The LVMH luxury giant is “seriously considering” its production capacity in the United States, said executive president Bernard Arnault, praising a “wind of optimism” in the country that contrasts with the “cold shower” of a possible increase in the Corporate taxes in France.
LVMH, who wins thousands selling luxury items “Made in France”, from leather bags to champagne, so far it has little production capacity in the United States, apart from three Louis Vuitton workshops and some Tiffany jewelry manufacturing plants.
But Arnault, who is also the main shareholder of LVMH, said he was open to soon increase the presence of the company in the United States.
“It is clear that US authorities are pressing us strongly so that we continue to increase our presence. In the current context, it is something we are considering seriously, ”he said, speaking with journalists after the company presented its quarterly results.
Arnault and his family attended the inauguration of President Donald Trump for a second term earlier this month.
Arnault and his wife Helene Mercier, as well as two of his children, Delphine Arnault and Alexandre Arnault, sat a few meters from Trump’s lectern, along with other billionaires, including the founder of Tesla, Elon Musk, and the head of the target , Mark Zuckerberg.
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Arnault is shown against additional taxes in France
Arnault, who at the beginning of his career worked as a real estate developer in the United States after leaving France after the choice of leftist president Francois Mitterrand, has known Trump for decades. Arnault had criticized Mitterand for being against business.
During Trump’s first mandate, Arnault invited him to cut the tape in a new Louis Vuitton Leather Workshop in Alvarado, Texas.
Arnault said that the United States -based factories benefit from attractive fiscal conditions and that Trump is promoting investments in what he called a “very dynamic” market.
At the same time, Arnault, the richest man in France, expressed his frustration for the bureaucracy of his native country and the recent plans to tax with additional taxes to large companies to cover a hole in the state budget.
“I just returned from the United States, where you can see the wind of optimism that runs through the country. And when you return to France after spending a few days in the United States, you have a cold water shower, I have to say it. ”
The US market, where the French conglomerate uses more than 40,000 people, is key to LVMH, since it represents 25% of group sales.
With Reuters information
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