Innovative Eyewear, Inc. Highlights Smart Eyewear Competitive Pricing Edge Amid Eyeglass Industry Cost Pressures Due to Tariffs

Rhea-AI Summary

Innovative Eyewear Inc. (NASDAQ: LUCY), developer of smart eyewear brands including Lucyd, Nautica, Eddie Bauer and Reebok, highlights its competitive pricing advantage due to current tariff structures. While traditional eyewear from China faces combined duties of approximately 155%, smart eyewear products only incur a 27.5% total effective duty.

This significant tariff differential creates a strategic advantage for smart eyewear manufacturers, particularly as China produces about 90% of the world's eyewear. The company expects this tariff situation to bring smart eyewear to price parity with traditional designer eyewear, potentially driving consumer adoption of smart eyewear solutions.

Positive

• Favorable 27.5% tariff rate on smart eyewear vs 155% on traditional eyewear imports from China
• Strategic pricing advantage positions company for market share growth
• Price parity with traditional eyewear could accelerate smart eyewear adoption

Negative

• Heavy reliance on Chinese manufacturing (90% of world's eyewear)

MIAMI, April 23, 2025 /PRNewswire/ -- Innovative Eyewear Inc. (NASDAQ: LUCY), the developer of smart eyewear under the Lucyd^®, Nautica^®, Eddie Bauer^® and Reebok^® brands, confirms its tariff rate on smart eyewear and highlights its competitive edge vs. traditional eyewear.

Smart eyewear products that enter the United States from China currently have a total effective duty of approximately 27.5%. This stands in sharp contrast to recent trade measures that have increased the combined duty on many conventional eyewear lines imported from China to approximately 155%, underscoring a landed‑cost advantage for smart eyewear, including those made by Innovative Eyewear.¹

"We believe the current tariff situation is bringing smart eyewear to price parity with traditional designer eyewear, thereby facilitating the upgrade to smart eyewear," said Harrison Gross, CEO of Innovative Eyewear. "As tariffs place excessive pressure on traditional eyewear arriving from China, which makes approximately 90% of the world's eyewear², the recent tariff exemption on Chinese electronics puts US smart eyewear companies in a strategic position. We expect that as price increases as a result of tariffs and the de minimis exemption goes into effect, U.S. eyewear customers will be able to select smart eyewear options for the same price as traditional eyewear."

About Innovative Eyewear, Inc.

Innovative Eyewear is a developer of cutting-edge ChatGPT enabled smart eyewear, under the Lucyd®, Nautica®, Eddie Bauer® and Reebok® brands. True to our mission to Upgrade Your Eyewear®, our Bluetooth audio glasses allow users to stay safely and ergonomically connected to their digital lives and are offered in hundreds of frame and lens combinations to meet the needs of the optical market. To learn more and explore our continuously evolving collection of smart eyewear, please visit www.lucyd.co.

Forward-Looking Statements

This press release contains certain forward-looking statements, including, but not limited to, those relating to the projections, expectations or beliefs about future tariffs and their anticipate impact on the production, shipment, pricing and market demand for smart eyewear. . Forward-looking statements are based on the Company's current expectations and assumptions. The Private Securities Litigation Reform Act of 1995 provides a safe-harbor for forward-looking statements. These statements may be identified by the use of forward-looking expressions, including, but not limited to, "anticipate," "believe," "continue," "estimate," "expect," "future," "intend," "may," "outlook," "plan," "potential," "predict," "project," "should," "will," "would" and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, but are not limited to, statements regarding the projections, expectations, or beliefs about potential future tariffs and their anticipated impact on the production, shipment, pricing, and market demand for smart eyewear. These statements are based on current expectations and assumptions that are subject to risks and uncertainties, including changes in trade policy, the imposition of new tariffs or modifications to existing tariffs, supply chain disruptions, and market reactions. Actual results may differ materially from those expressed or implied in these statements. Factors that may cause such differences include, but are not limited to, the outcome of international trade negotiations, shifts in global manufacturing dynamics, and customer demand variability. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Important factors that could cause actual results to differ materially from those in the forward-looking statements are set forth in the Company's filings with the Securities and Exchange Commission, including its annual report on Form 10-K under the caption "Risk Factors."

Investor Relations Contact:
Scott Powell, Skyline Corporate Communications Group, LLC
+1 (646) 893-5835 | scott@skylineccg.com

Media Contact:
Society22 PR
Email: Lucyd@society22pr.com

Note: Forward-looking statements included in this press release are based on current expectations and subject to risks that may cause actual results to differ materially. Further, tariffs on products imported to the US are subject to rapid changes.

¹ https://thevisioncouncil.org/blog/vision-council-provides-latest-updates-tariffs-impacting-optical-industry#:~:text=Optical%20products%20imported%20from%20China,a%20slightly%20lower%20rate%20of
² https://www.hisightoptical.com/news/how-to-find-right-eyewear-manufacturers-in-china-i/

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SOURCE Innovative Eyewear, Inc.

FAQ

What is the current tariff rate for LUCY's smart eyewear imports from China?

Innovative Eyewear's smart eyewear faces a 27.5% total effective duty rate on imports from China.

How do LUCY's smart eyewear tariffs compare to traditional eyewear tariffs?

LUCY's smart eyewear faces 27.5% tariffs, while traditional eyewear from China faces approximately 155% combined duties.

What brands does Innovative Eyewear (LUCY) develop smart eyewear for?

LUCY develops smart eyewear under the Lucyd, Nautica, Eddie Bauer and Reebok brands.

How will the tariff situation impact LUCY's market position?

The tariff differential is expected to bring smart eyewear to price parity with traditional designer eyewear, potentially increasing market adoption.

What percentage of global eyewear production comes from China for LUCY?

Approximately 90% of the world's eyewear is manufactured in China.