INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2025

Income Tax Disclosure [Abstract]

Schedule of Geographic Allocation of Income (Loss) and Provision for (Benefit from) Income Taxes

Geographic Allocation of Income (Loss) and Provision for (Benefit from) Income Taxes	2025		2024		2023
(In millions) For the years ended December 31,
Income (loss) from continuing operations before income taxes
Domestic	$	(217)	$	(398)	$	(579)
Foreign	417		515		300
Income (loss) from continuing operations before income taxes	$	200	$	117	$	(279)
Current tax expense
Federal	$	(23)	$	133	$	6
State and local	8		5		5
Foreign	104		167		80
Total current tax expense	$	89	$	305	$	91
Deferred tax expense (benefit)
Federal	$	46	$	(103)	$	20
State and local	5		(25)		(22)
Foreign	(38)		36		(306)
Total deferred tax expense (benefit)	$	13	$	(92)	$	(308)
Provision for (benefit from) income taxes on continuing operations	102		213		(217)
Net income (loss) from continuing operations	$	98	$	(96)	$	(62)

Schedule of Effective Income Tax Rate Reconciliation

Reconciliation to U.S. Statutory Rate	2025
(In millions) For the year ended December 31,	Amount		Percent
U.S Federal Statutory Tax Rate	$	42	21.0	%
State and Local Income Taxes, Net of Federal Income Tax Effect 1	10		5.3
Foreign Tax Effects
China
Foreign Withholding Taxes	17		8.4
Other Adjustments	(3)		(1.5)
Germany
Enacted Changes in Tax Law or Rates	6		3.2
Other Adjustments	9		4.7
Japan
Statutory Rate Difference	7		3.5
Provision to Return	(5)		(2.5)
Other Adjustments	1		0.6
Luxembourg
Changes in Valuation Allowance	(59)		(29.9)
Other Adjustments	2		1.1
Netherlands
Changes in Valuation Allowance	7		3.5
Nontaxable Items	(6)		(3.0)
Provision to Return	(8)		(3.9)
Other Adjustments	4		2.0
Switzerland
Statutory Rate Difference	(11)		(5.6)
Local Tax Effects	6		3.1
Other Adjustments	(2)		(0.8)
Other Foreign Jurisdictions	20		10.1
Effect of Cross-Border Tax Laws 2
Subpart F	19		9.4
Branch Income	8		4.0
Tax Credits	(4)		(2.0)
Changes in Valuation Allowance	(52)		(26.6)
Nontaxable or Nondeductible Items
Disallowed Deductions	7		3.4
Other Permanent Items	18		9.0
Changes in Unrecognized Tax Benefits	16		8.0
Other Adjustments
Deferred Tax Liability on Future Branch Income	73		36.9
Exchange Gains/(Losses) 3	26		13.0
Reversal of Deferred Tax Liabilities as a Result of Entity Classification Changes	(29)		(14.7)
Goodwill Step-up	(10)		(4.8)
Other Adjustments 4	(7)		(3.9)
Effective Tax Rate	$	102	51.0	%

1.State taxes in Michigan and Minnesota make up the majority (greater than 50 percent) of the tax effect in this category.

2.Effect of Cross-Border Tax Laws are presented net of any related foreign tax credits.

3.Principally reflects the impact of foreign exchange gains and losses on net monetary assets for which no corresponding tax impact is realized.

4.Includes impacts of foreign exchange/translation adjustments.

Reconciliation to U.S. Statutory Rate	2024		2023
(In millions) For the years ended December 31,
Statutory U.S. federal income tax rate	21.0	%	21.0	%
Equity earnings effect	0.9		0.1
Foreign income taxed at rates other than the statutory U.S. federal income tax rate	30.0		(11.6)
U.S. tax effect of foreign earnings and dividends	34.8		(7.8)
Unrecognized tax benefits	(4.6)		(2.0)
Acquisitions, divestitures and ownership restructuring activities 1	89.6		116.5
Exchange gains/losses 2	15.3		1.9
State and local income taxes	(10.8)		5.0
Change in valuation allowance	5.3		—
Goodwill impairments	—		(50.3)
Stock-based compensation	2.1		1.7
Foreign-derived intangible income (FDII)	(7.2)		4.1
Other - net	5.7		(0.9)
Effective tax rate	182.1	%	77.7	%

1.Includes a tax expense of $103 million and a tax benefit of $324 million in connection with internal restructurings involving foreign subsidiaries for the years ended December 31, 2024 and 2023, respectively.

