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Hershey calls the White House to be exempt from tariffs.
Kissing and Almond Joy manufacturers told investors that tariffs will be paid between $ 15 million and $ 20 million in the second quarter as the company worked through the existing cocoa inventory.
However, as the number of reserves decreases, the Pennsylvanian company said that tariffs could increase the cost of up to $ 100 million in the third and fourth quarter. Hershey has a “powerful relief plan” to lower costs and reduce the impact of the tariffs below the level, the company said.
“Cocoa cannot grow in the United States, so we are asking for exemptions with the US government.” Michele Buck, CEO of Hershey. Said in prepared remarks It is associated with imports in 1Q.
Hershey cooperates with the clinics and trade organizations to persuade the Trump administration to exclude tariffs.
Hershey, like any other chocolate company, relies heavily on the Ivory Coast and Ghana in West Africa, the world’s best cocoa producer.
President Donald Trump is already 10%basic taxes 21% retaliation tariff of ivory coastIt is the highest among African countries.
Hershey said it would be exposed to Canada’s retaliatory tariffs, as well as exposure to imported cocoa. In cocoa treatment.
Hershey’s CFO, Steve Voskuil, said, “We have made the most efforts to affect government actions using all levers in our disposal to change tariffs on cocoa.
Duty is the latest task of sweets when it is difficult due to the high cocoa price due to the difficulties caused by weather, disease and strong consumer demand.
Hershey, Mondelēz International and other people increased the price by raising the price in 2024. For ingredients. Cocoa prices fell from the best record last year, but still climbed.
