What Bel Fuse Inc. told the SEC could break it.

Bel Fuse's magnetics, connectors and power/circuit-protection components rely on metals as core inputs, and it discloses that sharp increases in metal commodity prices — particularly gold (Au), silver (Ag) and copper (Cu) — over the past few years continue to impact its cost structures and supplier pricing. Although it may have more than one supplier for certain materials, availability and cost remain exposed to these volatile precious/base-metal markets. A specific, already-materialized metals-commodity input dependence.

“Sharp increases in metal commodity prices, particularly Gold (Au), Silver (Ag) and Copper (Cu) over the past few years continue to impact cost structures and supplier pricing.”

Bel Fuse's production is heavily concentrated in mainland China: the majority of its Magnetic Solutions manufacturing capacity and supplier base is located in the PRC, as is a portion of its Power Solutions and Protection group. As of December 31, 2025, 42% of its associates and 56% of its owned/leased manufacturing facilities (by square footage) were located in the PRC (and ~32% of identifiable assets in Asia). This concentrates the company's cost base, supply continuity and contractual arrangements in a single jurisdiction exposed to PRC policy changes, Hong Kong/Taiwan instability and US–China decoupling. A quantified China manufacturing/supply-base concentration.

“The majority of Bel's Magnetic Solutions manufacturing capacity and supplier base is located in the PRC, as is a portion of Bel's Power Solutions and Protection group.”

Because Bel Fuse manufactures and sources heavily in China, Mexico and other countries and imports into the U.S., it is directly exposed to U.S. tariffs. It discloses that the April 5, 2025 reciprocal tariffs covered a number of countries where Bel's manufacturing sites and/or suppliers are located, and that — if all applicable and in force — approximately 25% of its consolidated global sales had been subject to these recently-enacted U.S. tariffs. The landscape is unsettled: on February 20, 2026 the U.S. Supreme Court (Learning Resources v. Trump) struck down the IEEPA-based tariffs as invalid, but the full impact and any substitute tariff authority remain unclear. A specific, quantified, thesis-central trade-policy exposure.

“our most recent estimates indicated that approximately 25% of our consolidated global sales had been subject to these recently-enacted U.S. tariffs.”