Pandora warns US tariffs that will cause widespread prices in jewelry

Danish jewelry brand Pandora He warned of a significant increase in prices in an affordable jewelry industry when proposed by US President Donald Trump’s tariff campaign after the game after a 90-day pause of the White House announced in April.

CEO Alexander Latsyk said CNBC that the current 10% of the US importers were “managed”, but he noted that if the tariffs return to previously announced “mutual” rates, it would be a change in games for jewelry producers.

“Most of the jewelers in the price segment where we work, they all import from somewhere in Asia. So you can have an argument if these tariffs remain, for anyone who plays, it will be more expensive,” said Charlotte Reed.

“Therefore, it should be expected that consumer pricing will see some changes,” he added.

Pandora, known for its popular bracelets, is a shelter and silver ornaments, highly dependent on the production in Asia, primarily Thailand, but also in Vietnam, India and China.

These countries were affected by President Trump on April 2 Proclamation tariffs “Liberation Day” with mutual tariffs within 26% to 46%. This pushed to the company the day to warn about A significant potential blow The group’s revenues, which he estimated approximately 1.2 billion Danish crane ($ 182 million) per year.

Later President Trump announced 90-day pause And a lower 10% tariff rate for most countries except China, although it is currently unclear what rates will face as soon as the suspension is over in early July.

Asked what level of value raises consumers when the tariffs remain in place, Latsik said that Pandora had modeling a number of scenarios, but the final figure is probably under the leadership of the industry.

“We can all think: whether it will be 34 (%) or 40 (%),” he said. “We have done a number of different scenarios. But we do not work in isolation, so we need to see a little what the rest of the industry does.”

If the tariffs remain at 10%, Latsik said that the company is unlikely to increase the prices. However, when they grew about 30%, for example, “then the world changes.”

“There are different ways to think about it, so let’s see where it is landed,” he said.

The usual Pandora silver bracelet is currently sold for about $ 75, and laboratories of company grown from $ 200.

Pandora on Wednesday supported its recommendations for 2025 from 7% to 8% of organic growth, noting that “increased macro -determination”. However, it reduced its operational recommendations on profits by 50 basic points to about 24%, which lacis explained the weakness in the US dollar.

The revised guide eliminates the influence of potential tariffs outside the 90-day pause. However, the company said it would give update about potential impact if the situation becomes clearer.

“What we have not changed is expected to be expected from what happens to the tariffs because, as we stand here today, I do not know,” Latsik said.

Pandora’s shares traded 2.3% to 13:55 in London.