LVMH 2018  .  Environmental Report

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Protecting the environment is now no longer an option. It s a necessity. We can see which of LVMH Group s activities are most sensitive to the natural world: grape harvests are coming increasingly early, the raw materials from which we create our perfumes are changing. Our Group is a network of sensors attuned to changes happening in the world.

It s in a spirit of progress that we have to engage in understanding these changes, taking responsibility ourselves to ensure that our thinking aligns with the long-term vision that characterizes us. LVMH has therefore decided to forge its own path, a path guided by two principles: sustainability and respect for nature.

There is no LVMH Group House that doesn t care about sustainability. The surest way to reduce our environmental footprint is to make our product lifetimes as long as possible. And for a product to last, it has to be exceptional. This is why our luxury goods Houses have so much to contribute to the economy, as they ve succeeded in the feat of continually renewing their creativity, without succumbing to passing fads. If our products are standing the test of time, it s precisely because they re aligned with nature. This means, on our part, as strong a commitment to nature as to culture, in other words, investing as much in protecting natural resources as in perpetuating artisanal techniques. This approach is made possible by our mastery of the entire value chain, from sourcing raw materials to distributing our products. Indeed, I ve always believed that having full ownership of our tools of production is a necessary condition of achieving the highest levels of quality. And that applies to the environment as much as to other fields.

I m convinced that sustainable, globalized growth is possible. When our sales grow by 10%, our CO2 emissions fall by about the same. When we use scarce raw materials, it is with the commitment to protect species by offering local communities a viable economic and environmental model.

This is why, from our point of view as actors in this process, we want to see reversed the gloomy hypothesis into which climate projections are plunging us: the more perceptible the climate change, the more numerous the innovations to remedy it, and the more solutions likely to see the light of day.

Bernard Arnault Chairman and Chief Executive Officer