Rising geopolitical tensions are expected to impact the global footwear industry mainly through higher costs rather than an immediate decline in consumer demand, according to the latest World Footwear Business Conditions Survey
The conflict between the United States and Iran is increasingly viewed as a material risk for the global footwear industry, according to the results of the Spring 2026 edition of the World Footwear Business Conditions Survey
Despite economic uncertainty and geopolitical tensions, Germany’s online footwear market remained stable in the first quarter of 2026, as consumers continued to spend online
According to PwC’s latest Consumer Sentiment Survey, global geoppolitical events have dented consumer confidence, which has fallen to its lowest level since autumn 2023 and at the fastest quarterly rate since June 2022
Explore the main retail dynamics across France, Germany, Japan, the Netherlands, the UK, the US and Spain, including end-2025 insights and early-2026 signals, highlighting online outperformance in France and Spain, persistent footwear weakness in Germany, and import-cost pressure in Japan and the US
Amid growing concerns over the economic impact of the Middle East conflict, the British Retail Consortium has called on the UK government to ease mounting cost pressures on retailers
The early Easter resulted in stronger-than-expected growth in UK retail sales in March. However, this masked the ongoing weakness of discretionary categories, particularly clothing and footwear
Although overall sales remained stable in 2025, performance within the fashion sector was mixed, with clothing outperforming the far more volatile footwear segment. At the same time, weakening consumer sentiment persisted despite easing monetary policy, signalling growing uncertainty. This is particularly evident in footwear imports, which reversed sharply after a strong start to the year and declined alongside retail sales, even as import prices continued to rise. The combination of falling volumes and higher costs points to a sector increasingly squeezed by soft demand and ongoing supply-side issues
Sales in the UK’s textile, clothing, and footwear (TCF) sector recovered in 2025, exceeding total retail figures despite periods of volatility. However, this recovery was driven more by increased transaction volumes than by higher consumer spending, with expenditure on footwear remaining largely unchanged and prices declining amid persistent discounts. At the same time, volatile yet growing online sales and increasingly responsive import patterns suggest that the sector is trying to adapt quickly to uncertain demand
A business coalition that includes the European Footwear Confederation (CEC) is urging the EU to implement deemed importer rules more quickly, as delays would lead to continued unfair competition in e-commerce
Germany’s footwear and leather goods sector remained under pressure in 2025, with weak consumer and retail confidence, falling sales, and substantial discounts weighing on the market, despite the expansion of the online channel and a significant increase in footwear imports. Looking ahead, industry representatives appear to anticipate cautious stabilisation rather than a clear rebound. While e-commerce and Germany’s role as a regional hub offer some support, weak domestic demand and persistent uncertainty continue to cloud the outlook
While the broader Spanish economy expanded by 2.8% in 2025 and total retail sales grew steadily, driven largely by double-digit gains in e-commerce, the fashion sector struggled. On average, there was a monthly year-on-year decline of 0.8% in clothing and footwear sales, accompanied by sector-specific deflation despite positive headline inflation. Although consumer confidence remained relatively solid, households increasingly prioritised services and savings over fashion purchases
The French retail sector remained largely stagnant in 2025. Subdued sales, declining consumer confidence and cautious household spending negatively impacted footfall and average basket sizes in physical stores. While e-commerce continued to grow, the footwear sector experienced falling sales, negative sentiment and limited inflationary support. Data on imports also suggests that retailers have adopted more cautious inventory management strategies. Even the approval of the new Budget does not appear to lift the cloud of uncertainty hanging over the year ahead
The US Supreme Court has ruled against former President Donald Trump’s use of emergency powers to impose sweeping tariffs. This has prompted reactions from US retail groups and international industry stakeholders
UK total retail sales rose by 2.7% in January, according to the BRC, surpassing the 12-month average of 2.3%. Post-Christmas discounts boosted spending on both food and in-store items