Europe’s luxury players face a path-defining twist with Trump’s tariffs. But only a handful of them will suffer the worst impact

woman standing in the street with shopping bags (Credit: Mike Kemp—In Pictures/Getty Images)

President Donald Trump’s long-awaited (read: much-dreaded) tariffs have finally been announced, unlocking a new degree of uncertainty in global business. Europe, subject to a 20% blanket tariff, will now have to brace for the aftermath of these measures—as will its most alluring sector: luxury.

Luxury has an outsized presence in Europe, with its brands accounting for at least 70% of the global luxury goods market and its exports worth €260 billion annually, the European Union estimates. That’s about 10% of all EU exports.