The Journal. How IKEA Is Keeping Its Furniture Affordable
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Apr 30, 2026 
Juvencio Maeztu, CEO of Ingka Group and a longtime IKEA leader, explains how the company keeps furniture affordable in a world of tariffs, inflation and energy shocks. He discusses cutting prices after raising them, avoiding knee-jerk tariff moves, using wind and solar to steady costs, and rethinking city stores while sticking to a long-term vision.
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IKEA Sacrificed Revenue To Reset Prices
- IKEA cut prices about 10% in 2024 even after inflation had forced earlier increases, prioritizing affordability over short-term revenue.
- Juvencio Maeztu said Ingka gave up about €2 billion and accepted a roughly 5% sales drop by design to "side with the many people."
IKEA Uses Patience Instead Of Tariff Panic
- IKEA treats tariffs as noise to manage patiently rather than a trigger for constant repricing.
- Juvencio Maeztu said the company avoids "panicking" prices up and down and instead waits to see how policy actually settles.
Renewables Became IKEA's Cost Shield
- IKEA's renewable energy spending acts like a hedge that protects affordability when energy markets spike.
- Ingka committed €7.5 billion, invested €4.2 billion, and now produces about double the electricity it consumes from wind and solar.