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Like virtually every sphere in the business world , the secondhand industriousness is grappling with the branching of President Donald Trump ’s tariff .
The companies of late report Q1 2025 earnings consequence , both addressing the press subject of tariffs . eBay and Etsy are live to an extent , largely due to their sellers ’ approaches to sourcing products . In contrast to import - reliant rivals like Temu and Shein , which recently raised price in response to tariffs , many eBay and Etsy sellers in the U.S. mainly source their product locally , often selling used , vintage , or hand-crafted item .
The companies render information during their earnings calls to demonstrate the minimum exposure to duty .
eBay ’s chief executive officer Jamie Iannone say , “ Our bang-up China to U.S. twenty-five percent makes up about 5 % of entire [ gross product value ] for us . And China overall is a little less than 10 % . ”
Similarly , Etsy ’s CFO , Lanny Baker , say , “ At present , Etsy ’s direct tariff photo appear to be comparatively low give that just over 1 % of [ gross product sales ] comes from U.S. importation of items purchased from sellers in China . ”
Etsy ’s CEO , Josh Silverman , add together , “ Most are solo entrepreneurs run from their home with 90 % sourcing their supplies domestically . ”
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have sellers with local source strategies can bring home the bacon a pregnant reward over competitors like Temu , Shein , and Amazon . However , secondhand companies still have to deal with the challenge that come with the on-going economic uncertainty and consumer spending riding habit .
Etsy appear to be slightly more vulnerable when it comes to this . Etsy ’s core byplay model focuses on handcrafted and vintage good , which tend to be price higher . So , while Etsy sellers may not feel the effects of tariffs , customers are still hesitating to drop , leading to a 3.4 % twelvemonth - over - yr decline in active purchaser , bringing the amount to 88.5 million . The identification number of wonted buyers was down 11 % , tally 6.2 million .
Additionally , Etsy reported an 8.9 % declension in gross product sales agreement ( GMS ) for the marketplace to $ 2.3 billion .
On a positive note , Etsy continues to benefit from its possession of Depop , a secondhand fashion platform that remains popular amid the hover recess . Since acquiring Depop in 2021 , the political platform has accomplish record - high GMS . The fellowship did n’t disclose specific figures .
“ Etsy has a strong track record of navigating turbulent macroeconomic conditions , and we ’re confident in our ability to keep adapt , ” Silverman aver .
In contrast , eBay is in a impregnable place because more price - conscious shopper are pick out used and refurbished goods , which the ship’s company said account statement for over 40 % of its stock . The company reported that customers eager to debar duty have increase their spending , giving eBay a solid start to the quarter .
“ We have observe healthy volume trends due to strength in our nidus family and what could be a modest pull forth of demand from consumers worry about increase costs and complexity at U.S. customs in the near futurity , ” said eBay ’s CFO , Steve Priest .
The companionship ’s gross merchandise intensity ( GMV ) develop to $ 18.8 billion , while gross increased over 1 % to $ 2.58 billion .
