By Carol Ryan

Can the honeymoon phase for Cartier last?

The jeweler has so far sat out tariff-related price increases, but that may not last much longer.

Shares in Richemont, the brand's Swiss owner, advanced Friday after it said group sales rose 7% in the March quarter. Sales in the Americas, which is dominated by the U.S. market, jumped 16%.

Johann Rupert, Richemont's billionaire chairman, said he is following tariff negotiations closely. The company hasn't decided yet whether to raise U.S. prices.

The wait-and-see approach is unusual. Luxury brands have been quick to charge Americans more. Louis Vuitton recently raised prices on popular bags like the Neverful tote in its U.S. stores. And Hermès lifted prices on its U.S. website by 5% on average early this month, analysts at Bernstein estimate.

Brands are being careful not to sideline middle-class shoppers, though. Hermès left prices on entry-level goods like perfume and makeup unchanged but ramped up everything else.

For Richemont, strong sales growth means it can probably pass the pain on to U.S. consumers without damaging its business. It also raised prices for jewelry, watches and fashion less aggressively than rivals during the pandemic, so has more goodwill with shoppers.

A conservative Swiss company, Richemont tends to move slowly. Eventually, though, it will likely follow rivals to protect profit margins.

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May 16, 2025 07:09 ET (11:09 GMT)

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