0712 GMT - KCE Electronics' weak 2025 outlook is likely worsened by rising trade uncertainties, CGS International's Thanapol Jiratanakij says in a research report. According to S&P Global, there's 50% probability the U.S. auto industry may suffer supply-chain disruptions lasting 16-20 weeks if the U.S. proceeds with 25% tariffs on vehicle imports from Canada and Mexico starting April 2. Under this scenario, automakers may conserve auto-component inventory and replenish tariffed stocks slowly, which could adversely affect sales for auto-parts suppliers including KCE Electronics, the analyst says. Rising metal prices may also undermine the Thai company's cost-cutting efforts, says the brokerage, which lowers the target price to THB20.70 from THB22.40 with an unchanged hold rating. Shares are last 0.5% higher at THB19.00. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
March 21, 2025 03:12 ET (07:12 GMT)
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