Participation in sports and fitness continues to grow across the United States, but rising costs, tariffs, and supply chain pressures are creating new challenges for the industry, shaping how companies operate and how consumers access products. These dynamics are outlined in the Sports & Fitness Industry Association’s (SFIA) newly released 2026 State of the Industry Report.
The report is based on a survey of sports and fitness manufacturers, reflecting industry performance for the previous year. The survey was fielded in January 2026.
In 2025, the sporting goods industry continued to expand, supported by strong consumer interest and sustained participation growth. The industry posted 3.4% growth in 2025, compared to GDP growth of 5.0% — consistent with the historical performance of discretionary categories.
While demand remains steady, companies across the industry are facing rising costs tied to materials, logistics, and tariffs. These pressures are forcing businesses to make difficult decisions around pricing, sourcing, and operations — dynamics that ultimately shape both product availability and affordability for consumers.
Manufacturers cite tariffs as the defining issue facing the industry. In fact, tariffs ranked as the top concern across companies regardless of whether their business performance improved, declined, or remained stable, underscoring the widespread impact of trade policy on the sports and fitness marketplace.
Despite these concerns, the report finds that most companies are not making significant changes to their manufacturing strategies. A majority of respondents indicated no shift in sourcing, reflecting the complexity and long-term nature of global supply chains. Rather than rapidly restructuring, companies are adapting within existing systems, managing costs, optimizing operations, and working to maintain stability in an uncertain policy environment.
“The 2026 State of the Industry Report reflects an industry that remains fundamentally strong, but is navigating a more complex operating environment,” said Alex Kerman, senior director and head of research at SFIA. “Participation is at record levels, and interest in sports and fitness remains high, but rising costs and supply chain pressures are creating real challenges. The focus now is on how the industry continues to grow while maintaining access and affordability for consumers.”
The report also highlights the growing importance of technology, particularly artificial intelligence, as companies look to improve efficiency and better serve consumers. Even amid a year of cost pressures, only 1.9% of companies reported they plan to decrease R&D investment next year.
Participation trends remain a key strength. More Americans are engaging in sports and fitness activities than ever before, reinforcing a long-term shift toward active lifestyles. However, significant opportunities remain to deepen engagement and expand access, particularly among underserved populations and in higher-cost activity categories.
As the United States prepares to host a historic decade of global sporting events — including the 2026 Soccer World Cup and the 2028 Olympic and Paralympic Games — there is a unique opportunity to build on this momentum. SFIA’s 2034WARD Campaign is designed to help the industry maximize this unprecedented global attention to expand participation, improve access, and advance the broader impact of sports and fitness across the country.
“The next decade presents a powerful opportunity to inspire more Americans to get active,” Kerman added. “By focusing on access, affordability, and engagement, the industry can translate this moment into lasting progress that gets more Americans active and strengthens communities across the country.”
The SFIA State of the Industry Report is available free to SFIA members and for purchase by non-members for $1,000.
Members of the media may request a complimentary copy of the report or schedule an interview with an SFIA representative by contacting Jenny Karn at [email protected].
