Skechers is going private during the middle of a trade war

New York CNN Skechers is fleeing the constituents sphere and hunkering down by going private during the middle of a business war The company stated Monday that resources firm G Capital will buy Skechers for billion G will pay a share for the brand a premium of the company s stock With a proven track-record Skechers is entering its next chapter in partnership with the global assets firm G Capital Skechers CEO Robert Greenberg mentioned in a report Skechers based in Southern California with US stores is the third largest shoe company in the world Shoe companies are highly exposed to President Donald Trump s tariffs which include duties on Chinese imports and a minimum tax on all other countries Ninety-nine percent of all shoes sold in the United States are manufactured overseas according to the Footwear Distributors and Retailers of America an industry group Skechers manufactures all the shoes it sells in the United States abroad with around from China according to analysts Skechers children s shoes are mainly made in China The company last month withdrew its financial guidance due to uncertainty around tariffs Skechers Nike Under Armour and other sneaker giants urged Trump to exempt the footwear industry from tariffs in a letter last week The companies warned that the import taxes could wipe out hundreds of businesses kill tens of thousands of jobs and raise prices for consumers American footwear businesses and families face an existential threat from such substantial cost increases the companies stated This is an urgency that requires immediate action and attention