The proportion of companies affected by the sanction was determined through a survey conducted by the Brazilian Footwear Industry Association (Abicalçados) among its members.
“Among the impacts already reported are delays or halts in negotiations, a reduction in revenue, and the cancellation of orders, some even of shoes that have already been produced or are in production,” stated Haroldo Ferreira, president of Abicalçados, in the association’s press release.
The association warns that one of the biggest effects will be the loss of about 20,000 jobs, including 8,000 direct and 12,000 indirect positions, expected in the coming months.
“We estimate a 9% decrease in exports in the coming months,” Ferreira said.
According to the association’s data, the United States is the main destination for Brazilian footwear exports, accounting for about 20% of the sales.
In the first half of this year alone, Brazil exported 5.8 million pairs of shoes to the United States, a figure 13.5% higher than in the same period of the previous year.
