Consumer

Tyson Foods Cuts Earnings Outlook Amid Tariffs

July 30, 2018 / 6:29 PM PDT / CBS Sacramento

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SPRINGDALE, Ark. (AP) - Tyson Foods is citing higher tariffs and uncertainty about trade policies in cutting its profit forecast.

The Springdale, Arkansas-based company said Monday the tariffs are primarily affecting chicken and pork prices, in the U.S. and elsewhere. President Donald Trump has imposed tariffs on a range of goods, and China retaliated with tariffs on U.S. exports.

Tariffs on steel and aluminum have pressured automakers, and General Motors also cut its outlook for the year.

Tyson Foods Inc. says it now expects adjusted earnings of about $5.70 to $6 for the year. It previously expected $6.55 to $6.70 per share. CEO Tom Hayes said "changing global trade policies here and abroad" and "the uncertainty of any resolution" contributed to lower prices and an oversupply.

Tyson shares fell 6 percent.