What Cummins Inc. told the SEC could break it.

Cummins benefits from trade agreements (USMCA) and U.S. trade relationships with China, Brazil, EU and UK; more restrictive trade policies (higher tariffs, new barriers) could raise production costs and harm customer/supplier relationships, and rapidly changing U.S. export controls and sanctions on China could limit sales and affect its ability to collect.

“Embargoes, sanctions and export control laws are changing rapidly for certain geographies, including with respect to China. In particular, changing U.S. export controls and sanctions on China, as well as other restrictions affecting transactions involving China and Chinese parties, could affect our ability to collect”

Cummins single-sources a number of parts and raw materials critical to its operations; any supplier delivery delay may disrupt multiple manufacturing locations and force it to seek alternative sources, and it continues to experience pockets of supply-chain disruption further impacted by the current global tariff environment, plus raw-material/transport/labor price and supply-shortage exposure.

“We single source a number of parts and raw materials critical to our business operations. Any delay in our suppliers' deliveries may adversely affect our operations at multiple manufacturing locations, forcing us to seek alternative supply sources to avoid serious disruptions.”

Cummins invests in higher-risk countries (China, Brazil, India, Mexico and others in Europe/Middle East/Africa) as part of its growth strategy and faces foreign-exchange controls that may limit currency conversion or dividend remittance, plus currency devaluations that diminish the value of foreign-denominated funds; long-lived assets include $1.0B in China and $0.6B in India.

“We also face risks arising from the imposition of foreign exchange controls and currency devaluations. Foreign exchange controls may limit our ability to convert foreign currencies into U.S. dollars or to remit dividends and other payments by our foreign subsidiaries”

In Q3 2025, due to continued rapid deterioration in electrolyzer and overall hydrogen markets and significant uncertainty in alternative-power markets from reduced government incentives, Cummins fully impaired all goodwill for its Accelera electrolyzer business and wrote off certain inventory, totaling $240 million.

“due to the continued rapid deterioration in our electrolyzer markets and overall hydrogen markets, along with significant uncertainty in the alternative power markets resulting from reductions in government incentives, we fully impaired all of the goodwill for our electrolyzer business and wrote off certain inventory in the third quarter of 2025, totaling $240 million.”