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Retail Brew // Morning Brew // Update
American Eagle’s Sydney Sweeney campaign.

Hello, it’s Thursday, and a Reuters report suggests that chocolate makers in the US might be losing out to their Canadian and Mexican counterparts. While both countries can export chocolate into the US tariff-free, US companies like Hershey may be forced to pay up to $100 million with the current rate of 10%–25% tariffs on cocoa imports. It’s not the sweetest news, we have to say.

In today’s edition:

—Andrew Adam Newman, Alex Vuocolo, Vidhi Choudhary

MARKETING

Sydney Sweeney in an American Eagle campaign for jeans

American Eagle

A new American Eagle campaign featuring actor Sydney Sweeney is going viral, but not necessarily in the way the brand had hoped.

As evident in the wordplay of its tagline, “Sydney Sweeney Has Great Jeans,” the campaign plays on the idea that both her American Eagle denim and her genetics are exemplary.

“Genes are passed down from parents to offspring, often determining traits like hair color, personality, and even eye color,” Sweeney purrs in one spot, the camera lingering on the blond and blue-eyed actor. “My jeans are blue.”

For some, who took to social media to object to the campaign, the message seemed to echo the dark legacy of eugenics and “Nazi propaganda.”

A TikTok from rapper and singer Doja Cat mocking the campaign had more than 24 million views at the time of publication.

“What it communicates to people is that there is a prototypical standard for good genes: white, blond hair, blue eyes,” Dr. Marcus Collins, author of For the Culture and marketing professor at the University of Michigan Stephen M. Ross School of Business, said in a video he posted to LinkedIn. “Considering the political and social, cultural backdrop that we’re in right now, that could seem like some pretty bad dog whistling.”

While Collins stressed he had no idea of American Eagle’s intent, “it certainly makes sense that people will see it as such.”

Keep reading here.—AAN

From The Crew

SUPPLY CHAIN

a freight train at a red railroad crossing signal

Thomas Winz/Getty Images

Freight rail companies Union Pacific and Norfolk Southern have agreed to a $85 billion merger deal that could remake US supply chains.

The combined company would operate nearly 50,000 miles of track across 43 states, effectively creating a “transcontinental railroad” that, in the words of Union Pacific, “will transform the US supply chain, unleash the industrial strength of American manufacturing, and create new sources of economic growth and workforce opportunity that preserves union jobs.”

Regardless of whether these lofty ambitions come to fruition, the deal could have major consequences for the retail industry.

Keep reading here.—AV

E-COMMERCE

Bee AI bracelet

Bee

Last week, both Amazon and Meta threw their hats in the AI wristband ring.

Amazon recently acquired Bee, which makes a $49.99 wristband equipped with AI and microphones that can listen to discussions and break them down into quick summaries, action items, and daily reminders.

Meta has reportedly designed a new wristband with technology that taps into the electrical currents flowing through our muscles during finger movements. By detecting these brain-generated impulses, the system can predict your intended actions moments before you perform them.

Data mines: Both companies are going after data to deliver different AI experiences. Meta’s wristband represents a broader push to create hands-free technology that allows users to command their devices through pure intention rather than physical contact.

Meanwhile, Amazon’s interest seems more to collect more data to build AI models.

Keep reading here.—VC

Together With WooCommerce

SWAPPING SKUS

Today’s top retail reads.

Casting doubt: Why Hermès shares took a hit despite significant sales growth. (Bloomberg)

Hard times: The US-China tariff war has left Chinese exporters and small factories in a sticky spot. (the New York Times)

Off the Marc-et: As LVMH gears up to sell Marc Jacobs, a host of potential buyers await. (Vogue Business)

JOBS

Every week, Retail Brew features a short list of standout jobs selected just for its readers. These roles come from CollabWORK, where employers recruit through trusted communities—not generic job boards. Want more? Click through to browse the full job board curated for Retail Brew readers.

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