Israeli PCB CEO Sees Big Chance to Grow US Business if Trade War Breaks Out With China
Israeli printed circuit board supplier Eltek sees an opportunity to grow its U.S. business “due to the worsening of the relationship between the U.S. and China,” said CEO Eli Yaffe on a fiscal Q1 call Tuesday. “The impact of any…
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
trade war between the U.S. and China will also impact the Israeli market.” Any heightened U.S.-China trade tensions would likely accompany increased “U.S. pressure on the Israeli government to reduce the Israel-China trade activity,” he said. The company's Q1 ended March 31. A coalition of 14 Republican attorneys general wrote President Donald Trump last month urging him to hold China accountable for damages from the COVID-19 pandemic (see 2005140054). Trump administration officials, including Secretary of State Mike Pompeo, said punitive tariffs against China are being considered (see 2005180020). COVID-19 “created new operational and business challenges” for Eltek, said the CEO. The stock closed down 13% at $4. The pandemic required “quick adjustment to enable us to maintain our production of PCBs while maintaining the safety of our workforce,” he said. “We see both risk and new opportunities in the existing business environment and are making the necessary adaptations to meet customers’ demand and our revenue and profit margin goals.” The stock closed 13.5% lower Tuesday at $4.05.