{
  "id": 15514081,
  "title": "Luxury giants face shrinking sales in China as second‑hand market rockets towards 100 billion yuan",
  "url": "https://urgent.news/2026/10/18/luxury-giants-face-shrinking-sales-in-china-as-second-hand-market",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-18T23:00:00.000Z",
  "source": {
    "name": "Malay Mail",
    "slug": "malay-mail-malaymail",
    "url": "https://www.malaymail.com/news/money/2026/10/19/luxury-giants-face-shrinking-sales-in-china-as-secondhand-market-rockets-towards-100-billion-yuan/239569"
  },
  "original_language": "en",
  "account": "Shanghai, October 19 - Even global fashion leaders are confronting declining sales as Chinese consumers gravitate towards the burgeoning second-hand market and emerging local brands. Once the primary buyers of luxury Western brands, Chinese consumers have adjusted their spending habits amid economic uncertainty post-pandemic. As a result, luxury giants such as Louis Vuitton and Hermes have closed multiple stores in the country, with Louis Vuitton alone shutting five locations in the past two years.\n\nAccording to Bain & Company, the personal luxury market in mainland China experienced a further contraction of three to five percent in 2025, following a steep 19 percent drop in 2024. This decline is largely attributed to consumers' shift towards cost-effective alternatives. At a new retail space in central Shanghai, which specializes in second-hand luxury items, shoppers are required to wear black gloves to prevent any potential damage to the products.\n\nYoung consumers like dance teacher Yuan have switched their focus from comparing who can afford the most expensive luxury goods to finding the best deals. The second-hand luxury market in China has even seen a 15-20 percent growth in 2025, with total sales reaching an estimated 38.4 billion yuan in the same year, with projections indicating it could surpass 100 billion yuan by 2030.\n\nAnalysts suggest that Western brands must adapt to changing consumer preferences in China, which are increasingly driven by digital platforms and social media. Luxury spending is expected to rebound as the Chinese economy recovers, however, it may no longer drive growth in the near future. LVMH, for instance, has faced both legal challenges and backlash over trademark issues in China, which have negatively impacted its reputation. Despite these challenges, China remains a critical market for the global luxury industry.",
  "summary": "SHANGHAI, Oct 19 — With China’s economy still struggling to recover from the pandemic, even global fashion i...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}