Retail Giants Warn of Price Hikes Due to Trump Tariffs

IKEA's CFO, Juvencio Maeztu, expressed concerns that President-elect Donald Trump's proposed tariffs on imports from major trading partners like China, Canada, and Mexico could hinder the company's ability to maintain low prices. With 30% of IKEA's products sourced from Asia and 70% from Europe, the potential trade barriers could impact affordability in the US, IKEA's second-largest market. Despite recent price cuts that boosted customer numbers but reduced revenues and profits, IKEA plans to work with governments and its supply chain to mitigate the tariffs' effects.