EU: €20 million fine for Richemont brand Chloé
Keystone-SDA
The European Union has imposed fines totalling €157 million on the luxury houses Gucci (Kering), Chloé (Richemont) and Loewe (LVMH) for breaches of competition rules.
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The European Commission has accused the three companies, based in Italy, France and Spain respectively, of restricting the ability of their independent distributors to freely set prices for their own brand products.
These practices are contrary to competition law because they result in higher prices for consumers.
The three companies committed these infringements independently of each other, but over overlapping periods, and in relation to physical or online shops that were often the same. By fining them simultaneously, the Commission said it wanted to “send a strong message to the entire fashion industry”.
Nevertheless, the fines have been reduced from the maximum levels provided for under European rules, because the three companies penalised cooperated with the Commission’s investigation.
Gucci, the Italian subsidiary of the French group Kering, was handed the heaviest fine, set at almost €120 million.
“Kering takes note of the European Commission’s decision in respect of practices that no longer exist at Gucci”, the group said in a statement sent to AFP, adding that the fine had already been provisioned in its accounts for the first half of 2025, and would therefore have no additional financial impact.
The French fashion brand Chloé, which belongs to the Geneva-based Richemont group, will have to pay nearly €20 million (CHF18.6 million).
Lastly, Loewe, a Spanish brand owned by French luxury giant LVMH, will have to pay €18 million.
“Loewe confirms that it has reached a settlement with the European Commission. It reiterates its firm commitment to operate in strict compliance with competition law”, said the Madrid-based brand.
Translated from French with DeepL/mga
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