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Tackling tariffs: What some companies are saying, and doing, about tariffs

Tackling tariffs: What some companies are saying, and doing, about tariffs
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Tackling tariffs: What some companies are saying, and doing, about tariffs
Companies from a wide range of industries are having trouble assessing the impact of tariffs because of the constant uncertainty over whether and where the taxes will be imposed next or postponed, sometimes on a daily or weekly basis. Some tariffs remain in place against key U.S. trading partners, but others have been postponed to give nations time to negotiate.As a result companies have been giving somewhat shaky financial forecasts during their latest round of earnings updates.Here's how several big companies are dealing with the tariff confusion:Kimberly-ClarkThe Irving, Texas, company makes Huggies, Kleenex and other personal care and household staples. It expects tariffs to add $300 million of costs and has warned about flat earnings for the year.맥스카지노The current environment will now mean greater costs across our global supply chain versus our expectations at the beginning of the year,맥스카지노 said CEO Michael Hsu, in a statement Tuesday following the company's latest earnings results.Roughly 20% of Kimberly-Clark's U.S. costs are exposed to tariffs. The bulk of its estimated $300 million cost impact is being driven by U.S. tariffs against China. The company is working to shift some of its supply chain to mitigate the costs.3MWilliam Brown, CEO of 3M Co., the maker of adhesives, coatings, Scotch Tape and Post-it notes, acknowledged that 맥스카지노tariffs are going to be a headwind this year.맥스카지노The company stuck to a full-year forecast for profit of $7.60 to $7.90 per share, excluding the impact of tariffs. But 3M did include a slide in its presentation for analysts with a 맥스카지노tariff impact sensitivity,맥스카지노 that it said could lower earnings by 20 cents to 40 cents per share, after factoring in measures that will somewhat reduce the hit from tariffs. Those steps could include cost cuts and 맥스카지노selective price increases where feasible.맥스카지노Brown also said during a conference call that the company is looking at alternative production sites with different countries of origin to try and minimize the tariff impact.RTXMost of the RTX맥스카지노s industrial base and supply chain is located inside the U.S., but tariffs are still poised to hurt the defense company behind missile and radar systems.RTX expects up to $800 million in cost impacts from tariffs imposed on Canada, Mexico, China and other nations. It hasn맥스카지노t included the potential impact in its earnings forecast.맥스카지노Generally speaking, the aerospace and defense sector has operated in a duty-free environment,맥스카지노 said President Christopher Calio, in a conference call with analysts. 맥스카지노And that has been instrumental to the industry maintaining one of the largest trade surpluses across American manufacturing industries for decades.맥스카지노GE AerospaceThe maker of jet engines and aviation systems is also accustomed to low trade barriers within the aviation sector. The company now expects tariff costs of roughly $500 million after hopefully mitigating some of the impact through programs and strategies, such as expanding foreign trade zones.맥스카지노We맥스카지노ll continue to advocate for an approach that reestablishes zero-for-zero tariffs in the aviation sector and ensures a level playing field for the U.S. aerospace industry,맥스카지노 said CEO H. Lawrence Culp Jr., in a conference call with analysts. 맥스카지노In the meantime, heightened tariffs will result in additional costs for us and our supply chain.맥스카지노Flexsteel IndustriesThe furniture company could see much more damage from a mix of tariffs and a downturn in consumer spending.Flexsteel has moved out of China, but Vietnam supports about 55% of its revenue, while operations in Mexico support almost 40% of sales, the company said.If the 46% reciprocal tariff rate on Vietnam, which is currently delayed, goes into effect, 맥스카지노it will have wide-reaching implications both on Flexsteel맥스카지노s business and the overall U.S. furniture industry,맥스카지노 said President and CEO Derek Schmidt, in a conference call with analysts.Those wide-ranging impacts could include a weaker U.S. economy brought on by stunted consumer spending. The company expects sales between $109 million and $116 million during its current quarter, but that could change depending on shifts in tariffs and consumer demand.

