What Avery Dennison Corporation told the SEC could break it.

About 69% of Avery Dennison's 2025 net sales (and ~40% from emerging markets) originated outside the US, with ~$1.35B of sales and ~83% of employees abroad, exposing it to foreign geopolitical, currency and emerging-market risks greater than its domestic operations.

“With approximately 69% of our 2025 net sales originating outside the U.S. and approximately 40% of our net sales originating in emerging markets (Latin America, Eastern Europe, Middle East/Northern Africa, and most countries in Asia Pacific), our employees are located in more than 50 countries to best serve our customers.”

In 2025 the US imposed a 10% baseline tariff on nearly all imports plus significant tariffs on Canada, Mexico, China and the EU (with reciprocal responses); the evolving regime could materially affect Avery Dennison's globally sourced/produced materials business despite mitigating actions.

“In 2025, the U.S. implemented a 10% global baseline tariff rate on nearly all imports, with higher rates on certain goods. Additionally, it applied significant tariffs on goods from Canada, Mexico, China and the European Union, each of which announced reciprocal tariffs. The amount of these tariffs or the classes of goods on which they are applied continues to evolve and could significantly change.”

No single customer was ≥10% of Avery Dennison's net sales, but its ten largest customers (including apparel retailers and brand owners) were ~17% of 2025 net sales, concentrating some exposure to the apparel/retail sector.

“No single customer represented 10% or more of our net sales in year-end 2025, 2024 or 2023. Our ten largest customers, which include apparel retailers and brand owners, in the aggregate represented approximately 17 % of our net sales during 2025 and approximately 16 % of our net sales during 2024 and 2023.”