Tariffs' Potential Impact on US Beauty Supply Stores

All of the products in beauty supply stores were made in China. Due to new U.S. tariffs on China, you could see an increase in prices at your local beauty supply store.

Jessica Kwalli, owner of Beauty Supply Store, said, "I grew up in Detroit, and I saw that shopping and beauty supply stores with my mom, there wasn't much representation at all." That's what motivated her to open up her own shop in February, filling it up with diverse and American-made products by small business owners like herself.

“But, you know, in the beauty industry, it's kind of impossible for everything to be U.S.-based," Kwalli said. "So I do have that portion of hair extensions that are coming from China and coming from other countries overseas.”

Kwalli has been facing the reality that prices on those products could get higher with U.S. tariffs on Chinese imports rising to 20%. “That's horrible," Kwalli said. "10% was already, you know, unexpected, and it's like you can kind of maneuver through that, but 20% is that's, I just don't even wanna think about that...I’ve actually had a few customers who've come in and have asked me, you know, personally just ask, 'how are you being impacted by this as a new beauty supply store?'”

Kwalli won't know the actual numbers until she places her next wholesale order. But she's already bracing for impact, researching new vendors.

Kevin Ketels, associate professor of global supply chain management at Wayne State University, says while most consumers may not see the impact on these tariffs now, they likely will soon. “20% tariff is a, is a very large percentage, and most companies can't eat those costs, and they would ultimately have to be passed on to the consumer," Ketels said. "So initially we'll have some, you know, there's some existing inventory that will be burned off, but if it lasts more than a few weeks, it could have a large impact and could result in higher costs for consumers.”

Ketels says when and for how long are a part of the ongoing uncertainty disrupting the supply chain. “While everyone is trying to figure out what's happening here, it will have a chilling effect on the American economy because everyone's waiting to just see," Ketels said.

Kwalli is staying positive; she's determined to get creative and make it work. "You have to be open to trying other things," she said.