U.S. considers new tariffs on European goods, including fashion
25 Jun 2020
European brands could soon see their products increase in price as the U.S. contemplates increasing tariffs on imports from the UK, Spain, Germany and France.
The move would net the U.S. 3.1 billion dollars on select imports, which would affect large luxury groups like LVMH but also smaller, independent labels.
The tariffs, which could include items like sweaters, suits and tailoring, loungewear and swimwear, are currently under review.
“In connection with this review, the U.S. Trade Representative is considering modifying the list of products of certain current or former EU member-states that currently are subject to additional duties,” said its filing this week.
Trade wars have been a distinct component of the current U.S. administration, with the World Trade Organization (WTO) giving the U.S. permission to impose levies of approximately 7.5 billion dollars on the EU last autumn, hikes which directly impacted British-made apparel and accessories.
The current tariffs policy aims to encourage consumers to buy American products by making imported goods more expensive.
Ongoing trade disputes between the U.S. and China has negatively impacted both economies; for consumers it means higher prices on goods in the United States and financial difficulties for farmers and manufacturers. In China growth of manufacturing activity has slowed to its lowest rates in decades.