2025 Fourth Quarter

Fall Business Update

As we enter the 4^th quarter of 2025, I would like to take a moment to reflect on the progress we’ve made this year and to look ahead to the future. Independent Can has proudly remained a family-owned business for 96 years, a legacy we continue to uphold with great pride. We are committed to delivering both a personal and professional approach to all of our customers, from multinational corporations to small family-owned businesses, and we strive to exceed their expectations.

At the beginning of last year, we had established processes that mitigated nearly all of the tariffs that were introduced in 2018 and subsequently upheld by the Biden administration. However, in March, the Trump administration eliminated all exemptions and steel quotas, imposing a 25% tariff on all imported steel, which had a negative impact on the cost of our cans. Unfortunately, this tariff was further increased to 50% in August of this year.

I think that most of our customers know, but to provide further clarity, the reason we have to import steel is because the U.S. steelmaking companies are only able to produce 20% of the tinplate that American can manufacturers need. We are working diligently, through The Can Makers Institute (CMI), to advocate for relief from the tariffs due to the limited availability of domestically-produced tinplate. There are also ongoing discussions with Europe to reduce tariffs and potentially add quotas which would help to reduce our costs.

Throughout the last two decades, we have continued to grow and thrive despite challenging conditions. We are driven by an ongoing commitment to investing in talent, skill development, and advanced technology. We have reinvested more than $25 million into the business since 2021. Two new can lines will be commissioned within the next five months, with additional capacity for high-volume production expected by the end of 2026.

Independent Can’s primary focus is on areas within our control, particularly operational excellence. This includes enhancing our preventative maintenance programs and upgrading key systems and machinery across the business. Over the last few years, we have strategically relocated equipment within our Belcamp plant and between plants to optimize material flow, reduce processing times, and lower costs. Maintaining high-quality standards and ensuring on-time delivery remain paramount.

We want to thank all of our employees for their dedication to excellence, as well as our customers for their continued loyalty. Together, we look forward to a future of continued success and innovation.

Rick Huether, CEO