Kohl’s is adapting its inventory strategies due to tariff pressures and shifting consumer demand, as discussed by CFO Jill Timm. The retailer plans to cut orders in categories where demand is expected to decline, particularly for high-elasticity items like small electronics. To mitigate tariff impacts, Kohl’s is diversifying its production across various countries and proactively collaborating with suppliers. Despite a 1.7% increase in inventory year-over-year, strategies to manage inventory will continue, aiming for a significant reduction by year-end. Other retailers are also reassessing their inventory in response to the evolving tariff landscape.

Source: https://www.supplychaindive.com/news/kohls-inventory-strategy-offset-tariffs-earnings/750013/