Lindt & Sprüngli has neither explicitly confirmed nor denied it is weighing options to expand manufacturing in the US to counter President Trump’s tariffs.
Bloomberg reported last week, citing people familiar with proceedings, that the Switzerland-headquartered premium chocolate maker could be seeking to spend up to $10m to facilitate US production of Easter products made in Germany.
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The news agency’s sources suggested the plans would involve the manufacture of seasonal items such as Easter bunnies, Santa-depicted chocolate products and other hollow chocolate figures.
Asked to comment on the speculation when approached by Just Food, a spokesperson for Lindt & Sprüngli provided a statement, noting an expansion project that is underway at one of its sites in the US. However, the project was not specifically identified as being connected with tariffs.
“We have been evaluating further investments in our production capacity in the United States for several years. We are currently expanding our production capacity at our site in Stratham, New Hampshire,” the spokesperson said.
“Regardless of the tariffs, we continuously work to improve the efficiency of our production and supply chains. This includes reviewing which products are manufactured at which sites and for which markets.”
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By GlobalDataLindt & Sprüngli operates five production plants in the US, including three for its Russell Stover confectionery unit, and seven in Europe, a spokesperson confirmed.
In its 2024 annual report issued in March, the company noted: “In line with our sales growth, we are increasing our capacities in the United States by continuing the expansion of the production facility in Stratham, New Hampshire.
“The project is on track and scheduled to become fully operational in 2025, significantly increasing the plant’s capacity. Investments in automation will also noticeably increase productivity.”
That year, Lindt & Sprüngli reported global sales of SFr5.47bn ($6.77bn), with SFr2.15bn generated in North America – SFr843m in the US; SFr442m in Canada; and SFr574m in Mexico.
No mention of the potential impact of US tariffs was made in Lindt & Sprüngli’s half-year report issued in July.
Organic sales rose 11.2% to SFr2.35bn in the half “supported by necessary price increases to offset record-high cocoa costs” of 15.8%, the company said.
Results were down in other areas. EBITDA dropped 5% to SFr401.8m with the margin falling 250 basis points to 17.1%.
EBIT decreased 11.3% to SFr259.2m, while the margin fell to 11% from 13.5%. Net income declined 13.3% to SFr188.9m.
As those results were issued, Lindt & Sprüngli raised its sales growth guidance from 7-9% to 9-11% for the full year.
The EBIT margin is expected to rise at the “lower end” of its 20-40 basis-point range.
