Thrift stores could provide some consumer relief as tariffs drive up prices

Key takeaways

• Tariffs boost second-hand market: Thrift, consignment, and second-hand stores are thriving amid global tariffs, as their merchandise originates from consumer donations rather than international manufacturers.

• ThredUp sees financial gains: Online consignment retailer ThredUp reports benefits from tariff policies, with stock prices rising since the U.S. administration’s tariff announcements.

• Thrifting tips for newcomers: Experienced shoppers recommend planning ahead, budgeting carefully, inspecting items for quality, and being willing to leave if nothing appealing is found.

There’s one segment of the U.S. retail economy that isn’t worried about tariffs. In fact, tariffs on imported goods just may be good for business.

Thrift stores, second-hand stores and consignment stores – whatever they are called – don’t rely on factories in other countries. Their merchandise comes from other American consumers, either in the form of donated items or consigned products, in which the store and the consumer share the money.

“Resale is a rare industry that benefits from the administration’s global tariffs,” Alon Rotem, chief strategy officer at online consignment and thrift store ThredUp, told the Financial Times. “Everything we sell comes from the closets of Americans, so everything we sell is immune.”

ThredUp is a consignment store, a publicly-traded for-profit enterprise, has already benefited from the tariffs. The company’s shares have rallied since President Trump announced the tariffs on April 2.

 Most second-hand stores are operated by churches and other non-profit organizations. One of the largest is Goodwill Industries, where shoppers say you can get lightly-used designer clothing and dinnerware for pennies on the dollar – if you know what to look for.

If you’re new to thrift store shopping, regular “thrifters” offer these tips:

• Plan ahead: Visit some stores in your area before going shopping. 

• Make a budget: Even though items cost less, you can still spend a lot of money if you get carried away.

• Inspect items closely: Look for signs of wear, damage, or stains.

• Be ready to walk away: If you aren't finding what you want, don't hesitate to leave.