Рост внутреннего спроса в Китае меняет баланс сил на мировом рынке роскоши Источник: logos-press.md https://logos-pres.md/ru/novosti/rost-vnutrennego-sprosa-v-kitae-menyaet-balans-sil-na-mirovom-rynke-roskoshi/
While European fashion houses like Gucci and Louis Vuitton traditionally dominate the segment, Chinese players are gradually coming out of the shadows, says Financial Times.
Ten years after Prada’s IPO in Hong Kong, premium clothing maker Icicle is considering a stock offering in Paris, the symbolic center of world fashion. This move reflects the changing perception of Chinese brands: today the country is associated not only with mass production, but also with technological and design innovation.
In the automotive industry, these are BYD electric cars, in the AI sector – DeepSeek developments, and in the segment of consumer trends – the popular Labubu toys.
The growth of domestic luxury is fueled by the government’s “guochao” policy – a policy of promoting national brands and cultural identity. Chinese premium encompasses everything from fashion and jewelry to cars and wines. Hongqi cars, once catering to the party elite, are now a status symbol for wealthy entrepreneurs.
Challenge for Europe
For European fashion houses, which have traditionally shaped the market, this creates several challenges at once.
First, the price advantage. With a slowing economy and high youth unemployment, Chinese consumers are increasingly choosing local brands. Spending around $500 on a Songmont bag seems more reasonable to many people than paying many times more for a European logo.
At the same time, Chinese companies work with a more flexible model: less costs for flagship boutiques in Milan and Paris, lower rent and willingness to settle for lower margins. Bernstein estimates that the markup in China is 4-5 cost prices against about 8-10 for European brands.
Secondly, the bet on the cultural code. Local manufacturers are actively integrating traditional ornaments, historical subjects and national motifs – from jewelry collections to interior items. The growing interest in their own history is also confirmed by statistics: attendance at museums during the May holidays has increased by 17% over the past year.
Third, Chinese companies are already learning how to scale. Outerwear manufacturer Bosideng has opened a flagship in London and is represented in France. And the example of BYD’s global expansion shows how quickly a national brand can establish itself outside the country.
An obvious trend
Although Chinese luxury companies are still inferior in scale to European giants, the momentum is impressive. Jewelry house Laopu Gold has increased its capitalization to almost $18 billion in a short time – even though in 2024 it did not reach $1 billion.
The trend is obvious: Chinese luxury is no longer a local phenomenon and is gradually turning into a factor of global competition. European brands will have to take into account a new ambitious player that combines cultural identity, technology and a more flexible business economy.
