Adidas Boss Warns Currency War Will Hurt More Than Tariffs
by MR Magazine Staff
Aug 09, 2019
Adidas AG said it’s more worried about a currency war between the U.S. and China than the possibility that President Donald Trump will increase tariffs on footwear. The German sportswear maker does as much as 45% of its business in the U.S. and China, and if the two countries weaken their currencies in a competitive tussle then it will ultimately come to hurt Adidas’s earnings when translated back into euros. There’s also the risk that such a conflict would slow down the world’s two biggest economies—and everyone else. “There is no winner in a currency war,” Chief Executive Officer Kasper Rorsted said on a call with reporters. “Eventually everybody will lose because it will lead to a slowdown in the global economy.” Read more at Fortune.