2. Principally reflects the impact of foreign exchange gains and losses on net monetary assets for which no corresponding tax impact is realized.

Schedule of Deferred Tax Assets and Liabilities

Deferred Tax Balances at December 31,	2025		2024
In millions
Deferred tax assets:
Tax losses and credit carryforwards 1	$	829	$	744
Lease liability	51		60
Pension and postretirement benefit obligations	16		71
Other accruals and reserves	140		119
Research and development	219		186
Inventory	5		5
Other – net	124		227
Gross deferred tax assets	$	1,384	$	1,412
Valuation allowances 1	(664)		(748)
Total deferred tax assets	$	720	$	664
Deferred tax liabilities:
Investments	(78)		(60)
Unrealized exchange losses, net	(32)		(36)
Operating lease asset	(51)		(60)
Property	(255)		(250)
Intangibles	(427)		(545)
Total deferred tax liabilities	$	(843)	$	(951)
Total net deferred tax liability	$	(123)	$	(287)

1.Primarily related to recorded tax benefits and the non-realizability of tax losses and credit carryforwards from operations in the United States, Europe and Asia Pacific.

Schedule of Operating Loss and Tax Credit Carryforwards

Operating Loss and Tax Credit Carryforwards	Deferred Tax Asset
(In millions) As of December 31,	2025		2024
Operating loss carryforwards
Expire within 5 years	$	11	$	5
Expire after 5 years or indefinite expiration	658		591
Total operating loss carryforwards	$	669	$	596
Tax credit carryforwards
Expire within 5 years	$	58	$	40
Expire after 5 years or indefinite expiration	102		108
Total tax credit carryforwards	$	160	$	148
Total Operating Loss and Tax Credit Carryforwards	$	829	$	744

Schedule of Gross Unrecognized Tax Benefits

Total Gross Unrecognized Tax Benefits	2025		2024		2023
In millions
Total unrecognized tax benefits at January 1,	$	428	$	473	$	470
Decreases related to positions taken on items from prior years	—		(32)		(4)
Increases related to positions taken on items from prior years	6		17		3
Increases related to positions taken in the current year	22		5		18
Settlement of uncertain tax positions with tax authorities	(5)		(21)		(10)
Decreases due to expiration of statutes of limitations	(9)		(5)		(9)
Exchange loss (gain)	16		(9)		5
Electronics Separation	(34)		—		—
Total unrecognized tax benefits at December 31, 1	$	424	$	428	$	473
Total unrecognized tax benefits that, if recognized, would impact the effective tax rate of continuing operations	$	260	$	259	$	304
Total amount of interest and penalties (benefit) recognized in "Provision for (benefit from) income taxes on continuing operations"	$	5	$	3	$	8
Total accrual for interest and penalties associated with unrecognized tax benefits	$	55	$	43	$	28

1.Total unrecognized tax benefits includes $160 million, $165 million and $165 million of benefits related to discontinued operations at December 31, 2025, 2024 and 2023.

Schedule of Tax Years Subject to Examination

Tax years that remain subject to examination for the Company’s major tax jurisdictions are shown below:

Tax Years Subject to Examination by Major Tax Jurisdiction at December 31, 2025	Earliest Open Year
Jurisdiction
Brazil	2019
Canada	2018
China	2014
Denmark	2022
Germany	2019
Japan	2018
The Netherlands	2019
Switzerland	2020
United States:
Federal income tax 1	2012
State and local income tax	2012

1. The U.S. Federal income tax jurisdiction is open back to 2012 with respect to EIDP pursuant to the DWDP Tax Matters Agreement.

The undistributed foreign earnings of foreign subsidiaries and related companies that deemed to be permanently reinvested at December 31, 2025 may still be subject to certain taxes upon repatriation, primarily where foreign withholding taxes apply. It is not practicable to calculate the unrecognized deferred tax liability on undistributed foreign earnings due to the complexity of the hypothetical calculation.

Schedule of Income Taxes Paid

Income taxes paid	Year Ended December 31, 2025
U.S. Federal	$	7
U.S. State	5
Non-U.S.	115
Total income taxes paid, net	$	127

Income taxes paid	Year Ended December 31, 2025
Japan	$	25
France	$	16
China	$	10
Switzerland	$	9