Latest news with #PavelHajman
Yahoo
a day ago
- Business
- Yahoo
Husqvarna reworking supply chain to offset tariffs, CEO says
By Jesus Calero (Reuters) -Sweden's Husqvarna is reworking its supply chain to lessen the blow from global trade tensions as the U.S. considers steep hikes in tariffs on European imports, the company's CEO Pavel Hajman told Reuters. Around two-thirds of Husqvarna's U.S. sales are tied to imported products, with roughly half of those coming from Europe and the rest from China and other countries. "We are, of course, worse off because we have two-thirds being imported into the U.S., irrespective of whether it's China or Europe," Hajman said. U.S. tariffs on EU goods currently stand at 10%, but the White House has floated the idea of raising them to as high as 30%. Hajman said such a move would not be good for Husqvarna and urged a constructive dialogue between Washington and Brussels. The group is increasingly concerned that Europe could be pulled deeper into Washington's trade clampdown, putting Husqvarna at risk on both its Asian and European supply routes. To cushion the impact, Husqvarna has started shifting production of certain products out of China into its European factories. It is also rerouting some Canada-bound goods away from U.S. distribution hubs to avoid getting caught in the crossfire from the Washington-Ottawa trade friction. Hajman said the company is working with suppliers on price negotiations to soften the impact of tariff-related cost inflation. The tariffs have come on top of other margin headwinds which the company is facing, including currency swings and rising raw material costs. In response, Husqvarna implemented measures including plant closures and focusing on higher-margin products like watering systems and robotic mowers. Husqvarna's robotic mower sales grew 15% in the quarter even as competition from emerging Chinese rivals intensifies.
Reuters
a day ago
- Business
- Reuters
Husqvarna reworking supply chain to offset tariffs, CEO says
July 18 (Reuters) - Sweden's Husqvarna ( opens new tab is reworking its supply chain to lessen the blow from global trade tensions as the U.S. considers steep hikes in tariffs on European imports, the company's CEO Pavel Hajman told Reuters. Around two-thirds of Husqvarna's U.S. sales are tied to imported products, with roughly half of those coming from Europe and the rest from China and other countries. "We are, of course, worse off because we have two-thirds being imported into the U.S., irrespective of whether it's China or Europe," Hajman said. U.S. tariffs on EU goods currently stand at 10%, but the White House has floated the idea of raising them to as high as 30%. Hajman said such a move would not be good for Husqvarna and urged a constructive dialogue between Washington and Brussels. The group is increasingly concerned that Europe could be pulled deeper into Washington's trade clampdown, putting Husqvarna at risk on both its Asian and European supply routes. To cushion the impact, Husqvarna has started shifting production of certain products out of China into its European factories. It is also rerouting some Canada-bound goods away from U.S. distribution hubs to avoid getting caught in the crossfire from the Washington-Ottawa trade friction. Hajman said the company is working with suppliers on price negotiations to soften the impact of tariff-related cost inflation. The tariffs have come on top of other margin headwinds which the company is facing, including currency swings and rising raw material costs. In response, Husqvarna implemented measures including plant closures and focusing on higher-margin products like watering systems and robotic mowers. Husqvarna's robotic mower sales grew 15% in the quarter even as competition from emerging Chinese rivals intensifies.
Yahoo
a day ago
- Business
- Yahoo
Husqvarna reworking supply chain to offset tariffs, CEO says
By Jesus Calero (Reuters) -Sweden's Husqvarna is reworking its supply chain to lessen the blow from global trade tensions as the U.S. considers steep hikes in tariffs on European imports, the company's CEO Pavel Hajman told Reuters. Around two-thirds of Husqvarna's U.S. sales are tied to imported products, with roughly half of those coming from Europe and the rest from China and other countries. "We are, of course, worse off because we have two-thirds being imported into the U.S., irrespective of whether it's China or Europe," Hajman said. U.S. tariffs on EU goods currently stand at 10%, but the White House has floated the idea of raising them to as high as 30%. Hajman said such a move would not be good for Husqvarna and urged a constructive dialogue between Washington and Brussels. The group is increasingly concerned that Europe could be pulled deeper into Washington's trade clampdown, putting Husqvarna at risk on both its Asian and European supply routes. To cushion the impact, Husqvarna has started shifting production of certain products out of China into its European factories. It is also rerouting some Canada-bound goods away from U.S. distribution hubs to avoid getting caught in the crossfire from the Washington-Ottawa trade friction. Hajman said the company is working with suppliers on price negotiations to soften the impact of tariff-related cost inflation. The tariffs have come on top of other margin headwinds which the company is facing, including currency swings and rising raw material costs. In response, Husqvarna implemented measures including plant closures and focusing on higher-margin products like watering systems and robotic mowers. Husqvarna's robotic mower sales grew 15% in the quarter even as competition from emerging Chinese rivals intensifies.
Bloomberg
24-04-2025
- Business
- Bloomberg
Husqvarna CEO Sees Robotic Mower Demand Boost From Trade Turmoil
Swedish garden product manufacturer Husqvarna AB aims to strengthen its position in the US market for robotic lawn mowers as Chinese competitors lose ground amid fraught trade talks. 'We produce our robotic lawn mowers in Europe, while most of our competitors manufacture their's in China,' outgoing Chief Executive Officer Pavel Hajman, 59, said by phone following the company's first-quarter report. 'So it's a good opportunity.'
Reuters
24-04-2025
- Business
- Reuters
Sweden's Husqvarna misses profit forecast on weak North American demand; CEO to step down
April 24 (Reuters) - Sweden's Husqvarna ( opens new tab reported first-quarter operating profit below expectations on Thursday, hit by soft demand in North America, currency headwinds and lower prices, while CEO Pavel Hajman said he would step down. Husqvarna's earnings before interest and tax fell 21% to 1.53 billion Swedish crowns ($157.97 million), missing analysts' average forecast of 1.71 billion crowns per data compiled by LSEG. Hajman, the garden equipment maker's CEO since May 2023, said he would step down once a permanent successor is appointed, likely by the end of this year. Husqvarna shares dropped 7% as of 0737 GMT, and were among worst performers on the pan-European 600 index (.STOXX), opens new tab. The first quarter is Husqvarna's main sell-in period, when products are shipped to retailers before spring, but attention is already turning to how products will sell through in the second quarter. The company previously warned of weaker sales and operating losses in recent quarters, citing soft consumer demand, retailer destocking and a tougher product mix. The company reported a 16% growth in first-quarter robotic mower sales, driven by professional and consumer demand in Europe, even as overall market conditions remained challenging. However, Hajman flagged there is a risk that tariffs imposed under U.S. President Trump on European goods could lead to increased volume of Chinese-made gardening equipment in Europe as a result of sales being hindered in the U.S. "We are implementing price increases and conducting a review of our supply chain to mitigate the effects," Huqvarna said in a statement. Hajman told Reuters that the company was in talks with suppliers and adjusting its manufacturing footprint, such as the Orangeburg facility sale in North America. "We are preparing ourselves by reviewing our manufacturing footprint, both for short-term actions involving specific products that can be moved to a more favorable manufacturing country from a tariff perspective," Hajman told Reuters. Jefferies said in a note the results showed flat sales, a 19% EBIT miss and declining sales in the company's Gardena division due to continued caution among retail partners.
