1449 GMT - European luxury companies have the capacity and demand to shift production facilities to the U.S. to mitigate the potential hit of tariffs, with Louis Vuitton being an example, Bernstein analysts say. Amid a slowdown in demand for high-end goods, the luxury sector faces a volatile recovery, they say. Recent decisions regarding levies in the U.S.--which has become a key focus for luxury groups given weakness in the key China market--have made the trajectory more uncertain, they say. Companies like EssilorLuxottica--which has a high exposure to U.S. consumers while importing the bulk of its products from China, Mexico, and Europe--could be more exposed, Bernstein adds. (andrea.figueras@wsj.com)
(END) Dow Jones Newswires
March 27, 2025 10:49 ET (14:49 GMT)
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