Tariffs, Trust, and the Price of a Pair of Nikes—A Masters Sunday Reflection
It's Masters Sunday—that rare day in April when the world slows down for a little golf, a little tradition, and a lot of green jackets.
At the top of the leaderboard this year is Rory McIlroy, Nike's global ambassador and one of the highest-paid athletes in the world. His swing? Immaculate. His drives? Effortless. His Nike deal? Reportedly $200 million over 10 years.
It's a striking image:
One golfer, earning $20 million a year from Nike, competing under Georgia's azaleas… While half a world away, the people who make Nike's products earn $200–$300 a month in Vietnamese factories.
And now, those workers—and the supply chains they power—are in the crosshairs of proposed 49% tariffs on Vietnam.
👟 Runners, Supply Chains, and False Nostalgia
Nike manufactures over 50% of its shoes in Vietnam, a country that has gone from war-torn to world-class manufacturer in a single generation. The average cost to make a pair of Nikes in Vietnam? $12–$15. Retail price? $100–$120.
Introduce a 49% tariff, and Nike's cost structure implodes. But don't expect factories in Ohio or Michigan to fire up.
Because here's the thing: Nike won't "reshore" to the U.S. It will diversify—to India, Mexico, or Indonesia. Supply chains go where they are wanted, where they are cost-effective, and where the ecosystem exists. The U.S. simply doesn't check those boxes anymore for large-scale sneaker production.
💰 The Jobs Myth
No matter how many times tariffs are sold as a ticket to job revival, the truth is simpler: Americans don't want those jobs. Not at $15/hour. Not in factories. Not with the repetitive tasks that are now being automated or outsourced.
If you offered most people a job on a Nike product line or a gig in a warehouse, they'd pick the warehouse. Or better yet, a course in coding, AI, or solar installation.
Tariffs are trying to protect a past that no longer exists.
And Then There's Vietnam
Let's not forget the deeper story: Vietnam was once a war zone for the U.S. Today, it's a trusted trade partner, a key China alternative, and home to hundreds of thousands of skilled factory workers.
Slapping punitive tariffs on Vietnam now is not just economically clumsy—it's strategically tone-deaf. In a world reshaped by fragile supply chains and shifting alliances, we should be deepening trust, not discarding it for domestic optics.
Nike Share Price April 7-11
📉 Nike's Market Reaction Says It All
After the tariff threat emerged, Nike's share price dropped fast. Billions were wiped out in hours—not because of Vietnam alone, but because of what these tariffs signal:
- Uncertainty in trade strategy
- Fragile supplier relationships
- Inflationary pressure
- Short-term political wins over long-term economic sense
🌳 A Masters Sunday Perspective
There's something poetic about the contrast on display today:
- On one side, Rory McIlroy, making millions in Nike gear, poised for golfing immortality at Augusta.
- On the other, Vietnamese workers, who earn less in a month than Rory earns per swing, facing tariffs that could cost them their livelihoods.
Golf has always been a game of calm precision. Of risk and reward. Of knowing when to take the long view.
We could learn something from that.
Because when it comes to trade, trust, and global labor, we need less politics—and more par-saving strategy.
Tariffs aren't going to bring back Nike jobs. But they might just push away allies, inflate prices, and weaken brands.
And no amount of spin will win that tournament.