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UK's Tate & Lyle flags weaker sales growth as tariffs hit food ingredients maker
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UK's Tate & Lyle flags weaker sales growth as tariffs hit food ingredients maker
May 26, 2025 12:16 PM

May 22 (Reuters) - British food ingredients maker Tate &

Lyle ( TATYF ) on Thursday estimated its full-year revenue growth

would be 4% at best, less than last year, as the uncertainty

over U.S. tariffs has raised costs for the company and its

customers.

The company, which has manufacturing plants in both the

United States and China, said the tariff-related cost increases

were mainly for the products it supplies between these two

countries.

U.S. trade policies have created uncertainty for companies

across the globe. While some have responded by passing on costs

to customers, finding alternative sourcing or adjusting their

manufacturing processes, others await more clarity - despite the

temporary truce in the Sino-U.S. trade war announced last week.

Tate & Lyle ( TATYF ) is among the latter, and ahead of such clarity,

said it expects revenue growth for the April-March fiscal year

to be at, or slightly below, the bottom of its medium-term range

of 4% to 6%.

The company, which supplies ingredients for Splenda, the

sweetener in Diet Coke and other sugar-free drinks, said its

revenue increased 5% to 1.74 billion pounds ($2.33 billion) in

the year ended March 31.

Its shares dropped 2.4% to 588.5 pence in early trading on

Thursday.

($1 = 0.7453 pounds)

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