Danish Jewelry manufacturer Pandora has stated that the latest U.S. tariffs on Chinese imports will have a limited effect on its business. The Danish company, known for its charm bracelets, produces most of its jewelry in two factories located in Thailand.
During a fourth-quarter earnings call on 29 January 2025, Pandora’s Chief Financial Officer, Anders Boyer, explained that the company had anticipated the tariff changes and had already taken steps to reduce imports from China into the U.S., which remains its largest market.
According to Boyer, the financial impact of the additional tariffs is expected to be around 15 million Danish crowns ($2.09 million) annually. The company primarily imports store-related items such as displays, signage, jewelry boxes, shopping bags, and furniture from China.
While former U.S. President Donald Trump has imposed tariffs on multiple countries, Boyer also addressed the potential implications if similar measures were applied to Thailand, where Pandora currently operates its only production facilities. A 10% tariff on imports from Thailand to the U.S. could result in an annual cost increase of 350 million to 400 million Danish crowns ($48.86 million to $55.84 million).
To mitigate future risks, Pandora is constructing a new factory in Vietnam, set to open in early 2026.
For 2024, Pandora reported revenue of 31.68 billion Danish crowns ($4.42 billion), reflecting an organic growth rate of 13%. However, the company has projected slower growth for 2025.
Source: Reuters
