Tariffs and trade restrictions
Global sourcing and cross-border sales can increase costs and disrupt supply chains.
- Scope
- Natur-Tec® and international operations
- Materiality
- high
Northern Technologies International Corporation
Northern Technologies International Corp. develops and markets proprietary corrosion prevention and sustainable materials products through a global network of subsidiaries, joint ventures, distributors, and agents. Its core businesses are ZERUST® rust and corrosion inhibiting solutions and Natur-Tec® bio-based and compostable polymer compounds and finished products, sold across North America, Europe, Asia, and other international markets.
4,2 %
37,6 %
0,0 %
−1,0 %
1.85
1.21
| % | |
|---|---|
| ZERUST® corrosion prevention solutions | 70% Plastic and paper packaging, liquids, coatings, rust removers, cleaners, diffusers, and engineered systems that prevent corrosion. |
| Natur-Tec® sustainable materials | 20% Bio-based and certified compostable resin compounds and finished products used in packaging and related applications. |
| Technical consulting and services | 5% On-site corrosion prevention consulting and technical support provided to end users and joint ventures. |
| Joint venture service fees | 5% Fees for marketing, technical, legal, insurance, and other support services provided to foreign joint ventures. |
NTIC sells to industrial end users that need corrosion protection for metal parts, equipment, and supply chains,...
- Industrial corrosion prevention customersprimary
Automotive, industrial, mechanical, mining, agricultural, and oil and gas users buy ZERUST® products to protect metal parts and equipment from rust and corrosion.
- Packaging and materials customerssecondary
Customers buy Natur-Tec® resin compounds and finished products for compostable and bio-based packaging applications.
- Joint venture end usersprimary
Local customers in foreign markets buy through NTIC-affiliated joint ventures that manufacture and distribute products in their territories.
- Distributors and agentssecondary
Channel partners buy or place NTIC products into local markets and extend reach where direct sales are limited.
NTIC operates in over 65 countries through subsidiaries, joint ventures, independent distributors, and agents, with...
- •Operates in over 65 countries through a partner network
- •North America is served by direct sales and distributors
- •Europe and Asia are key joint venture territories
- •Foreign partners help navigate local rules and customs
- •China is an important operating market with local production
- •Geography affects tariffs, logistics, and local market access
NTIC is focused on expanding ZERUST® corrosion prevention into additional industrial end markets, including oil and...
01
Expand corrosion prevention in oil and gasmedium-term
Oil and gas customers require long qualification cycles, but the segment can deepen NTIC's industrial footprint.
02
Grow Natur-Tec® sustainable materialsmedium-term
The business broadens NTIC beyond corrosion prevention into compostable and bio-based materials.
03
Localize production and sourcingshort-term
Reducing tariff and supply-chain exposure supports competitiveness and customer pricing.
04
Use joint ventures to extend market reachlong-term
Local partners help NTIC access foreign markets, manage regulations, and scale distribution.
NTIC depends on international markets, third-party manufacturers, and joint venture partners, so trade policy, local...
Reliance on third-party manufacturers and contractors
NTIC outsources much of its production and logistics, creating quality and warranty exposure.
- Scope
- Product manufacturing and fulfillment
- Materiality
- high
International political and economic instability
Sales and joint ventures operate in multiple foreign jurisdictions with local regulatory and macro risk.
- Scope
- North America, Europe, Asia, and emerging markets
- Materiality
- high
Slow commercialization in oil and gas
Customer qualification can take years, delaying revenue conversion and scaling.
- Scope
- ZERUST® oil and gas applications
- Materiality
- medium
Competitive pressure in Natur-Tec®
Larger competitors have stronger distribution, brand recognition, and resources.
- Scope
- Bio-based resin compounds and compostable products
- Materiality
- medium
Cybersecurity threats
Business systems store proprietary and sensitive information and could be disrupted by attacks.
- Scope
- Information systems and financial reporting
- Materiality
- medium
Revenue recognition on shipment
Product sales and reported growth
Joint venture fee income
Service revenue and margin mix
Warranty and product defect reserves
Cost of goods sold and liabilities
Investment and joint venture valuation
Balance sheet carrying values and earnings
: 29.4.2026