Thread regarding Canon Inc. layoffs

You can lay people only so much. Kodak and Xerox are good examples of how dysfunctional CEOs operate. And both companies are barely on life support and both companies have been through so many CEOs which is proof how disposable the top dogs are. The handwriting is on the wall for Sammy's dysfunctional absolutist mindset.

Just to note. Canon manufactures equipment in the US, Europe and Japan. The big gear that costs a customer over 1.5million dollars is manufactured in the EU at the OCe facilities. The one-time hit with high tariffs is huge. But who is paying the tariff on this equipment and why? The executive management in the US over the past 2 years, had already discounted the prostreams and IX presses to the point of razor margins. Now Canon is faced with eating the tariff or passing along over 20% on a $1.5M sale. So is the blame on the tariff or bad decision making by US executives. That by the way have all fled Canon US to other companies. i.e. VP Sales, VP finance, Division VP. You do the math. With that said, there is no way to move that manufacturing to any other country. BUT the bulk of the revenue is from consumables, like ink and with all the in fighting between OCe and Japan it will be a real mess to move that to the US. Cry as much as you want about Sammy, I don't disagree with you, but the mess started with the executive management at Canon in the US, Europe and Japan that wanted to protect their own worlds and the world around them has been crumbling and is now crashing down to reality. Merging CSA and CUSA into one is not solving the problem. 12 months of reorganization is proof of that.

Sounds more like Sammy's making a lame excuse to cover his bacon. If anyone is facing a layoff, it's Sammy. I'm sure he won't find getting a pink slip to be acceptable. Go ahead and double down, Sammy, on your excuse factory rhetoric. No one, especially those in Japan, see right through you, Sammy. You're a horse's a-s.

Toyota manufactures about 70% of US sales in America.

Your jobs at risk as Canon leaderships stuck in 1989 and won’t change to the current environment.

@ek no one wrote to move global manufacturing to the US. Production for US Sales using existing equipment? Yes. That’s the point here. How about use the consumable manufacturing lines already at CVI to make consumables actually sold in America, as a start?

@b6 Canon is a Global entity founded in Japan. They're not going to move global production to the US as a Japanese company. And even if they did, it would take 5-10 years, MANY billions of dollars, and everything would cost dramatically more when produced here. The simple fact here is that the tariffs make everything more difficult in the global market, they make everything cost more, and all our job are at risk, very specifically thanks to the tariffs.

I really appreciate this post and I hope someone in Melville is reading it.

Customers today will not pay a premium for Canon. We are a great brand but when push comes to shove customers will option for a lower cost. Service , which was once critical to retail, is not that big of a deal anymore because devices are not be utilized like they once were. Like a cr-ppy wine, you can hide the imperfections by over chilling it. So what if the Kyrocera breaks down a bit more, we are saving 20%.

This company is doomed for failure and I don’t know about you but I am tired of hearing about tariffs. We are handing our business away to competition everyday because our reps can’t be competitive. Sammy is using the tariffs as an excuse but every company is going through this. Making excuses for poor results is weak but he has to do something to save face with Japan.

In the end, this company will fail and you will see changes, no doubt. The changes won’t make a difference unless they get real about letting our sales reps make money.

He still doesn’t get the point to manufacture domestically to avoid tariffs. CVI needs more work apparently but this big international trade point doesn’t register.

I don’t give a f**k what’s acceptable or not to Sammy the LOSER anymore, as well.

He preparing everyone for layoffs, there is nothing else left for him as an option.

He was marching around the 4th floor this morning before the letter went out. Sammy is watching!

President Trump announced exciting news today. Apple is building in the US $600 billion, Nvidia. 500 B, and many more tech companies are building in America. American innovation! My question is about Canon and moving manufacturing to Virginia. Build manufacturing on Melville land. Innovate and Lead. Lessons learned by Apple and many more tech giants.

“While we anticipated this negative impact, it does not make the result acceptable"

Sounds like an oxymoron to me.

In the second quarter of 2025, Canon's printing related business reported a 6.7% decline in sales compared to the previous year, but profitability improved to 12.6% the highest level since last year. This improvement was attributed to structural reforms that lowered costs and enhanced operational efficiency. Overall company wide while sales fell by 2.4%, operating profit remained flat. (Source: Canon Global)

Source: Seeking Alpha sites. Unimpressed with flattish operating earnings and downgraded outlook. Total year guidance is lowered by 1.3%, this implies its operating profit growth could possibly decelerate from 19% to 3%.

So, I look at it like this. The sales cycle for the production equipment is generally 6-9 months and for office equipment/copiers say 4-5 months? So how bad does your funnel have to be to have such a poor Q2, especially when tariffs were really not in place yet and every other print vendor had pre-tariff programs in place to sale tons of equipment and most all hit their Q2 targets.

At this point the writing is on the wall, Canon will not reach its goal of returning to precovid 2019 levels of revenue. One cannot ignore that proposition of another RIF in the printing division, unless the medical division consolidates and sells off unprofitable segments.

Just a thought.