Hermes to bite back at US tariffs by passing costs on to its rich American customers

Published on: April 17, 2025

By DAILY MAIL CITY & FINANCE REPORTER

Updated: 22:01 BST, 17 April 2025

Birkin bag maker Hermes is biting back at US tariffs by passing the costs on to its rich American customers.

The French group, which leapfrogged LVMH to become the world’s most valuable luxury goods company this week, announced the move as it reported a 7pc rise in first-quarter sales to £3.5billion.

Finance chief Eric du Halgouet said: ‘We are going to fully offset the impact of these duties by increasing our selling prices in the US from May 1, across all lines.’

The company is known for its Kelly and Birkin handbags (modelled by Victoria Beckham, right), which sell for at least £7,500.

Du Halgouet said Hermes had not noticed any major change in US shopper behaviour but was cautious given the geopolitical uncertainty which had caused volatility.

LVMH shareholders yesterday voted for Bernard Arnault, 76, to remain at the helm of the prestigious luxury firm until he is 85.

Luxury: Hermes is known for its Kelly and Birkin handbags (pictured being modelled by Victoria Beckham), which sell for at least £7,500

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Hermes to bite back at US tariffs by passing costs on to its rich American customers

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Hermes to bite back at US tariffs by passing costs on to its rich American customers