Etsy has issued guidance for both buyers and sellers navigating ongoing tariff challenges, emphasizing the importance of local purchasing while warning that U.S. trade policies remain unpredictable.

According to Bank of America analysts, Etsy’s exposure to tariffs is somewhat cushioned by its resale platforms like Depop and Reverb, yet about 25% of its merchandise is imported. These tariffs threaten consumer spending, which Bank of America calls the “biggest risk” for Etsy’s growth. UBS analysts forecast a possible decline in gross merchandise sales by 5.5% to 11% in 2025.

Etsy CEO Josh Silverman advised shoppers to focus on domestic sellers, noting that U.S. customers have access to over 60 million items shipped domestically, with thousands of sellers in every state. Similarly, the platform boasts hundreds of thousands of sellers in the U.K., Germany, and France.

For sellers, Etsy recommends using Delivered Duty Paid options, where carriers such as DHL Express, UPS, and FedEx calculate and pre-pay import duties, helping avoid delays and unexpected fees for buyers. Sellers are encouraged to factor tariffs into pricing and consult legal experts due to the fluid nature of trade regulations.

Etsy acknowledges the evolving landscape and pledges to keep the community informed as policies continue to shift in the weeks ahead.

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