Earlier this month, the Office of the United States Trade Representative (USTR) published a “comprehensive report” accusing 60 countries of failing to enforce laws that prohibit goods made with forced labour.
Cascale’s head of product Katie Hess warns that the measures could hurt suppliers and workers in apparel’s supply chain.
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“Regardless of the intent behind these measures, it is important to consider how resulting cost pressures are managed throughout global supply chains,” Hess explained.
“Restrictive trade measures push cost pressures down supply chains, where they are most acutely felt by suppliers and workers. How brands and retailers respond to these pressures can have significant implications for supplier stability, working conditions, and long-term business resilience.”
Covering a wide range of goods including apparel, footwear and textiles, the report proposes putting tariffs on “all products of the investigated economies”.
The countries targeted include key apparel and textile manufacturing regions such as China, Vietnam, Bangladesh and India. In many of these countries, suppliers already work with very tight margins, meaning any additional costs could leave them and their workers vulnerable.
“Supplier feedback collected through Better Buying consistently shows that periods of commercial uncertainty and financial pressure can increase operational strain within supply chains,” Hess explained.
“Suppliers report greater challenges related to planning stability, cost absorption, production changes, and order volatility. When these pressures intensify, risks associated with excessive overtime, unauthorised subcontracting, and other labour-rights concerns can also increase.”
As a result, Cascale is calling for forward planning, fair terms and consistent communication with suppliers. Hess said this will help suppliers deal with any upcoming disruption as a result.
“During periods of disruption, these fundamentals become even more important. Responsible purchasing practices can help suppliers manage uncertainty while maintaining stable operations and supporting workers,” Hess added.
“Trade policy changes may be outside the control of individual companies, but purchasing decisions are not. At a time of heightened uncertainty, supplier feedback points to a consistent need: greater predictability, stronger communication, and commercial practices that enable suppliers to plan effectively. These are the conditions that help build resilient supply chains while supporting both business performance and worker wellbeing.”
