French luxury giant LVMH CEO Bernard Arnault said he plans to open a second factory in Texas as he presses European leaders to reach a trade deal with the United States.
Arnault unveiled plans to add a second factory in the Lone Star State by 2027 during an interview published by the Wall Street Journal on Thursday following the release of the company's earnings in the first half of 2025 in which he said he's seeking to help avert a trade war between the two countries. In the first half, the group's revenue took a hit and was down 3% for the period.
"I'm pushing as much as I can for us to reach an agreement with the Americans, so that we don't get caught up in a trade war, which would be extremely damaging for European businesses," Arnault told the media outlet.
LVMH declined to comment further to CoStar News seeking additional information about the luxury group's plans outside of confirming its plans to open another Texas plant. Louis Vuitton opened its first Texas plant on a sprawling Texas ranch in 2019, inviting Trump to visit during the president's first term.
The facility sits along the hills of the Louis Vuitton Rochambeau Ranch, a 265-acre spread named after the French general who helped the 13 colonies win independence during the Revolutionary War, in Alvarado, Texas, about 28 miles south of downtown Fort Worth in a lightly populated part of Johnson County.
Diana Miller, executive director of Johnson County Economic Development Commission, told CoStar News it doesn't surprise her that Louis Vuitton wants to open additional locations, especially in Texas.
"They love Texas, and we were so excited that they chose Johnson County," Miller said Friday, in reference to its initial plant, which was the luxury group's first ground-up U.S. manufacturing facility. Like any business, she expects the availability of labor to play key in LVMH's decision on the placement of a second factory.
The existing factory employs more than 200 workers. The company received a $851,700 grant from the Texas Enterprise Fund as a carrot for its $29.8 million investment in Johnson County.