Importers & Exporters Top 100 2026

Remodeling vs. repairs

The Joint Center for Housing Studies at Harvard University forecasts just 1.6 % growth in US remodeling spending this year. Because that figure is nominal and not adjusted for inflation— currently about 2.5 % to 3 %— it effectively signals a decline in actual renovation activity.

Dr. Rachel Bogardus Drew, director of the Remodeling Futures Program at Harvard, said people who are moving spend 50 % more on renovations in their first year than those staying in their existing homes, and that, as a result,“ a slowdown in existing home sales can cause a break on some remodeling activity.”

For people remaining in their current homes, Drew said the tendency is to forego huge remodeling projects in favor of less expensive maintenance and repair work. That is consistent with commentary from home improvement retailers.

“ Consumers are still cautious about discretionary big-ticket purchases,” Brandon Sink, chief financial officer at Lowe’ s Companies, said on a February earnings call.“ We forecast the home improvement market to be roughly flat this year.”

Home construction companies such as D. R. Horton and Lennar can also drive demand for household goods like sofas and appliances, but mortgage rates hurt them as much as they hurt Home Depot and Lowe’ s. Mortgage interest rates have“ stubbornly” remained between 6.2 % to 6.4 %, according to Stewart Miller, Lennar’ s executive chairman.

“ Affordability remains the central challenge facing our buyers,” he said on a March earnings call.

The outlook for household goods imports remains tied to the housing market. Harvard’ s Drew said there is no silver bullet, but many things that can trigger a housing recovery, including declines in interest rates or labor costs.

email: ari. ashe @ spglobal. com

Harvard’ s JCHS forecasts US remodeling spending will grow just 1.6 % in 2026. Shutterstock. com

Clothing

IMPORTS

1,739,572 TEUS

↓2.4 %

Change from 2024

↑0.1 %

5-year compound annual growth rate

Rising costs, uneven demand crimping US clothing imports

By Ari Ashe

Clothing retailers and brands will likely remain cautious in their ordering this year amid still-rising costs and uneven consumer demand that reflects a“ K-shaped” US economy.

US apparel and footwear imports fell 5.9 % year over year in the first quarter of 2026 after a 2.4 % decline in 2025, according to PIERS, a sister product of the Journal of Commerce within S & P Global, as the industry worked through inventory corrections. Last year’ s decline brought the five-year annual compound growth rate for the sector down to just 0.1 %, a figure that underscores a lack of sustained demand growth since the COVID-19 pandemic.

In recent earnings calls, executives from across the sector said inventory is largely balanced, but sales remain inconsistent, with higher-income consumers continuing to spend while middle- and lower-income households pull back— what economists call the“ K-shaped” economy. As a result, premium brands and retailers are performing relatively well, while some mid-market players targeting cost-conscious consumers are under intense pressure.

“ If this situation in Iran lasts six months to a year, then we’ re talking about broader supply chain impacts.”

Deckers Brands, for example, reported continued strength in its UGG and HOKA franchises, selling those shoes at full price. By contrast, Nike said it is still working through inventory challenges in North America, resorting to promotions and other discounts to draw down unsold stock.

“ You can’ t just sit there and say,‘ Everything’ s great,’” Nike CEO Elliott Hill told employees following the company’ s earnings call, according to a report from Bloomberg News, emphasizing the need for a more candid assessment of business conditions. A similar dynamic is playing out in the apparel sector. Luxury brand Ralph Lauren reported strong demand for its products sold at full prices. VF Corporation, however, reported weakness in sales of Vans apparel and shoes, requiring more promotions, while children’ s clothing designer and retailer Carter’ s said it would institute“ disciplined cost controls” to combat higher tariff costs and margin compression. www. joc. com May 4, 2026 | Journal of Commerce 31