Top U.S. brands like Nike have spent years shifting away from Chinese factories, but the new tariffs now threaten Southeast Asian supplies.

Retailers may not be able to fully offset these tariffs, as countering the impact of the levies on Vietnam alone would require price increases of 10% to 12%, per analysts.

Nike shares fell 6% after President Trump announced reciprocal tariffs of 46% on Vietnam, 32% on Indonesia and 34% on China. Suppliers in Vietnam, Indonesia and China make 95% of the sneaker company’s manufactured goods.