Tariffs are challenging the cachet of luxury goods from Europe

News Snapshot:

UBRIQUE, Spain—Europe’s luxury brands have long sold pricey handbags based on the mystique of where they’re made. Now the trade war is probing the value of producing in places like this sun-kissed town. Ubrique’s workshops have pumped out leather goods for Chanel, Louis Vuitton and other brands for years, employing about a quarter of the town’s population of 16,000. A giant statue of the patacabra, a wooden tool used to shape and smooth the leather, rises by the road leading into town. “We’re all basically living off leather here," said José Antonio Bautista, the town’s deputy mayor. President Trump’s tariffs...