Hermès to raise US prices due to Trump’s tariffs
French luxury fashion house Hermès announced on Thursday plans to increase prices in the United States starting May 1, in response to the 10% import tariffs recently imposed by President Donald Trump, AFP reported.
The company’s Chief Financial Officer, Eric Halgouet, stated during a quarterly earnings call that the upcoming price adjustment is intended to fully counterbalance the financial impact of the tariffs.
Although he did not disclose specific figures, Halgouet described the hike as a “complementary price increase” aimed at neutralising the new trade costs.
“It will be a complementary price increase that we are currently finalising, but which will allow us to neutralise this impact,” he told reporters during a quarterly earnings presentation.
Hermès, known worldwide for its iconic Birkin handbags, silk scarves, and leather accessories, typically revises its prices annually.
Earlier this year, the brand had already implemented a global price increase of 6 to 7 per cent.
Despite economic pressures, Hermès continues to perform strongly. In the first quarter of 2025, it recorded global sales of €4.1bn (approximately $4.7bn), marking an 8.5% rise compared to the same period last year.
The Americas region contributed significantly, with a 13.3% increase in sales, amounting to €695m. The United States, Canada, Mexico, and Brazil all experienced double-digit growth.
Halgouet noted that while the U.S. market faced temporary disruptions due to wildfires in Los Angeles and snowstorms in other parts of the country, demand remained resilient.
The announcement comes as Hermès surpasses rival LVMH to become the world’s most valuable luxury group, following a dip in LVMH’s share value amid underwhelming earnings reports.
President Trump’s administration imposed the new 10% tariff on global imports earlier this month, though steeper levies on certain nations, including a 20% duty on goods from the European Union, were postponed.
