Lindt considers U.S. chocolate bunny production due to impact of Trump-era tariffs.

Swiss chocolatier Lindt & Sprüngli is contemplating a significant shift in its production logistics, potentially relocating the manufacturing of its iconic gold-wrapped Easter bunnies to the United States. This strategic move aims to mitigate the impact of import tariffs instituted during the Trump administration.

Sources familiar with the situation suggest that the company is prepared to invest up to million not only to relocate the production of its Easter bunnies but also to produce Santa figures and other hollow chocolate assortments in the U.S. Currently, these popular products are produced in Germany. While Lindt has chosen not to provide detailed commentary on these specific plans, the implications of such a decision are noteworthy.

Under the existing tariff regime, shipments entering the U.S. from Germany are subject to a 15% import tariff, a consequence of the trade measures implemented against the European Union. Additionally, the chocolate industry has faced rising costs in cocoa, prompting a reported 16% increase in Lindt’s product prices during the first half of the current year.

In previous communications, Lindt indicated that it has been exploring enhancements to its U.S. production capabilities for several years, with ongoing expansions at its facility in Stratham, New Hampshire. The U.S., recognized as the largest chocolate market worldwide, has seen Lindt increase its sales by approximately 4.9%, reaching 3 million in the previous fiscal year, according to its annual financial report.

A Lindt spokesperson noted the company’s ongoing efforts to enhance production efficiency and adapt to the challenges presented by tariffs. This adaptation includes reassessing production locations and the product allocation for various markets.

The contemplation of relocating production underscores the growing apprehension among European Union and Swiss corporations grappling with tariff-related challenges. Notably, Switzerland is currently facing a striking 39% tariff on its imports, the highest levied on any developed nation, prompting several companies to reassess their manufacturing strategies to lessen the impact of such levies.

Additionally, Lindt is also exploring the possibility of shifting production for its Canadian market from its facility in Boston to European production bases, a maneuver aimed at circumventing retaliatory tariffs imposed by Canada on U.S. goods.

Lindt currently manufactures a substantial portion of its products within the local markets they serve; however, specialized products are produced in dedicated facilities globally. For instance, Lindor chocolate bars are uniquely crafted in Switzerland, while France serves as the production hub for Lindt’s dark chocolate brand Excellence, and its nut creations are primarily produced in Italy.

As Lindt navigates these complexities, its moves may set a precedent for other companies seeking to adapt to the evolving landscape of international trade and tariffs.