{"id":46857,"date":"2025-04-08T20:53:26","date_gmt":"2025-04-08T20:53:26","guid":{"rendered":"https:\/\/sotnews.agency\/?p=46857"},"modified":"2025-04-08T20:53:26","modified_gmt":"2025-04-08T20:53:26","slug":"trump-tariffs-set-to-restrain-mtn-spending","status":"publish","type":"post","link":"https:\/\/sotnews.agency\/?p=46857","title":{"rendered":"Trump Tariffs Set to Restrain MTN Spending"},"content":{"rendered":"
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\n \t<\/i> Read Time:<\/span>2 Minute, 10 Second <\/div>\n\n <\/div>

News Ghana, Latest Updates and Breaking News of Ghana, News Ghana, https:\/\/newsghana.com.gh\/trump-tariffs-set-to-restrain-mtn-spending\/<\/p>\n

Ralph Mupita, chief executive officer of MTN Group, warned today that US President Donald Trump\u2019s tariff increases and the ensuing trade war are poised to curb capital expenditure by telecommunications operators worldwide.<\/strong><\/p>\n

Speaking at a press briefing at MTN\u2019s Fairland headquarters in Johannesburg, Mr. Mupita cautioned that higher import duties on electronic goods will drive up the cost of radio equipment and complicate supply\u2011chain planning.<\/p>\n

\u201cIt is still too early to gauge the full impact, but we expect global growth to slow,\u201d he said, adding that sustained tariffs will keep inflation above its natural rate. He noted that companies must now scrutinize their supply chains and the origin of critical components to anticipate cost pressures.<\/p>\n

MTN has earmarked roughly US$2\u202fbillion for network infrastructure investment in the 2025 financial year, which ends on December 31. Thanks to advanced planning and long\u2011standing agreements with equipment vendors, Mr. Mupita believes the group will be largely insulated from immediate shocks. \u201cOur capital\u2011spend deals are mostly concluded, so we should be shielded from sudden supply\u2011chain disruptions this year,\u201d he explained.<\/p>\n

A key advantage for MTN is its reliance on Chinese suppliers such as Huawei Technologies. With average revenue per user of around US$5 across Africa\u2014far below the US$60 plus that European operators enjoy\u2014the group opts for more affordable kit rather than pricier alternatives from vendors like Ericsson.<\/p>\n

Mr. Mupita echoed the view of investment bank JPMorgan that the risk of a US recession has risen in the wake of Trump\u2019s tariffs. He warned that any downturn in the world\u2019s largest economy could ripple through emerging markets, potentially threatening MTN\u2019s anticipated recovery in Nigeria, its biggest market by revenue.<\/p>\n

Nigeria accounts for about 40\u202fpercent of MTN\u2019s total sales, with South Africa contributing roughly 30\u202fpercent. In recent months, regulatory reforms and stronger foreign\u2011exchange reserves have improved dollar liquidity in Nigeria, easing the repatriation of dividends. Yet, sustained inflation and currency devaluation remain a concern.<\/p>\n

By urging telecom operators to monitor their supply chains and by securing favourable contracts in advance, MTN aims to mitigate the fallout from international trade tensions. As the industry awaits clearer signs of economic impact, the group\u2019s strategy underscores the importance of proactive planning and diversified sourcing in a volatile global environment.<\/p>\n

News Ghana, Latest Updates and Breaking News of Ghana, News Ghana, https:\/\/newsghana.com.gh\/trump-tariffs-set-to-restrain-mtn-spending\/<\/p>

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News Ghana, Latest Updates and Breaking News of Ghana, News Ghana, https:\/\/newsghana.com.gh\/trump-tariffs-set-to-restrain-mtn-spending\/ Ralph Mupita, chief executive officer of MTN Group, warned today that US President Donald Trump\u2019s tariff increases and… <\/p>\n","protected":false},"author":1,"featured_media":421,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"facebook_2277560469115098_106292521332774":"","twitter_aToxNzczMzI3Njk4OTg4ODUxMjAxOw==_1773327698988851200":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[13],"tags":[],"class_list":["post-46857","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts\/46857","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=46857"}],"version-history":[{"count":0,"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts\/46857\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/media\/421"}],"wp:attachment":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=46857"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=46857"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=46857"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}