Ralph Lauren CEO Warns: 25% Trump Tariff on China Would Be a 'Pressure Point'
Generated by AI AgentWesley Park
Wednesday, Jan 22, 2025 5:54 pm ET1min read
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As the world watches the geopolitical landscape shift, one thing remains clear: the potential impact of a 25% Trump tariff on China is a looming concern for many businesses, including luxury fashion giant Ralph Lauren. In a recent interview, Ralph Lauren CEO Patrice Louvet sounded the alarm, warning that such a tariff would be a significant 'pressure point' for the company and the broader retail industry.
Louvet's caution comes as no surprise, given the company's extensive supply chain footprint in China. While Ralph Lauren has been proactive in diversifying its sourcing locations, China still accounts for a high single-digit percentage of its globally sourced units. This reliance on Chinese production, coupled with the potential for a substantial tariff increase, could lead to significant disruptions and increased costs for the company.
As the world watches the geopolitical landscape shift, one thing remains clear: the potential impact of a 25% Trump tariff on China is a looming concern for many businesses, including luxury fashion giant Ralph Lauren. In a recent interview, Ralph Lauren CEO Patrice Louvet sounded the alarm, warning that such a tariff would be a significant 'pressure point' for the company and the broader retail industry.
Louvet's caution comes as no surprise, given the company's extensive supply chain footprint in China. While Ralph Lauren has been proactive in diversifying its sourcing locations, China still accounts for a high single-digit percentage of its globally sourced units. This reliance on Chinese production, coupled with the potential for a substantial tariff increase, could lead to significant disruptions and increased costs for the company.
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