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Money Rehab with Nicole Lapin

Tariff Loophole or Not: Buying Directly From Chinese Manufacturers

163.826

But why Hermes will charge you 38,000 USD for one bag? That's because more than 90% of the price is paid for its logo. But if you do not care about the logo, you just want the same quality, same material, you can just buy from us.

Money Rehab with Nicole Lapin

Tariff Loophole or Not: Buying Directly From Chinese Manufacturers

200.276

This Birkin bag at Hermes boutique will cost you 38,000 USD. But what is the real cost out of the factory? Today, the cost of French artisans is much more expensive than Chinese artisans. To finish one bag, the human resource cost will be 600 USD per package. Now, this is not that expensive. It's 10 USD. So now, to sum those up, the total cost will be 1,400 USD for one Birkin out of factory.

Money Rehab with Nicole Lapin

Tariff Loophole or Not: Buying Directly From Chinese Manufacturers

230.236

But why Hermes will charge you 38,000 USD for one bag? That's because more than 90% of the price is paid for its logo. But if you do not care about the logo, you just want the same quality, same material, you can just buy from us. Because for our bags, we use exactly the same material, same leather, same hardware, same edge oil.