Impact of additional U.S. tariffs on Chinese products on procurement costs
First written in FY2020-Q1. 5 of 11 entries say "Worsened", first in FY2020. Latest entry: FY2024-Q3.
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- FY2024-Q3MitigatedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., which operates in the highly competitive U.S. market and conducts business with major retailers, net sales were ¥5,718 million, down 0.9%, and the segment loss was ¥197 million, compared with a loss of ¥535 million in the same quarter of the previous year. This reflected higher selling prices, lower import tariffs and logistics costs, and preparations to launch a production site established last year, among other factors.」
The U.S. segment loss narrowed from ¥535 million in the same period of the previous year to ¥197 million due to higher selling prices and lower import tariffs and logistics costs. - FY2024-Q2MitigatedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., sales declined in transactions with major retailers in the highly competitive US market. However, the company was affected by higher selling prices and lower logistics costs, among other factors. As a result, sales were ¥3,521 million, down 14.7% from the same quarter of the previous year, and the segment recorded a loss of ¥226 million, compared with a loss of ¥549 million in the same quarter of the previous year.」
At the U.S. subsidiary, the loss narrowed from ¥549 million in the same period of the previous year to ¥226 million due to higher selling prices and lower logistics costs. Higher costs resulting from tariff increases were not identified as the main factor for the quarter. - FY2024-Q1MitigatedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., in transactions with major retailers in the highly competitive US market, the company was affected by higher selling prices and lower import tariffs and logistics costs. As a result, net sales were ¥1,777 million, down 10.2% year on year, and the segment recorded a loss of ¥148 million, compared with a loss of ¥273 million in the same quarter of the previous year.」
The U.S. subsidiary was affected by lower import tariffs and logistics costs, resulting in some improvement from the situation in which tariff and logistics costs had been depressing profit and loss. - FY2023RestatedAnnual report
「As a result of the temporary improvement in procurement costs from import tariff refunds and other factors, net sales were ¥7,228 million, up 2.9%, and the segment loss was ¥719 million, compared with a loss of ¥1,186 million in the previous fiscal year.」
Although U.S. import tariffs continued to be a cost factor, tariff refunds temporarily improved procurement costs, reducing the segment loss. - FY2023-Q3Temporary improvement in procurement costs from import tariff refundsAnnual report
「As a result of the temporary improvement in procurement costs from import tariff refunds and other factors, net sales were ¥5,770 million, up 6.3%, and the segment loss was ¥535 million, compared with a loss of ¥788 million in the same quarter of the previous year.」
It was stated that the U.S. subsidiary received refunds of import tariffs, which had previously been a factor contributing to losses, temporarily improving procurement costs. - FY2022WorsenedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., sales increased as a result of expanding the range of products handled, among other factors. However, expenses increased due to higher import tariffs and surging logistics costs, among other factors. As a result, sales were ¥7,025 million, up 14.9% from the previous fiscal year, and the segment recorded a loss of ¥1,186 million, compared with a loss of ¥256 million in the previous fiscal year.」
Although sales increased at the U.S. subsidiary, higher costs resulting from increased import tariffs, together with surging logistics costs, were specifically identified as cost factors, and losses widened. - FY2022-Q3WorsenedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., sales increased as a result of expanding the range of products handled, among other factors. However, expenses increased due to higher tariffs, among other factors. As a result, sales were ¥5,431 million, up 16.8% from the same quarter of the previous year, and the segment recorded a loss of ¥788 million, compared with a loss of ¥191 million in the same quarter of the previous year.」
Although sales increased at the U.S. subsidiary, losses widened year on year as higher costs resulting from tariff increases continued. - FY2022-Q2WorsenedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., sales increased as a result of expanding the range of products handled, among other factors. However, expenses increased due to higher import tariffs, among other factors. As a result, sales were ¥3,655 million, up 21.6% from the same quarter of the previous year, and the segment recorded a loss of ¥438 million, compared with a loss of ¥169 million in the same quarter of the previous year.」
Although sales increased at the U.S. subsidiary, losses widened year on year as higher costs resulting from increased import tariffs continued. - FY2021-Q1WorsenedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., aftermarket water-pump sales increased due to the acquisition of new customers and other factors, while expenses increased due to higher tariffs. As a result, net sales were ¥1,655 million, up 38.3% year on year, and the segment recorded a loss of ¥119 million, compared with a loss of ¥34 million in the same quarter of the previous year.」
Although sales increased at the U.S. subsidiary, losses widened due to higher costs resulting from tariff increases and other factors, and the impact of tariffs on procurement costs continued and became more pronounced. - FY2020WorsenedAnnual report
「The U.S. subsidiary was also affected by asset valuations and higher costs resulting from tariff increases, in addition to being unable to improve deteriorating transaction profitability with a major customer, a situation that had continued from the previous fiscal year.」
Higher costs resulting from tariff increases, including additional tariffs on Chinese products, continued and emerged as a factor contributing to the full-year loss in the U.S. segment. - FY2020-Q1First statedAnnual report
「At consolidated subsidiary GMB NORTH AMERICA INC., aftermarket water-pump sales declined and the company was affected by additional tariffs on products sourced from China. As a result, net sales were ¥1,197 million, down 6.0%, and the segment recorded a loss of ¥34 million, compared with a loss of ¥1 million in the same quarter of the previous year.」
It was stated for the first time that additional U.S. tariffs on Chinese products had an actual impact on procurement at the U.S. subsidiary and on segment profit and loss.