Retractable Technologies Says Tariffs Are Expected To Continue To Materially Impact Our Costs In Future Periods; Working To Lessen Financial Impact Of Tariffs & Have Shifted To A Larger Proportion Production To Us Facility

Tariffs continue to have a material impact on our results of operation and financial position. The tariff rate on needles and syringes imported from China as of September 30, 2025 was 130% and the rate on other products imported from China was 30%. We spent $2.3 million on tariffs in the first nine months of 2025. We are working to lessen the financial impact of tariffs and have shifted to a larger proportion production to our U.S. facility. In the first nine months of 2025, 38.3% of our products were manufactured in the U.S. as compared to 10% in the same period of 2024. We implemented reductions in force in the second and third quarters of 2025 to offset the increase in costs from higher domestic manufacturing.