Pottery firm sales grow after tariff disruption

Mike Raybould, boss of the Portmeirion Group, said his firm was adapting to disruption caused by the global tariffs imposed by President Donald Trump

Bosses at a pottery firm say their sales have started to grow again after being initially disrupted by President Donald Trump's tariff announcements.

Despite a dip of about 10% to its sales in north America, international sales at the Portmeirion Group were up by about 11% overall, helped by growth of almost 30% in the South Korean market.

The firm said it also saw growth in the UK thanks to the success of its home fragrances.

In a trading update for the six months up to 30 June, a spokesperson said group sales were expected to be about £37m, a rise of 1.3% year-on-year.

Earlier this year, President Trump signed an executive order to reduce tariffs on some British goods entering the US but his blanket 10% tariff on imports from countries around the world still applies to most UK items.

The Portmeirion Group's brands include Spode, Portmeirion, Royal Worcester, Pimpernel, Wax Lyrical and Nambé.

Chief executive Mike Raybould said the USA was the firm's largest and most profitable market.

A statement from the company to update investors said bosses had changed production schedules and shipments to America in the first half of this year after a review.

Some lines would be reduced or removed as a result, they added.

Full year results for the market would be "markedly down" the update added, as they have been forced to cancel orders which were subject to higher tariffs.

The firm was taking the opportunity to accelerate its Made in Stoke-on-Trent initiative, the statement added.

The scheme is part of the firm's efforts to return production to the UK.

Other pressures included increased National Insurance contributions and minimum wage costs.

"The UK is a higher cost venue to manufacture but this is a necessary investment of margin and will benefit our brands over the medium to long term, particularly in international markets," the company statement said.