ISPA and MRC President Alison Keane shared challenges and bright spots for 2025.
The State of the Industry address from International Sleep Products Association and Mattress Recycling Council President Alison Keane brought good news and bad news.
After thanking the headliner sponsors, SABA and Therapedic International, and the rest of the sponsors, she delivered the bad news first.
In 2024, total U.S. mattress market sales — which includes mattresses and stationary foundations — were down 5.9% and unit shipments declined 5.7%. (To read the most recent Bedding Market Quarterly numbers, see page 10).
“I wish it was better, but I think everybody probably already predicted that 2024 was going to be a bad year, coming off 2023,” she said.
Consumer confidence is down, as well. A new Better Sleep Council survey found that while 35% of respondents plan to make a larger household purchase in 2025, 26% are not sure they can meet their basic needs. (See a report on the BSC survey on page 17.)
“People are holding onto their money,” Keane said. “They’re worried about where the economy is going. They’re worried about their jobs, and they’re worried about the cost of goods and services.”
On the other hand, there is positive news. ISPA is stepping up its advocacy efforts at the federal and state level. Federally, ISPA is prepared to drive any revisions to the flammability standard. Keane said she expects the U.S. Consumer Product Safety Commission to be quiet this year, but ISPA will be ready when CPSC is ready to revise the standards. The association is also tracking regulations on chemicals of concern, such as PFAs, fiberglass and formaldehyde.
“We have the opportunity with this new administration to roll back some of these regulations,” she said. “We need to take that opportunity where we know scientifically the regulations are unsound.”
Issues on the state level include chemical restrictions, extended producer responsibility for packaging, EPR for mattresses and advanced recycling.
“We don’t want 50 states doing 50 different things,” she said. “We want good mattress recycling legislation that is harmonized with the other four states that we’re working in.”
The MRC is an example of the mattress industry coming together to put a good program, a “gem,” in place.
“ISPA owns it. ISPA operates it. All MRC employees are actually ISPA employees. They are a separate 501(c)(3), however, so they can be a transparent, educational, foundational arm for us. Embrace it because you did the right thing.”
Another bright spot is the industry’s focus on sustainability. “Sustainability, at its core, means cost savings and efficiency, not only for your actual operations in your facilities, but for your consumers and for circularity and for MRC,” she said.
With all of the regulatory uncertainty ahead, ISPA is committed to being the voice of the mattress industry.
“We can at least tell our story, and we can get you in front of the folks that you need to get in front of to tell that story. You don’t need to do it just as one company. When you come together as a complete association, that voice is going to be elevated,” Keane said. “Let’s start talking with one really, really loud voice.”
The Impact of Tariffs
Alison Keane’s State of the Industry address took place on March 20. BedTimes asked her a few follow-up questions in mid-April after President Donald Trump announced tariffs on most goods entering the United States.
How are the tariffs introduced April 2 impacting the sleep products industry?
Much like other industries, the sleep products industry will be impacted. Everyone is trying to figure out just how and when. With tariffs and retaliatory tariffs being imposed, then paused, then imposed again, then paused again — it is a weekly and even daily occurrence, in some instances, and makes it hard to plan. The industry already has antidumping and countervailing duties imposed on a number of countries exporting mattresses, including China. But monitoring and enforcement of these duties should be enhanced to prevent circumvention and duty evasion. If imported components are assessed additional tariffs, that will be another wrinkle in enforcement. Indonesia is another exporting country that currently is not subject to those duties, but we are seeing a lot of production and exports from it. However, the largest mattress manufacturing industry is still China, including production by U.S. companies in China, which increased from $9 billion in 2017 to $9.9 billion in 2018 before decreasing in 2019 and 2020. In 2021, the increase in production was substantial, reaching $10.9 billion. China’s production decreased in 2022 primarily due to the Covid-19 pandemic, with the value of U.S. mattress shipments in 2022 (including exports) only reaching $8.5 billion. Other major manufacturing countries are India, Poland, Brazil and the United Kingdom. So, no matter what the ultimate outcome is on the amount and country of origin for these proposed tariffs, we will be impacted.
How is ISPA supporting its members through this time?
ISPA has trade counsels that are monitoring the developments, so that ISPA can alert our members in a timely way. We also just instituted a trade subgroup of our Government Affairs Committee to help inform our counsels of not only specific trade issues, but of overarching needs, particularly with the reauthorization of the United States-Mexico-Canada Agreement next year. Mexico and Canada are big trading partners with our industry when it comes to components.
What is ISPA doing to advocate for the industry’s interests?
ISPA is in the process of engaging federal lobbyists to elevate our presence on this front — something new for ISPA — in order to ensure our voices are heard as these and other federal policies are put into place. This is part of our newly approved strategic plan. As the voice and leader for the sleep products industry in the United States, we need to be advocating for our interests on the Hill. We have manufacturers in 38 states and one territory and more than 25,000 employees. Our federal representatives need to know who we are, what we stand for, and why they should be supporting us and the industry. ISPA is going to start telling that story.
Have you heard anything about how mattress manufacturers are adapting their strategies in light of economic pressures?
I think most started looking at their supply chain fairly soon after, if not before, the election as the handwriting was on the wall. For those companies already doing business in and sourcing exclusively from the United States, they will be in a better position to control costs and supply chain disruptions, at least in the short term. As others may pivot to the same U.S. sources, longer-term, they may also see disruption and costs increases due to market demand. Of course, this could also lead to greater investment in the United States to meet that demand. Nevertheless, everyone should be assessing their supply chain and preparing for potential costs increases, as well as shortages and disruption in lead times.
Read more on the 2025 ISPA Industry Conference: Energized & Revitalized: Key Insights from the ISPA Industry Conference.
