GoPro shifts some production from China to sidestep tariffs
GoPro Inc. will move most of its U.S.-bound camera production out of China by next summer in a step to minimize the impact of potential tariffs.
“Today’s geopolitical business environment requires agility,” GoPro chief financial officer Brian McGee said in a statement Monday. “We’re proactively addressing tariff concerns.”
GoPro shares fell 2.8 per cent in New York.
The San Mateo, California-based company said it expects shifting its U.S. production to come at a “relatively low cost” since the company owns its production equipment. Cameras headed for other countries will continue to be made in China, GoPro said.
Presidents Donald Trump and Xi Jinping agreed in Buenos Aires on Dec. 1 to hold off on increasing tariffs for 90 days. But the arrest of Huawei Technologies Co. CFO Meng Wanzhou at the behest of U.S. authorities has stoked renewed fears of a further escalation in the trade war.