Companies from a wide range of industries are having trouble assessing the impact of tariffs because of the constant uncertainty over whether and where the taxes will be imposed next or postponed, sometimes on a daily or weekly basis. Some tariffs remain in place against key U.S. trading partners, but others have been postponed to give nations time to negotiate.

As a result companies have been giving somewhat shaky financial forecasts during their latest round of earnings updates.

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Here's how several big companies are dealing with the tariff confusion:

Kimberly-Clark

The Irving, Texas, company makes Huggies, Kleenex and other personal care and household staples. It expects tariffs to add $300 million of costs and has warned about flat earnings for the year.

맥스카지노The current environment will now mean greater costs across our global supply chain versus our expectations at the beginning of the year,맥스카지노 said CEO Michael Hsu, in a statement Tuesday following the company's latest earnings results.

Roughly 20% of Kimberly-Clark's U.S. costs are exposed to tariffs. The bulk of its estimated $300 million cost impact is being driven by U.S. tariffs against China. The company is working to shift some of its supply chain to mitigate the costs.

3M

William Brown, CEO of 3M Co., the maker of adhesives, coatings, Scotch Tape and Post-it notes, acknowledged that 맥스카지노tariffs are going to be a headwind this year.맥스카지노

The company stuck to a full-year forecast for profit of $7.60 to $7.90 per share, excluding the impact of tariffs. But 3M did include a slide in its presentation for analysts with a 맥스카지노tariff impact sensitivity,맥스카지노 that it said could lower earnings by 20 cents to 40 cents per share, after factoring in measures that will somewhat reduce the hit from tariffs. Those steps could include cost cuts and 맥스카지노selective price increases where feasible.맥스카지노

Brown also said during a conference call that the company is looking at alternative production sites with different countries of origin to try and minimize the tariff impact.

RTX

Most of the RTX맥스카지노s industrial base and supply chain is located inside the U.S., but tariffs are still poised to hurt the defense company behind missile and radar systems.

RTX expects up to $800 million in cost impacts from tariffs imposed on Canada, Mexico, China and other nations. It hasn맥스카지노t included the potential impact in its earnings forecast.

맥스카지노Generally speaking, the aerospace and defense sector has operated in a duty-free environment,맥스카지노 said President Christopher Calio, in a conference call with analysts. 맥스카지노And that has been instrumental to the industry maintaining one of the largest trade surpluses across American manufacturing industries for decades.맥스카지노

GE Aerospace

The maker of jet engines and aviation systems is also accustomed to low trade barriers within the aviation sector. The company now expects tariff costs of roughly $500 million after hopefully mitigating some of the impact through programs and strategies, such as expanding foreign trade zones.

맥스카지노We맥스카지노ll continue to advocate for an approach that reestablishes zero-for-zero tariffs in the aviation sector and ensures a level playing field for the U.S. aerospace industry,맥스카지노 said CEO H. Lawrence Culp Jr., in a conference call with analysts. 맥스카지노In the meantime, heightened tariffs will result in additional costs for us and our supply chain.맥스카지노

Flexsteel Industries

The furniture company could see much more damage from a mix of tariffs and a downturn in consumer spending.

Flexsteel has moved out of China, but Vietnam supports about 55% of its revenue, while operations in Mexico support almost 40% of sales, the company said.

If the 46% reciprocal tariff rate on Vietnam, which is currently delayed, goes into effect, 맥스카지노it will have wide-reaching implications both on Flexsteel맥스카지노s business and the overall U.S. furniture industry,맥스카지노 said President and CEO Derek Schmidt, in a conference call with analysts.

Those wide-ranging impacts could include a weaker U.S. economy brought on by stunted consumer spending. The company expects sales between $109 million and $116 million during its current quarter, but that could change depending on shifts in tariffs and consumer demand.