Hermès CEO steps down from L’Oréal board over new beauty line

French beauty company L’Oréal has announced in a press release that Axel Dumas, CEO of luxury fashion house Hermès, is no longer a member of the company’s board of directors because the upcoming launch of Hermès’ own cosmetics line may represent “a possible conflict of interest”.

Hermès confirmed in March that it is working on a full range of beauty products, including skincare and cosmetics, to be launched in 2020. Best known for its handbags, including the extremely coveted Birkin, Hermès already operates a successful fragrance business.

“In the long term, it will be necessary for us to be present in all three segments of the markets for cosmetics, perfume, makeup and personal care products”, explained Dumas to French newspaper Le Monde at the time. The company intends to manufacture all its beauty products in France and Italy rather than licensing out production.

Dumas joined L'Oréal's board in 2018. He will be succeeded by Fabienne Dulac, CEO of French telecom company Orange.