What's happened
Pandora Jewelry is navigating significant uncertainty due to President Trump's proposed tariffs on imports from Thailand and Vietnam. Following a temporary reprieve, CEO Alexander Lacik warns of potential price increases and ongoing challenges in the supply chain as the company awaits further developments in U.S. trade policy.
What's behind the headline?
Key Considerations
- Tariff Impact: The proposed tariffs could significantly increase production costs for Pandora, which may lead to higher prices for consumers in the U.S.
- Supply Chain Adjustments: The company is already adjusting its distribution strategy to mitigate tariff impacts, indicating a proactive approach to supply chain management.
- Market Reactions: Investors are closely monitoring how competitors respond to these tariffs, which could influence Pandora's pricing decisions.
- Long-term Strategy: CEO Lacik's cautious stance reflects a broader uncertainty in the market, as businesses await clarity on U.S. trade policies.
- Global Manufacturing: With plans for a new plant in Vietnam, the looming tariffs on Vietnamese goods add another layer of complexity to Pandora's expansion strategy.
What the papers say
According to the New York Times, President Trump has imposed a 10% tariff on most imports, with significant tariffs on countries like China. This has created a ripple effect in global markets, as businesses like Pandora brace for potential price increases. Eshe Nelson notes that the uncertainty surrounding these tariffs has left many companies, including Pandora, in a state of limbo, waiting for clearer trade agreements. Meanwhile, Business Insider UK highlights the pressure on Trump to finalize trade deals before the tariff pause ends, emphasizing the urgency of the situation for affected businesses.
How we got here
Pandora has relied on its Thai manufacturing base for nearly four decades. Recent U.S. tariffs, particularly a proposed 36% on Thai goods, have raised concerns about the company's pricing strategy and supply chain stability, prompting a reevaluation of its operations.
Go deeper
- What are the potential impacts of the tariffs on consumers?
- How is Pandora adjusting its supply chain strategy?
- What other companies are affected by these tariffs?
Common question
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What Are Trump's Tariffs and How Do They Affect Global Trade?
As of May 2025, President Trump's tariffs are reshaping the landscape of global trade. With a 10% tariff on most U.S. imports and significant tariffs on China, many are left wondering how these changes will impact consumers, businesses, and international relations. Below, we explore key questions surrounding these tariffs and their implications.
More on these topics
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Donald John Trump is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021.
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China, officially the People's Republic of China, is a country in East Asia. It is the world's most populous country, with a population of around 1.4 billion in 2019.
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The United States of America, commonly known as the United States or America, is a country mostly located in central North America, between Canada and Mexico.