Trump tariff threats hang over Italian fashion industry as a luxury slowdown hits

The head of Italy's fashion chamber says he has appealed to its government to protect the country’s second-largest industry from possible tariffs from the Trump administration. Italian National Fashion Chamber President Carlo Capasa says if President Donald Trump penalizes the fashion industry, "it is a pretty hostile declaration.” The threat of U.S. import tariffs is creating uncertainty in the industry as it experiences a global contraction that shrank global sales in 2024 by 5%. Fashion generates 5% of Italy’s GDP and employs 1.2 million people. Italy exported 4.6 billion euros worth of luxury fashion to the United States during the first 10 months of last year.