Associated British Foodsâ Primark clothing retail business is committed to expanding in the United States despite President Donald Trumpâs erratic approach to tariffs, its boss said on Tuesday.
Primarkâs US business accounts for about 5 percent of the unitâs total sales. It currently trades from 29 stores in the US and has signed an additional 18 leases.
Trumpâs stream of tariff announcements, roll-backs and exemptions has left some firms wary of committing to expansion.
However, AB Foods chief executive George Weston said Primark was âabsolutelyâ committed to a plan to have 60 US stores by 2026 and remains confident it can succeed in a market that has been a graveyard for some of Britainâs biggest retailers, including Marks & Spencer and Tesco.
Weston told Reuters in an interview that Primark would take the â[tariff] hits where we have to take them and before we take more substantive actions wait to see where we really are.â
But he said Primark could benefit from Trumpâs move to end the âde minimisâ duty exemption, which allows shipments worth less than $800 duty-free entry to the US and has helped companies like Shein keep prices low.
âDe minimis imports in the US are very, very large, they supply a lot of Americans who donât know about Primark yet but are looking for value,â he said.
âWith prices going up from this part of the trade, I wonder if some Americans might start going back to shopping centres to find value there.â
Weston was speaking after AB Foods reported first half results.
By James Davey; Edited by Paul Sandle
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