Logitech Plans Manufacturing Shift Amid Trump Tariffs, Misses Q4 Estimates

Logitech International (NASDAQ: LOGI) unveiled a strategy to mitigate the impact of U.S. President Donald Trump’s aggressive tariff policy, after reporting Q4 earnings that narrowly missed expectations. The computer peripherals maker, which manufactures most of its products outside the U.S.—one of its largest markets—plans to reduce reliance on China by shifting production to other countries.

CEO Hanneke Faber emphasized a proactive approach to handling global trade barriers, leveraging Logitech’s diverse manufacturing base across six countries. The company aims to cut the share of China-made goods shipped to the U.S. from 40% to just 10%, a move prompted by Washington’s 145% tariffs on Chinese imports. Logitech has been diversifying production since 2018, with operations now spread across Vietnam, Taiwan, Thailand, Malaysia, and Mexico—countries that also face U.S. tariff pressures.

Despite flat quarterly sales of $1.01 billion, below the $1.03 billion forecast from Visible Alpha, Logitech maintained its full-year guidance, projecting sales between $4.54 billion and $4.57 billion and non-GAAP operating income of $755 million to $770 million. The Q4 non-GAAP operating profit came in at $133 million, slightly under the $134 million estimate, impacted by e-commerce payment issues and increased R&D and marketing costs rather than the latest tariff hike announced April 2.

Logitech, headquartered in both Lausanne and San Jose, also has strong sales in Europe, where its products are popular among gamers and remote workers. However, citing ongoing uncertainty around U.S. trade policy, the company recently withdrew its 2026 outlook. For Q1 FY2026, Logitech expects revenue between $1.10 billion and $1.15 billion, and non-GAAP operating income of $155 million to $185 million.