Luxury brands lose €250 billion in value due to falling Chinese demand
The slowdown in China and the cooling of global stock markets are exacerbating the crisis in the European sector.
European luxury goods companies have lost around €251 billion in market value this year. The main groups, including LVMH, Hermès, Kering, Richemont, Prada, and Moncler, have seen significant declines in their market capitalizations, with LVMH and Hermès experiencing the largest drops. The weakness in Chinese consumer spending and turmoil in global markets have hurt demand for high-end shoes and handbags.
Chinese consumers, who have driven growth in the luxury sector for over a decade, have slowed their spending due to a prolonged real estate market crisis and weak stock market performance.
Written by urgent.news from Expansion ES's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
