**Netherlands:** Philips anticipates a €250-300m cost increase due to US import duties, revising its 2025 profit margin down. Meanwhile, PostNL faces uncertainty from US trade policies but maintains its 2024 operating result forecast amid growing economic challenges.
Philips, the renowned healthcare technology group, has projected that the import duties imposed by the United States will increase its expenses by an estimated €250 million to €300 million this year. This financial strain has led the company to adopt a more pessimistic outlook regarding its profitability for 2025. In its latest quarterly results, Philips announced an anticipated adjusted profit margin between 10.8% and 11.3%, a decline from its previous forecast of 11.8% to 12.3%.
In response to these challenges, Philips is implementing “substantial” measures to lessen the adverse effects of US import tariffs and associated countermeasures. CEO Roy Jakobs articulated the company’s proactive strategy, stating, “We are focusing on what we can control,” which includes enhancing supply chain flexibility and pursuing cost-saving initiatives.
On a related note, PostNL has also voiced concerns regarding increasing macroeconomic uncertainty and turmoil stemming from the same US trade policies initiated by former President Donald Trump. Although the parcel and mail delivery company acknowledged the potential impact on the e-commerce market, it believes it is too early to assess the precise consequences of these tariffs.
Despite these challenges, PostNL has maintained its operational forecasts for the year, predicting an operating result in line with that of 2024. The company’s adaptability was highlighted as it stated that it remains prepared to adjust its plans as necessary to navigate the changing landscape.
Both Philips and PostNL exemplify the broader impact of international trade policies on corporations, particularly in the context of an evolving global economy.
Source: Noah Wire Services
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