TES: The impact of the U.S. tariff increase event is relatively low

TES announced that due to the impact of the U.S. tariff increase, the company's stock price has fluctuated significantly, but the extent of the impact is relatively low. The company has established a production base in Thailand, which is expected to achieve mass production in 2024, with 70% of export products to be produced in Thailand, as the tariff rate in Thailand is lower than that in China and Vietnam. In addition, the ODM business adopts an FOB trading model, which reduces the impact of tariffs on costs. The company will continue to increase the production ratio in Thailand and set up production lines in the U.S. with American partners to diversify risks