As U.S. trade war heats up, CT manufacturing stocks take hit; Stanley announces global supply chain head leaving
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Stanley Black & Decker's New Britain headquarters.
Stanley Black & Decker’s executive in charge of the company’s global supply chain is stepping aside as the new Trump tariff regime hits the stock prices of major Connecticut manufacturing companies.
The New Britain toolmaker says it has entered into a transition and release agreement with Tamer K. Abuaita, its global chief supply chain officer and president of its industrial division.
Stanley says the change is part of a “strategic realignment” of its global supply chain function. The company is returning major portions of supply chain responsibility to its business operating structures.
In the filing, the company says the intention is to “drive deeper connections across end users, customers and the business to fuel future growth.”
After one year in the senior adviser role, Abuaita will receive one year’s salary as a severance payment.
The change comes as across-the-board tariffs on foreign goods announced by President Trump go into effect, including a 54% tariff on Chinese imports. In retaliation, China says it will apply 34% tariffs on U.S. goods.
In an earnings call in January, Stanley’s President and CEO Donald J. Allan Jr. revealed that at least 15% of the company’s goods that are sold in the U.S. are still made in China, despite a years-long effort to reshore production.
At the time, the company said a 10% tariff on China would result in a "net impact of $10 million to $20 million" on earnings in 2025.
Stanley has put in place a two-year plan to move production and aspects of its supply chain. Allan, last fall, speculated it could involve moving operations from China to other parts of Asia and Mexico.
Allan has also said the company may increase prices in response to new Trump tariffs.
The company’s stock price closed Thursday at $64.66, down 14.5% since Monday and down nearly 42% from its 52-week high price.
Other Connecticut manufacturing stocks have also taken a hit this week.
Here’s a breakdown:
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