The British alcoholic beverage giant Diageo, owner of brands such as Johnnie Walker, Smirnoff and Guinness, announced Tuesday that it is abandoning its sales forecasts for the 2024-2025 fiscal year due to the threat of tariffs imposed by Donald Trump.
Due to the macroeconomic and geopolitical uncertainty affecting many key markets they remove the medium-term forecast of five to seven percent revenue growth, Diageo reflected in its half-year results.
The group now plans to provide near-term projections on a more frequent schedule.
A 10 percent tariff on all products imported from China went into effect in the United States on Tuesday, a measure Beijing responded to earlier in the day.
The project to impose 25 percent tariffs on Canada and Mexico, pushed by Trump, was suspended for a month.
According to Diageo CEO Debra Crew, this situation of constant uncertainty hinders the group’s ability to provide up-to-date forecasts, as this is a new and dynamic scenario.
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