Cohu Inc

Item 1A.

Risk Factors.

Our business, financial condition and results of operations are affected by a number of factors, whether currently known or unknown, including risks specific to us or our industry, as well as risks that affect businesses in general. In addition to the risk factors set forth in this Quarterly Report on Form 10-Q, you should carefully consider the risk factors described in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 28, 2024 (the Annual Report). The risk factor set forth below updates, and should be read in conjunction with, the risk factors disclosed in such Annual Report. Other than the risk factor set forth below, we believe there have been no material changes from the risk factors disclosed in the Annual Report. However, additional risks and uncertainties not currently known or which we currently deem to be immaterial may also materially adversely affect our business, financial condition, or results of operations.

Risks Relating to Our Business Operations and Industry

Changes in United States trade policies, including the imposition of tariffs and retaliatory tariffs, may adversely impact our business, financial condition, and results of operations.

During the first Trump Administration from 2017 to 2021, certain tariffs and retaliatory tariffs, as well as other trade restrictions, were imposed on various products and materials. PresidentThe Trump again has signaled that his new Administration will again has imposed tariffs and retaliatory tariffs against U.S. trading partners. On February 1, 2025, President Trump issued an Executive Order imposing tariffs at various levels on imports from Canada, Mexico, and China. The newly imposed tariffs have resulted in immediate threats of retaliatory tariffs against U.S. goods and resulted in discussions with the countries which have delayed many of the U.S. imposed tariffs while discussions with each trading partner continue. In March and April 2025, the Trump Administration announced a series of additional special tariffs, some of which have been temporarily paused. The additSince then, the Trump administrational special tariffs already in effect as of the date of this periodic report on Form 10-Q include has issued revised tariff amounts for both the special tariffs on certain aaluminum and steel products and certain derivatives as as well as tahe blanket tariffs of 10% based upon most products (including all or substantially all products imported into the US by the Company) from all countries worldwide, and a 145% tariffthe origin location, many of which are set to go into effect on substantially all products of Chinese originAugust 1, 2025.

The above and other potential tariffs and trade restrictions may, among other things, cause the prices of our products upon import into the US to increase, which could reduce demand for such products given the increased cost, and adversely impact theiour revenues, financial results, and ability to service debt. These dynamic conditions are also causing some reservations from consumers and business alike, which may impact buying decisions which are or mimic recessionary conditions. This in turn could adversely affect our financial condition and results of from operations. In addition, to the extent changes in the political environment have a negative impact on us or on the markets in which we operate our business, our results of operations and financial condition could be materially and adversely impacted in the future. At this time, it remains unclear what the U.S. government or foreign governments will or will not do with respect to additional tariffs that may be imposed or international trade agreements and policies.