Hermès increases prices: US tariffs will burden customers from May!

Luxury brand Hermès plans to implement price increases for its products in the United States to offset tariffs recently imposed by US President Donald Trump. These tariffs, which impose a minimum rate of 10 percent for all trading partners, were announced by the President in early April and are due to apply from May 1st.

How ZDF reported, Hermès CFO Eric Halgouet explained that more detailed information about the new prices will not initially be provided. Hermès had already increased prices worldwide by six to seven percent in January. The new price increase comes in direct response to tariffs that have been imposed on around 60 countries but are suspended for 90 days.

Impact on Hermès and the market

Hermès CEO Axel Dumas said in February that American customers will remain loyal to the company. Dumas pointed out that customers who find the new prices too high have the option of traveling to Paris to shop. In addition, Hermès plans to pass on the full burden of tariffs to customers, which is supported by Halgouet's announcements.

How Watson reported, Hermès' sales grew by 8.5 percent to 4.13 billion euros in the first quarter of 2025 compared to the previous year. Despite the increase in sales, the company fell short of experts' expectations, mainly due to disappointing business results in Asia and the Pacific, considered an important market for Hermès. Problems in China were cited as a reason for these weak results.