Dior Under Scrutiny: Launches Supplier Reforms Amid Italian Watchdog Probe

Dior is collaborating with Italian authorities and bolstering its supplier checks after being probed by the Italian competition watchdog for allegedly misleading consumers about its social commitment and craftsmanship. The investigation follows alleged illegal practices by some suppliers producing handbags for Dior, which the company has since cut ties with.

Dior is taking steps to collaborate with Italian authorities and strengthen checks on its suppliers. This move comes after the Italian competition watchdog launched a probe into the luxury group for allegedly misleading consumers regarding its social commitment and craftsmanship.

Responding to the investigation, Dior, which is part of the French luxury conglomerate LVMH, condemned the illegal practices discovered at some of its suppliers. The company stated that it has ceased working with these suppliers.

The antitrust authority's probe follows an investigation by Milan prosecutors into suppliers of Dior accused of worker exploitation in the production of handbags for the brand.

(With inputs from agencies.)