, National
        Co-Chair of Katten’s Trademark/Copyright/Privacy Group.

        Karen, who has practiced in the trademarks, fashion
        and beauty industries now for over 30 years, discussed

        the recent impact of Trump’s tariffs on the US fashion
        industry at large and her observations in law.



        WTiN: Since President Donald Trump’s reciprocal         how and where companies devote their budgets,
        tariff wars and the elimination of the duty-free        retail resources and advertising as well.
        de minimis exemption, what concerns are you seeing      WTiN: Some argue that this increase in
        from US fashion brands, manufacturers and supply        protectionism — the practice of shielding a country’s
        chain bodies?
                                                                domestic industries from foreign competition by
        Karen: Without a doubt, there is greater caution in     taxing imports heavily — will cut back at lengthy
        committing to large orders or to placing orders with    supply chains and reduce fast fashion reaching US
        a single manufacturer that has factories in only one    soil, thus improving sustainability. In what ways is
        region. While, typically, there are economies of scale   this protectionism benefiting and/or harming the US
        in volume and using factories where their production    fashion industry?
        runs can save money by being large, there is a natural   Karen: While the goal is laudable, namely in that
        reluctance to commit to anything in large quantities
        and without backup.                                     it supports local jobs and resources, this is not an
                                                                overnight process. It takes years to locate, build
        Overall, companies are trying to provide themselves     and set up a domestic manufacturing facility that
        with as much cushion as possible by diversifying their   can support a substantial business. It takes just as
        reliance on different factories in different locations.    long to hire and train workers, and the cost of those
                                                                workers will be high because of the high cost of living
        Planning with retailers is also more difficult. Both
        retailers and brand owners want to minimize the         anywhere in the US.
        need for passing along substantial price increases to   Over the years, the US pivoted from being a
        consumers. The potential for reciprocal tariffs that    manufacturing country to a more service-oriented
        impose higher costs on selling products in other        economy. This has fueled the growth of certain types
        countries also has a significant planning impact on     of work, requiring different education, skills and


     4  katten.com/fashionlaw
   1   2   3   4   5   6   7   8   9