How Bond-Eye Australia swimwear is tackling US tariffs head-on by heading to New York

One of Australia’s popular swimwear labels has a new plan to tackle the impact of US tariffs hitting their business — and it’s working. SEE THE VIDEO.

In the bustling Bond-Eye Australia swimwear boutique on New York’s trendy Bleecker Street, there’s no hint of the turmoil the Australian fashion industry is enduring amid months of upheaval caused by America’s tariff regime.

After bearing the brunt of the Covid pandemic followed by bruising years of consecutive rate rises and a cost of living crisis, 2025 was set to be a year of growth and renewal for Australia’s embattled fashion industry.

But that hope was dashed by April when United States President Donald Trump announced sweeping global trade tariffs.

For many, the new cost of doing business is now simply too high, forcing retailers to abandon the US market altogether.

Others are pivoting, moving offshore manufacturing from countries with higher tariffs like China and Vietnam back to Australia, opening warehouses in the US, passing on hefty price hikes to their American customers, or finding alternative markets in the Middle East and Europe.

Bond-Eye Australia swimwear founder and CEO Steve Philpott says they are prepared to play the long game.

And for a few like , they’re putting the pedal to the metal.

Mr Philpott has doubled down on US investment, opening the summer pop up shop on Manhattan’s famed Bleecker Street, eyeing more locations, and courting buyers at Miami Swim Week.

“I think surviving the initial shocks of Covid and coming out stronger has given us the steel we need to ride out these turbulent times,” he said.

“Right now, we are playing the long game and are prepared to dig in.”

Donald Trump unveiled his Liberation Day tariffs to the world on April 2, slapping a universal 10 per cent tariff on all goods from Australia. Picture: AP

When Mr Trump unveiled his Liberation Day tariffs to the world on April 2, slapping a universal 10 per cent tariff on all goods from Australia before spending weeks moving the goal posts, Mr Philpott said it was a surreal experience.

“I just said to everybody in my business, ‘look we’ve just got to be calm we’re not going to react, we’re not going to knee jerk, our customers are going to look to us to be strong here, we can’t freak out or stop shipping’, so we just held it and kind of agreed to absorb it,” he said.

The Australian-made label sells one piece swimsuits for about $180-$220 and single pieces for about $100. Bond-Eye increased its prices for US customers by less than the 10 per cent tariff – about $10 for a one piece and $5 for a single piece item.

While sales took a temporary hit, the business is continuing to grow.

Australian swimwear brand Bond-eye has doubled down on US investment.

It’s a success story few others have been able to emulate.

Australian Fashion Council CEO Jaana Quaintance-James said many small businesses were left with the difficult choice of passing on the tariff costs to US customers or absorbing the hikes and accepting smaller margins.

“And then some have literally turned off their e-commerce sites to the US,” she said.

“It might be temporary, but it’s effectively a market exit.

“They’ve just been like, we cannot deal with this uncertainty, we cannot deal with this cash flow impact, and we can’t pay the tariffs, so we’ve just turned it off for now.”

For many it will be a devastating blow to the hard-won market share and customer relationship.

Bond-eye has a store in New York..

Bond-eye opened a summer pop up shop on Manhattan’s famed Bleecker Street.

Businesses that manufacture outside of Australia in countries like China, where tariffs soared to above 140 per cent for a period before being negotiated down to 30 per cent, face an even bigger challenge.

“I think we’re seeing businesses that have maintained local manufacturing are actually in a stronger position, and certainly demonstrating probably more resilience,” Ms Quaintance-James said.

“You also have the issue of Vietnam is the biggest process of Australian cotton so it’s actually not just about the brands it’s about our materials impacted too.

Many businesses are using the upheaval to diversify, abandoning the US market in favour of Europe, the UK, Asia and the Middle East.

“What many Australian fashion businesses do well is that real differentiation around the quality and sustainability of the product,” she said.

“And so I think the world is that oyster in terms of how we take that forward.”

Countries are individually negotiating trade deals with the US but it appears unlikely the 10 per cent tariff will be lifted under the Trump administration.

Originally published as How Bond-Eye Australia swimwear is tackling US tariffs head-on by heading to New York