How Rising Tariffs Are Making Online Clothing Resale the Smartest Move in 2025

If you’ve noticed your favorite fast-fashion brands becoming more expensive, there’s a clear reason behind it. New U.S. tariffs on imported apparel, scheduled to take effect in April 2025, are driving up clothing costs across the board. This shift is creating an unprecedented opportunity for anyone with a closet full of unworn items. Selling clothes online has transformed from a casual side hustle into a savvy financial and environmental decision.

Why Tariffs Are Changing the Fashion Game

The U.S. government recently introduced steep tariffs on imported clothing, with some rates surpassing 100% for items originating from China. Considering that 97% of American apparel is imported, these changes will inevitably lead to higher retail prices. Fast-fashion retailers like Shein and Temu, which previously avoided high taxes through loopholes, can no longer offer ultra-low prices. As a result, shoppers are increasingly turning to secondhand platforms to save money, while sellers are seizing this trend to their advantage.

The Resale Boom: More Than Just Extra Income

Selling used clothing isn’t solely about earning extra cash—although that remains a significant draw. The secondhand market has seen explosive growth, with platforms like Depop and Poshmark boasting millions of users actively searching for unique finds. Beyond the financial benefits, reselling plays a role in reducing fashion waste, which contributes to 10% of global carbon emissions. By keeping clothes in circulation, sellers are helping to create a more sustainable fashion industry.

Where to Sell for the Best Returns

Not all resale platforms are created equal, and choosing the right one can make a substantial difference in profits. Depop, with its 35 million users, appeals to those selling vintage and trendy styles, making it especially popular among Gen Z sellers. Poshmark’s vast audience of 130 million shoppers is ideal for mid-range brands, while Mercari stands out as a strong choice for sneakers and electronics. eBay and Vinted remain reliable options, but fees vary across platforms. Understanding these differences ensures better returns on your listings.

Tips to Sell Faster and Smarter

To achieve quick sales, high-quality photos are essential. Natural lighting, multiple angles, and clutter-free backgrounds can significantly enhance the appeal of your listings. Detailed descriptions are equally important—include the brand, size, and condition of each item. Competitive pricing is another key factor, so researching similar listings helps set fair prices. On Depop, sellers often model their items for a styled look, while Poshmark shoppers tend to prefer simple flat lays. Adapting your approach to each platform increases the likelihood of success.

Managing Fees and Shipping Costs

Maximizing profits requires careful attention to fees and shipping expenses. Reusing packaging materials like Amazon mailers can help cut costs. Most platforms provide prepaid shipping labels, with USPS generally being the most affordable option. It’s also important to understand platform-specific fees: Depop charges 3.3% plus $0.45 per sale, Poshmark takes 20% on sales over $15, and Mercari’s 10% seller fee includes buyer costs. A clear understanding of these fees allows for more strategic pricing.

The Bigger Picture: Fast Fashion’s Decline

Beyond the impact of tariffs, the rise of secondhand shopping underscores the flaws of fast fashion, including environmental harm and unethical labor practices. By reselling clothes, individuals are not only earning money but also contributing to a more sustainable and ethical fashion system. This shift reflects growing consumer awareness and demand for responsible consumption.

Final Thoughts

With clothing prices steadily rising, selling unused items presents a win-win scenario. Sellers can offset higher retail costs, tap into the booming resale market, and reduce waste. Whether experienced or just starting out, now is an ideal time to turn unworn clothes into cash.

Ready to get started? Choose a platform, focus on high-quality photos, and join the resale revolution. Both your wallet and the planet will benefit from this smart and sustainable move.