HUSQVARNA ANNOUNCE CHANGES TO U.S MANUFACTURING

Husqvarna Group in the U.S has announced a strategic partnership with Flex Ltd., an end-to-end global manufacturer, which includes the divestment of its manufacturing operations in Orangeburg, South Carolina, USA, effective immediately.

Flex will manufacture Husqvarna Group's products in the factory under a long-term supply agreement, ensuring continued production of the company's wheeled products and assembly of handheld products for the North American market. The manufacturer says the partnership aims to " . . increase profitability, improve capital efficiency, enhance production flexibility and strengthen the Group's competitiveness in North America."

With Flex assuming manufacturing responsibilities of the Orangeburg facility, the current workforce will be offered employment with Flex. The partnership is expected to result in cost-savings of approximately €31 million after five years. The one-time costs for Husqvarna Group, booked in Q4 2024, amount to approximately €22 million in addition to a limited one-time cost in Q1, 2025.

Pavel Hajman, CEO of Husqvarna Group said, "The partnership secures our manufacturing of important products for the North American market, while enhancing flexibility and customer focus."

All Husqvarna Group’s three divisions are represented on the American market, where the Orangeburg factory is producing for the Husqvarna Forest & Garden division. North America is Husqvarna Group’s largest market with approximately a third of the company’s total sales in 2024.