Copyright syracuse.com
Children’s clothing retailer Carter’s has announced plans to close 150 stores nationwide as a result of increased costs linked to President Donald Trump’s tariffs. The company, known for brands such as OshKosh B’Gosh, Little Planet, and Skip Hop, made this announcement on Monday, Oct. 27. “The Administration has implemented significant new tariffs on products imported into the United States from a wide range of countries. These additional tariffs have begun to add substantially to the approximately $110 million in duties on imported product paid by the Company in fiscal 2024,” the company said in a news release. Douglas C. Palladini, Carter’s Chief Executive Officer & President, explained in a statement that the company’s “third quarter performance reflected continued improvement in U.S. Retail business demand” and Carter’s had “achieved positive comparable sales and improved pricing for the second consecutive quarter.” However, while the company was seeing success, it was still losing money. “Elevated product costs, in part due to the impact of higher tariffs, as well as additional investment, weighed meaningfully on our profitability,” Palladini continued. The store closures will be spread out over approximately three years, with around 100 stores closing during fiscal years 2025 and 2026. Currently, Carter’s operates over 1,000 stores across North America, but it is unclear which specific locations will be closed. Carter’s also plans to cut 300 positions, which represents 15% of its workforce. Founded in 1865 by William Carter, the retailer initially sold mittens that Carter knitted in his kitchen in Needham, Massachusetts. In the 1870s, the product line expanded to include adult underwear and “union suits,” a type of one-piece long underwear for babies, children, and adults. It wasn’t until the 1950s that Carter’s shifted its focus to children’s apparel.
