The State of American Retail: Are Online Shopping and Tariffs to Blame? 🛒

In recent years, American malls have experienced a noticeable decline, leaving many wondering if this is due to the rise of online shopping or the impact of tariffs imposed on imported goods. The year 2025 brought significant changes to the landscape of retail when former President Trump announced a 10% tariff on all imported items. It’s estimated that these tariffs could lead to an additional $3,800 in expenditures for American families each year. With the already-challenging economic environment, many shoppers are feeling the pinch.

As you walk through various shopping centers, the atmosphere is far from vibrant — it often feels eerily quiet, almost as if you could hear a pin drop. The introduction of these tariffs has left many consumers feeling that even the air they breathe is becoming more expensive.

Retail Giants Feeling the Heat 🔥

The effects of these tariffs and changing shopping habits have been striking for many retail giants:

• JCPenney: In mid-2025, JCPenney plans to close eight stores in states like Maryland, Idaho, Kansas, New Hampshire, North Carolina, West Virginia, California, and Colorado.
• Macy’s: Following their “Bold New Chapter” strategy, Macy’s intends to close 66 stores by the end of 2025, reducing their total from 350 to approximately 200 locations by 2026.
• Big Lots: After filing for bankruptcy at the end of 2024, Big Lots will shut down around 580 stores, beginning liquidation sales in December 2024.
• Joann Fabrics: After its second bankruptcy filing within a year, Joann confirmed the closure of 530 of its 800 stores, affecting locations primarily in California, Florida, Indiana, Michigan, New York, Pennsylvania, and Washington.
• Party City: Following its bankruptcy declaration in December 2024, Party City plans to close all corporate storefronts in the U.S. by February 28, 2025.
• GameStop: GameStop is planning to shutter more locations after already closing nearly 600 stores in the fiscal year 2024.
• Family Dollar: Its parent company, Dollar Tree, has announced the closure of 370 Family Dollar locations upon lease expiration, adding to the 600 stores already shut down.

Looking Ahead: The Future of Retail 🛍️

The trends we see today in American malls reflect a shifting retail landscape influenced by economic policies and consumer preferences. As more shoppers turn to online platforms for their shopping needs, traditional brick-and-mortar stores must adapt quickly or face closure.

Retailers have no choice but to rethink their strategies to keep customers engaged and shopping in-store. Whether it be through enhanced customer experiences, exclusive in-store offerings, or embracing technology, the future of retail in America hangs in the balance. The impact of tariffs and rising living costs continue to shape how Americans shop and where they spend their money, leaving both retailers and consumers navigating a new economic reality.

As we move forward, it will be fascinating to see how the retail sector evolves and what measures will be taken to revitalize shopping experiences in the U.S. 🌟