Germany's Lanxess gets boost from stockpiling ahead of Trump tariff threat
The company ships goods into
Trump has since his inauguration imposed a variety of blanket tariffs on several countries and goods, and threatened further levies going forward.
Lanxess, which on Thursday forecast 2025 core earnings below market expectations, said it had seen slightly lower prices in the fourth quarter mostly due to input cost deflation, but increased sales volumes for most business units as customers rushed to place orders.
In early November, it had said potential U.S. protectionist
policies under Trump would benefit its business, given its
strong position with about 2,300 employees and around 20
production sites in 14 U.S. states and
Tariffs tend to be inflationary because they raise the cost of imported goods, prompting businesses to either absorb the higher expenses or pass them on to consumers through price increases.
The fear of rising prices often fuels stockpiling behaviour,
particularly of non-perishable goods like chemicals and medical
supplies, as companies buy goods before costs escalate further.
(Reporting by
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