ZURICH – Logitech International on Tuesday outlined plans to mitigate the impact of U.S. President Donald Trump’s tariff policies as computer mouse and keyboard makers reported earnings in the fourth quarter were slightly below estimates.
CEO Hanneke Faber said the company will take an aggressive approach to dealing with trade barriers, a particular concern for Logitech, which produces most of its products outside the U.S. (one of its largest markets).
The company will take advantage of its diversified manufacturing industry in six countries. It says about 65% of net sales come from outside the United States
The plan includes reducing the share of Chinese-made products shipped to the United States from 40% to 10%.
Logitech makes products at its factory in Suzhou, eastern China, creating a tough situation after Washington’s 145% tariff in Beijing.
The Swiss-American company began diversifying its production outside China in 2018, and Logitech said the situation will help it deal with current uncertainty.
In addition to the United States, Logitech also has a huge sales business in Europe, where its keyboards and devices are popular among computer gamers and home workers.
Logitech said its non-GA operating profit fell to $133 million in the quarter ended in March, with analyst estimates of $134 million.
The company’s data is not affected by interest rate hikes on trade tariffs announced by Trump on April 2, but is subject to problems with e-commerce payment providers and higher investments in R&D and marketing.
Quarterly sales were $1.01 billion, below the $1.03 billion estimate, which is visible to the analyst consensus of Alpha compilation.
However, Lausanne and San Jose, California-based Logitech won $4.54 billion to $4.57 billion in full-year sales guide, with non-GA operating revenues of $755 million to $770 million.
Earlier this month, Logitech withdrew its outlook for 2026, citing continued uncertainty in Trump’s trade policy.
Due to Logitech’s production in Asia and Mexico, the company is particularly vulnerable to U.S. tariffs.
Logitech’s remaining 60% of computer mice, keyboards, headphones and webcams are produced through contract manufacturers in Vietnam, Taiwan, Thailand, Malaysia and Mexico.
These countries also face high tariffs on U.S. exports.
Logitech said it expects sales of $10 billion to $1.15 billion and non-GA operating income of $155 million to $185 million in the first quarter of its fiscal year 2026.
This article was generated from the Automation News Agency feed without the text being modified.
