Page 68 - Plastics News November 2025
P. 68

IN THE NEWS








          Automation and Process Innovation                     adopting creative mitigation tactics, companies
                                                                can limit tariff-induced margin erosion and pre-
          ♦   Efficiency Gains:  Offsetting higher input        serve shareholder value.
             costs by lowering production overhead.
                                                                For business owners considering liquidity op-
          ♦   Reduced Labor Costs: Less reliance on man-
             ual labor can mitigate cost pressures if wag-      tions in the near-term, selecting an investment
             es rise due to inflation or trade disputes.        banking partner with on-point expertise and a
                                                                proven track record in mitigating trade risks en-
          Conclusion                                            sures transactions are structured to safeguard
                                                                enterprise value.
          Tariffs can significantly reshape the cost land-
          scape for plastics manufacturers, influencing         From precise tariff exposure modeling to nego-
          everything  from  raw  material  procurement  to      tiating customized deal structures, an experi-
          production processes — and ultimately impact-         enced advisor can help businesses confidently
          ing valuations in M&A, financing, and strategic       pursue growth and liquidity alternatives, even
          initiatives.                                          when trade tensions threaten to upend the sta-
                                                                tus quo.
          By implementing a rigorous modeling frame-
          work, proactively diversifying supply chains, and                                 Source – Plastics Business











































             68   PLASTICS NEWS                                                                   November 2025
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