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    Home - Luxury Goods & Services - This Week: Are Tariff Price Hikes Finally Here?
    Luxury Goods & Services

    This Week: Are Tariff Price Hikes Finally Here?

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    This Week: Are Tariff Price Hikes Finally Here?
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    What’s Happening: On Wednesday, the US Bureau of Labor Statistics will release inflation data for May, the first inflation reading taken entirely after Trump’s tariffs went into effect. In April, consumer prices rose 2.3 percent, just under the economists’ consensus.

    Delayed Impact: Forecasters are calling for a mild uptick in prices, if that. Many fashion and beauty brands have announced price increases, often to be implemented on select products over the summer rather than right away. This gives consumers a bit of time to acclimate to their new, more expensive reality. And it builds in room to change course on the off chance Trump calls the whole trade war off in the meantime.

    Rock and a Hard Place: This strategic approach to price increases is savvy, but for many brands also borne out of a lack of options. After raising prices so much in the post-pandemic years, companies are worried they’ll lose customers by hiking further, even if they have a good reason.

    Questioning Reality: Whether consumers believe prices are rising can have a big impact on inflation, so all those early warnings from brands may become a self-fulfilling prophecy even if Trump doesn’t announce a single new tariff.

    There are also growing questions about the numbers themselves. Last week, economists raised questions in the financial press about whether inflation data could still be trusted, noting hiring freezes and layoffs had curtailed the government’s ability to conduct its massive monthly survey of consumer prices.

    What to Expect at The Business of Beauty Global Forum 2025

    What’s Happening: On June 9 and 10, The Business of Beauty holds its third annual gathering in Napa Valley. A second class of entrepreneurs will also receive The Business of Beauty Global Awards.

    In the News: Speakers include Hailey Rhode Bieber, fresh off her $1 billion deal. Tracee Ellis Ross will share her observations on the needs of the Black and texturised hair community at a time when DEI is under siege.

    Global Perspective: Founders from international brands including Beauty of Joseon, Ultra Violette, Byoma and Nykaa will address challenges and opportunities in the global beauty market. Attorney Lindsay Toczylowski will speak on her efforts to help her client, Andry José Hernández Romero, the Venezuelan makeup artist currently detained in an El Salvador prison.

    See for Yourself: If you won’t be in Napa Valley, catch these speakers and more on the livestream.

    The Week Ahead wants to hear from you! Send tips, suggestions, complaints and compliments to brian.baskin@businessoffashion.com.



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