Adidas CEO says further tariffs would lift inflation and dent volumes
Published by Global Banking and Finance Review
Posted on March 5, 2025
Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
Published by Global Banking and Finance Review
Posted on March 5, 2025
HERZOGENAURACH, Germany (Reuters) - Further U.S. tariffs on imports would cause prices to rise and consumers to buy fewer products, Adidas chief executive officer Bjorn Gulden said on Wednesday as the business navigates higher levies implemented by President Donald Trump's administration on China, Canada, and Mexico.
Adidas has not estimated the potential impact of U.S. tariffs on Vietnam, its top manufacturing country, which President Donald Trump has threatened with higher levies, Gulden said.
"If there are 25% duties coming and it is on more countries, inflation will go up and volumes will go down," Gulden told journalists after reporting results. "We know that, but how much? I mean, we can give you a number, but the only thing we know is we will have to adjust very, very quickly."
Vietnam produces 27% of Adidas' total volume of products, followed by Indonesia at 19% and China at 16%.
But Gulden shrugged off the impact of higher U.S. tariffs on Chinese goods, saying only a small portion of its product sold in the U.S. is made in China.
"We have less than 5% of our volumes going to the U.S. is (produced in) China," he said.
(Reporting by Helen Reid and Linda Pasquini)