French luxury fashion powerhouse Hermès has announced it will raise its prices in the United States from May 1 in response to the 10% import tariffs recently imposed by President Donald Trump.
Speaking during a quarterly earnings call, Hermès Chief Financial Officer Eric Halgouet said the price adjustment is intended to fully offset the impact of the tariffs. Though he did not provide exact figures, he described the move as a “complementary price increase.”
“It will be a complementary price increase that we are currently finalising, but which will allow us to neutralise this impact,” Halgouet explained.
Hermès, renowned for its Birkin bags, silk scarves, and fine leather goods, typically adjusts prices once a year. Earlier in 2025, the company already implemented a global price increase of 6% to 7%.
Despite global economic challenges, the brand reported strong performance in Q1 2025, posting global sales of €4.1 billion (around $4.7 billion), an 8.5% increase year-over-year. The Americas region led with a 13.3% surge in sales, totaling €695 million, with the U.S., Canada, Mexico, and Brazil all seeing double-digit growth.
While wildfires in Los Angeles and snowstorms in other areas briefly disrupted business, Halgouet noted that U.S. demand remained strong.
This announcement also coincides with Hermès overtaking LVMH as the world’s most valuable luxury brand, following a dip in LVMH’s stock tied to underwhelming earnings.
President Trump’s 10% tariff on global imports took effect earlier this month. Additional tariffs, including a 20% duty on EU goods, were announced but have been delayed.
