Health Supplement Stores NAICS 456191

Mar 27, 2025 - Tariffs May Increase Supplement Prices

• Health supplement retailers may see an increase in dietary supplement prices and potential supply chain issues following new tariffs imposed by the Trump administration. The Trump administration has enacted a 20% tariff on imports from China (on top of existing tariffs applied to Chinese goods), a 25% tariff on imported steel and aluminum, and 25% tariffs on imports from Canada and Mexico, paused until April on United States-Mexico-Canada Agreement (USMCA) compliant goods. In an interview with SupplySide Supplement Journal, Loren Israelsen, president of the United Natural Products Alliance (UNPA), said the Chinese tariffs are most important for the dietary supplement industry, as China is the dominant supplier of both folic acid and vitamin D3 to the US. Per the UNPA, as much as 80% of raw nutraceutical ingredients on the market originate from China. During his first term, Trump raised tariffs by 7.5% on several dietary supplement ingredients, per Israelsen.
• A new survey from NOW Health Group found that supplements increasing energy levels will be a priority for consumers in 2025, according to Vitamin Retailer Magazine. The survey showed that 56% of survey respondents reported seeking supplements to boost their energy levels and keep up with their busy lives. Other top areas for supplements, according to the survey, included fitness support (56%), better sleep (36%), and weight management support (31%). More Americans are being proactive about their health, with more than half of respondents saying they are prioritizing healthy aging in their 30s or earlier.

• According to a report in CFO Dive, consumer confidence levels, an indicator of discretionary spending, have fallen due to consumer anxiety about tariff effects and economic uncertainty. The consumer sentiment index from the University of Michigan dropped 11% in March 2025, marking the third straight month of declines and hitting the lowest level since November 2022. In addition, the Conference Board index of consumer confidence fell in March 2025. According to Stephanie Guichard, senior economist for global indicators at the Conference Board, “Consumer confidence declined for a fourth consecutive month in March, falling below the relatively narrow range that had prevailed since 2022.”
• The 2024 Consumer Survey by the Council for Responsible Nutrition (CRN) found that 75% of Americans use dietary supplements, with higher growth seen for magnesium, prebiotics, and melatonin supplements, according to Vitamin Retailer. Magnesium use increased to 23% in 2024 from 19% in 2023, prebiotics increased to 7% in 2024 from 5% in 2023, melatonin increased to 16% in 2024 from 10% in 2020, and ashwagandha grew to 8% in 2024 from 2% in 2020, per the survey. Overall monthly spending on supplements in 2024 was $50, consistent with the median monthly expenditure of $48 in 2023. According to the report, top factors for using supplements are overall health and wellness, immune health, and energy with two-thirds of users saying they believe it is important to have a personalized regimen.