Giorgio Armani antitrust fine of €3.5 million (USD 4 million) has been imposed by Italy’s competition authority for alleged misleading ethical claims regarding the brand’s supply chain practices.

Italy’s antitrust regulator announced that Giorgio Armani and one of its subsidiaries were fined for presenting misleading statements about their ethical and social responsibility efforts. According to the regulator, while Armani marketed its commitment to sustainability, investigations revealed that most of its bag and leather accessory production was outsourced to third-party suppliers and subcontractors who engaged in unlawful labor practices and poor working conditions.

The regulator emphasized that these external suppliers further subcontracted production, with some of these facilities employing workers illegally and failing to meet basic health and safety standards. The Giorgio Armani antitrust fine stems from discrepancies between the group’s public sustainability claims and actual practices found within its production chain.

Giorgio Armani Rejects Allegations, Vows to Appeal Antitrust Fine

In response to the penalty, Giorgio Armani expressed its “disappointment and bitterness” over the regulator’s decision. The fashion house announced plans to appeal the antitrust fine at an Italian regional administrative court, firmly stating that it has always operated with fairness and transparency towards consumers, the market, and stakeholders. The company defended its longstanding reputation for ethical business practices, asserting that the ruling was unjustified.

Last year, Italian prosecutors had placed one of Armani’s units under judicial administration over similar concerns. However, that measure was lifted in February 2025 after the investigation concluded.

The Giorgio Armani antitrust fine comes amid a broader crackdown on unethical labor practices in the luxury fashion industry. The Italian competition authority previously launched an investigation into LVMH-owned Dior for potentially misleading consumers about its supply chain ethics. Dior settled the case in May 2025 by agreeing to specific corrective measures, which allowed it to avoid penalties.

Earlier this year, Italian prosecutors also placed cashmere leader Loro Piana and a unit of Valentino under judicial administration due to allegations of worker exploitation within their supply chains.

The Giorgio Armani antitrust fine underscores increasing regulatory scrutiny on luxury brands’ supply chains, particularly when their marketing messages around sustainability and ethics are not aligned with actual practices.

By admin