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Agenda-setting intelligence, analysis and advice for the global fashion community.

Trump Tariffs Would Test Luxury’s Pricing Power

Years of aggressive price hikes could make it harder for some European luxury brands to pass on higher import costs to US consumers.
Dior store
LVMH and Kering are counting on a buoyant US market this year as China lags. (Getty)

European luxury goods makers say they could draw on pricing power to offset the cost of any tariffs imposed by US President

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Further Reading

Fixing Luxury’s Value for Money Problem

As consumers sober up from post-pandemic exuberance and luxury’s value proposition faces increased scrutiny, brands need to take action on creativity, quality and pricing, writes Luca Solca.

Are Luxury Brands Still Worth It?

Luxury’s results ‘superweek’ underscored just how far consumer demand has fallen. Macroeconomic gloom is part of the problem, but there may be deeper issues with big luxury’s value proposition.

Executive Memo | Luxury Has a Pricing Problem. What Now?

Steep price hikes have put pressure on big luxury’s value proposition, contributing to the sharp downturn in demand for luxury megabrands this year. Smart executives will take action to rebalance the price-value equation — and fast.

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