Disclaimer: The following article is for informational and entertainment purposes only. It is not financial advice nor an endorsement of any particular investment or collectible. Always conduct your own research and consult with a financial professional before making any decisions related to sports cards or other investments.

The sports card market has proven resilient in bouncing back from previous economic downturns, but the recent macroeconomic environment may create challenges that will impact the near-term future of collecting. With a 10% baseline tariff now applied to imports from nearly every country, the ripple effects are already being felt, with the stock market dropping over 10% in just the past two days.

How Tariffs Could Impact Sports Cards

1. Increased Costs for International Sellers and Buyers

The new tariffs make it significantly more expensive for sellers outside the U.S. to ship cards into the country. This could result in both:

• Reduced supply: International sellers may avoid the U.S. market due to higher shipping costs and tariffs
• Higher prices for U.S. buyers: Collectors in the U.S. may face increased costs when purchasing cards from abroad

For international collectors, the tariffs also complicate grading submissions to companies like PSA and BGS, which are primarily based in the U.S.

2. The Wealth Effect and Discretionary Spending

The sharp decline in the stock market has broader economic implications; with many collectors seeing their portfolios shrink, they may have less disposable income to spend on non-essential items like sports cards

Potential Outcomes for the Sports Card Market

Short-Term Challenges

• Lower demand: As collectors tighten their budgets, demand for mid-tier and high-end cards could decline.
• Market correction: Prices for certain cards may drop as sellers compete for a smaller pool of buyers willing to spend
• Seller Liquidity: For sellers who need immediate liquidity because their stock portfolios have dropped, sports cards may be one of the first things they decide to unload

Long-Term Resilience?

Historically, sports cards have shown resilience coming back from economic downturns. Iconic cards tied to legendary players (e.g., Michael Jordan’s 1986 Fleer or Babe Ruth’s Goudey) often retain value or even appreciate over time due to their scarcity and cultural significance.

However, modern cards (especially of currently active players) may face steeper declines in the near-term because their value is often speculative and tied to short term performance.

What This Means for Collectors

Opportunities

• Buying during dips: If prices do drop significantly, this could present opportunities for collectors to acquire grail cards at a discount
• Focus on timeless assets: Cards tied to historically significant players are likely to hold their value better than speculative investments in newer players

Risks

• Volatility in modern cards: Cards tied to active players may see sharper price declines if collectors pull back on discretionary spending
• Reduced liquidity: Sellers may find it harder to move high-value cards quickly if demand slows

Final Thoughts: A Market at a Crossroads

The introduction of tariffs and subsequent stock market turmoil create a unique set of challenges for the sports card market. While iconic collectibles may weather these changes better than speculative investments, the overall market could face headwinds as international trade slows and discretionary spending tightens.

For collectors, this is a time to stay informed about market trends and consider focusing on long-term plays rather than short-term flips. Whether these changes represent a temporary dip or a more sustained shift remains to be seen—but one thing is clear: adaptability will be key in navigating this evolving landscape.