financetom
Business
financetom
/
Business
/
IKEA ready for potential tariffs under Trump, CFO says
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
IKEA ready for potential tariffs under Trump, CFO says
Nov 9, 2024 1:20 PM

LONDON (Reuters) - IKEA has learned from recent supply chain disruptions and is well prepared for potential trade barriers, the owner of the world's biggest furniture brand said on Friday as companies seek to ready themselves for tariffs under Donald Trump's presidency.

Inter IKEA produces IKEA furniture and franchises the brand to retailers around the world. The biggest IKEA franchisee, Ingka Group, last year announced a 2 billion euro ($2.14 billion) investment to expand significantly in the United States.

Trump has threatened tariffs of 10% on all imports to the U.S., and tariffs of 60% on imports from China.

"We have worked a lot on making our supply chain more responsive to different changes, including different trade barriers etc, so I think we are better equipped than we have been ever before, (but) then of course we are not immune to changes," Inter IKEA's chief financial officer Henrik Elm told Reuters on Friday.

Inter IKEA is more reliant on imports in the U.S. than in other regions of the world, making it more vulnerable to tariffs.

Of the products it sells in the U.S., only 10% are made in the region, Inter IKEA said. It did not say where the majority of products sold there are sourced from.

In Europe, 70% of what it sells is sourced in Europe, while 80% of what it sells in China is sourced from China.

Inter IKEA's top five sourcing markets globally are Poland, China, Italy, Lithuania, and Germany, the company said, declining to give a breakdown of the percentage sourced from each country.

Inter IKEA on Friday reported annual revenue fell 8.9% to 26.5 billion euros after it cut prices this year. Its profit increased, though, thanks to lower interest payments and shoppers buying bigger quantities of lower-priced products.

($1 = 0.9351 euros)

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Market Chatter: Republican Lawmakers Raise Alarms Over Palantir's Growing Role in Government Data Use
Market Chatter: Republican Lawmakers Raise Alarms Over Palantir's Growing Role in Government Data Use
Jun 5, 2025
01:39 PM EDT, 06/05/2025 (MT Newswires) -- Republican lawmakers are raising concerns about the Trump administration's work with Palantir Technologies ( PLTR ) to aggregate large amounts of government data on Americans, Semafor reported Thursday. When you start combining all those data points on an individual into one database, it really essentially creates a digital ID, Rep. Warren Davidson of...
Glen Burnie Bancorp CFO Jeffrey Harris to Retire
Glen Burnie Bancorp CFO Jeffrey Harris to Retire
Jun 5, 2025
01:41 PM EDT, 06/05/2025 (MT Newswires) -- Glen Burnie Bancorp ( GLBZ ) said Thursday that Chief Financial Officer Jeffrey Harris plans to retire on June 30. The company said in a regulatory filing that it will start a search for Harris' successor. Price: 4.95, Change: +0.08, Percent Change: +1.66 ...
Robinhood exec touts retail investor strength, says overnight trading the future
Robinhood exec touts retail investor strength, says overnight trading the future
Jun 5, 2025
By Ateev Bhandari (Reuters) -Robinhood executive Steve Quirk on Thursday credited retail investors with helping the market rebound after a sharp plunge in April, adding that young self-directed traders were increasingly making trades outside traditional hours. His comments came in reference to the market turmoil that followed U.S. President Donald Trump's announcement of sweeping tariffs on Liberation Day earlier this...
Google agrees $36 million fine for anti-competitive deals with Australia telcos
Google agrees $36 million fine for anti-competitive deals with Australia telcos
Aug 17, 2025
SYDNEY, Aug 18 (Reuters) - Google agreed on Monday to pay a A$55 million ($35.8 million) fine in Australia after the consumer watchdog found it had hurt competition by paying the country's two largest telcos to pre-install its search application on Android phones, excluding rival search engines. The fine extends a bumpy period for the Alphabet-owned internet giant in Australia,...
Copyright 2023-2026 - www.financetom.com All Rights Reserved