ECONOMYNEXT – Sri Lanka-based Teejay Lanka, a multi-national fabric maker said it was developing strategies to cope with US tariffs by transferring orders among locations and diversifying markets.
US President Donald Trump slapped different tariff rates on different countries, with Sri Lanka attracting one of the highest at 44 percent.
Teejay has facilities in Sri Lanka, India and East Asia.
“While the current tariff ruling is being challenged in court, Teejay is closely monitoring the situation and proactively adapting its operations and strategies to mitigate potential impacts,” Group Chief Executive Pududu de Silva told shareholders in the annual report.
“The Group’s ability to efficiently transfer orders across its various manufacturing locations allows it to mitigate risks associated with tariff fluctuations.
“The Teejay Group, with multiple strategic locations, provides a unique advantage in optimising the supply chain and maintaining a competitive edge in the global market. This adaptability enables Teejay to continue servicing its US clients while also exploring new growth opportunities in different regions.”
Teejay also had a “well-balanced portfolio diversified between EU and US markets the Group has effectively mitigated and spread out its exposure to risk across key global markets,” he said.
In the 2024/2025 financial year, Teejay set up partner operations in Egypt and Indonesia
“The target of commercialising and operationalising these manufacturing locations has been successfully achieved, further strengthening the Group’s global footprint,” de Silva said
“To ensure the success of these ventures, two dedicated teams have been allocated to oversee and drive operational excellence, ensuring that these new facilities contribute effectively to Teejay’s continued growth and market expansion.”
Teejay was also investing in solar and biomass energy to cut costs. (Colombo/June06/2025)
