The Tariff Drama is Over: What the US-EU Deal Means for Your Pre-Owned Luxury Business

Quick legal note: This is general info, not legal advice. Trade rules change constantly, so talk to a real lawyer or customs broker for your specific situation.

We Finally Have a Deal

After months of back-and-forth and some truly nerve-wracking moments, Trump and von der Leyen shook hands yesterday on a 15% tariff rate for EU goods. No more 30% threats hanging over our heads. No more wondering if August 1st would bring chaos.

The deal is done, and honestly? It’s about as good as we could have hoped for given where we started.

What Actually Changed

Remember when we thought 10% was bad news back in April? Well, now 15% is the new normal baseline (See HTS 9903.01.25 and HTS 9903.01.50). Please note - the EU negotiated something crucial that changes everything.

The deal:

• EU: 15% - and this is the key part - “all-inclusive”

That “all-inclusive” piece is huge. Instead of stacking the new 15% on top of existing tariffs, it replaces them entirely (e.g., reciprocal tariffs go out the window).

The Real Numbers for Your Business

Let’s cut through the confusion with a simple example everyone can understand:

Your Pre-owned Louis Vuitton Bag Made in France:

• Before all this tariff madness: 7% duty
• Now with the EU deal: 15% total
• What it actually costs you: 8% more than before

Here’s the math:

• Under the 10% baseline system: 7% existing tariff + 10% baseline = 17% total
• Under the EU deal: 15% “all-inclusive” = 15% total
• So the EU deal is 2% BETTER than what they would have paid under baseline

Bottom line: 15% is “across-the-board” and “all-inclusive.” No math gymnastics required, and honestly better than we expected.

What This Means Day-to-Day

Good news: You can keep sourcing EU made bags without your margins disappearing. An 8% increase hurts and is still 2x+ than we were last year,, but it’s not business-ending.

Reality check: Prices are going up everywhere. We’re already seeing luxury brands adjust their retail pricing, and honestly, the whole market is recalibrating.

The plan:

1. This week: Update your pricing to reflect the real 8% increase (not the 22% we were worried about)
2. Next few months: Watch how the big brands adjust their prices - they’re dealing with the same thing
3. Going forward: Business as usual, just with slightly higher costs baked in

For Your Inventory Strategy

European sourcing: Back on the table. That 8% increase is real but workable.

Timing: The market’s already adjusting. Luxury brands know they need to raise prices to match the new reality.

Customer communication: Be honest about the increases but emphasize stability. No more wondering if prices will double overnight.

How LePrix is Handling This

We’re keeping our all-inclusive pricing on the website - what you see includes tariffs and duties. No surprises at checkout.

We’ve been negotiating with our suppliers to absorb some of the impact where possible. And frankly, we’re just relieved to have certainty after months of uncertainty.

Your account manager has the updated numbers and can walk through specific scenarios for your inventory mix.

The Bottom Line

We survived. The 30% doomsday scenario is off the table. The uncertainty that was paralyzing everyone is over.

Yes, your pre-owned Hermes (Made in France) and Gucci (Made in Italy) bags cost 8% more now. Yes, you’ll need to adjust pricing. But your business model still works, European sourcing is still viable. The luxury resale market has weathered worse storms. This one’s manageable.

Questions? Concerns? Want to talk through your specific inventory? Hit up your account manager. We’ve got the details figured out and we’re here to help you navigate the new normal.