*

European companies face shipment delays and reassess

supply

chains

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Luxury brands and big firms adapt with pricing power or

production shifts

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Smaller firms struggle with tariff impact, seek new

markets or

strategies

*

Trump tariffs highest since 1930s, impacting global trade

*

Champagne and perfume producers face unique challenges due

to

tariff constraints

By Josephine Mason, Adam Jourdan and Manon Cruz

LONDON/MARSEILLE, France, Aug 1 (Reuters) - As U.S.

President Donald Trump's new tariff regime clicks into gear on

Friday, producers around Europe are feeling the impact, some

holding back shipments, others hiking sticker prices or taking a

hit to margins. Some fear they won't survive at all.

The United States will impose a 15% tariff on most European

exports from Friday, part of a wider barrage of levies set to

redraw global trade. While down from even more elevated

threatened rates, the tariffs are the highest since the 1930s.

"Companies are waking up to the fact that we're dealing with

an historically higher tariff rate," said International Chamber

of Commerce Deputy Secretary General Andrew Wilson.

"It's difficult to see that moving unless there are

catastrophic consequences of the U.S. economy."

He added the chamber was seeing shipment delays and

companies reassessing supply chain strategies. Trading with the

United States was now "hellishly more difficult."

"The complexity of doing business with the U.S. has gone to

levels nobody could have imagined," he said.

In Germany's Moselle Valley, winemaker Johannes Selbach said

tariffs were damaging for the industry on both sides of the

Atlantic. They had been hoping for zero-for-zero tariffs, but

face 15% for now, with sector specific talks ongoing.

"The tariffs hurt the Americans and they hurt us," Selbach

said in a warehouse surrounded by crates of wine with "USA"

written on them in black letters.

"Thousands of families who produce wine in Europe and

thousands of families in the importing, wholesaling, retailing,

restaurant business in the U.S. are dependent on the flow from

both sides," he said, adding jobs and profits would be hit.

Different sectors face varying degrees of pain. Higher-end

luxury brands have more pricing power to adapt to the tariffs.

Big companies can swallow some margin loss or shift some

production into the United States, though often not all of it.

Even big consumer firms like Procter & Gamble ( PG ) have

flagged

U.S. price hikes

to deal with the tariff impact. Adidas said it

could increase

prices.

Reuters' global

tariff

tracker shows at least 99 out of nearly 300 companies

monitored have announced price hikes in response to the trade

war, most from Europe.

Trump has said the tariffs are a response to persistent

U.S. trade imbalances and declining U.S. manufacturing power,

and that the moves will bring jobs and investment to the nation.

WE CANNOT RELOCATE CHAMPAGNE VINES

Diverging U.S. tariffs globally remain a challenge, however,

with big manufacturing centers like Mexico, Canada, India and

Vietnam having higher rates than others like South Korea or

Europe.

Smaller players often can't make quick changes to production

and supply chains.

Hugo Drappier, a champagne maker who runs his own firm

Champagne Drappier, pointed out that the bubbly beverage could

only be produced in a particular region of France.

"It's an industry that employs a lot of workers who can't be

relocated, precisely because the work is done here. We don't

have the option of relocating champagne vines elsewhere in the

world," he said.

He said some orders had been held up due to tariff

uncertainty, though he retained hopes that trade talks were

becoming more positive, with the 15% rate better than previous

threats of 30%.

Laurent Cohen, CEO of family-owned perfumery Corania, based

in a northern suburb of French city Marseille, is scouring for

new markets and ways to maintain business in the United States,

which accounts for a quarter of sales.

That may mean a hit to margins and higher U.S. prices, he

said.

"I praise the fact that we are no longer in a state of

uncertainty," he said, referring to the U.S. trade deal.

"But with 15% customs duty on our products - which are

affordable perfume products - we will now have to show immense

ingenuity to keep on going in the U.S. market."