The ASX dividend share space is a great hunting ground for finding passive income and potential capital growth too, at the current prices.

Investors have seen volatility in the last few days and weeks because of concerns about a growing trade war between the US and different countries, particularly China.

For Aussies looking to deploy money into the market, I think the decline is useful because it has boosted the dividend yield of a business. For example, if a business with a 6% dividend yield saw a share price fall of 10%, the yield would become 6.6%.

I think the dividend yields of the ASX dividend shares below look very appealing.

Universal Store Holdings Ltd (ASX: UNI)

This ASX retail share has quietly delivered impressive growth in the last few years. It owns a number of premium youth fashion brands including Universal Store, Perfect Stranger and CTC (THRILLS and Worship brands). It has a total of 109 physical stores that aim to provide a selection of on-trend apparel products to 16-35-year-olds who are fashion-focused.

The company's earnings have been impressively resilient over the last few years, in my opinion, but the share price has been quite volatile. As the chart below shows, the Universal Store share price has dropped 25% since 20 February 2025.

The FY25 half-year result showed sales growth of 16.1% to $183.5 million and underlying net profit after tax (NPAT) increased 16% to $23.2 million. This helped fund a 33.3% increase of the dividend per share to 22 cents.

It seems to me like the business is primed for ongoing growth in the next few years with the expansion of the Perfect Stranger business, which saw sales rise 92.3% to $12.6 million.

In the second half of FY25, it's expecting to open five new stores across its network, giving the business further scale (profitability) advantages and a sales boost.

The last two dividends declared by the ASX dividend share come to a grossed-up dividend yield of 8.4%, including franking credits.

Accent Group Ltd (ASX: AX1)

Accent is another ASX retail share that has suffered a significant decline in the last few weeks. It has declined 27% since 28 January 2025, as shown on the chart below.

This business is a relatively large retailer of footwear in Australia. It has a number of distribution agreements with global brands, which include Vans, Hoka, Skechers, Herschel, Sebago, Merrell, Ugg, Timberland and Saucony. Dickies and Lacoste will commence in FY26.

It also has a number of its own businesses including Platypus, The Athlete's Foot, Stylerunner and others.

The business trades on a low price/earnings (P/E) ratio, unlocking a higher dividend yield for the company. According to the forecasts on Commsec, the ASX dividend share is trading at 13x FY25's estimated earnings, with a grossed-up dividend yield of 9.3%, including franking credits.

The second half of FY25 started well enough, with like-for-like sales growth of 2.2% in the first seven weeks. The business is planning to open more stores in the coming months and years.