I was once said on a past posting that Canon management said in a meeting that the Trump tariffs would not have an impact on the company here in the states.
With 20% tariffs on the EU, will Canon USA increase the price of the ProStream and IX or will they erode the margin and eat the tax? It's going to be hard for Canon to compete with HP and Kodak that have dominate equipment in the high-speed roll fed equipment category that are mainly manufactured in the US.
With that said, Canon will also be battered with tariffs on consumables like ink and precoating. Not to mention head replacement costs. Currently Canon is in a battle with HP on ink pricing and a 20% increase will ki-l the profit margin or, if passed onto the customer will make customers consider jumping to another manufacturer.
While Canon customers clammer about head replacements and how service refuses to change out heads because of the cost to Canon, this will also make a bad situation worse for customer success.
It's no secret that Kodak and the Kodak CEO are deep friends of Trump and I would venture that they are working hard to make sure the tariffs on the EU hold. If they do hold for any length of time Canon will have no choice but to enact another round of cost cutting.