The big decline of China in boutique tax, investment letter: the sale of luxury goods will grow | TechNews

The trade war between the US and China still has a favored industry. "The credit industry said the reduction in Chinese import tariffs is expected to encourage consumers to buy more luxury goods in China.

YoFeng, the brand's main fund manager, Luo Jiade, said that since July, China has been importing fine jewelry has lowered the import rate on gold and silver accessories from 20% to 8%, platinum, gem and semi-precious jewelry The import tariff has been significantly reduced from 35% to 10%

According to statistics from the Ministry of Commerce In the People's Republic of China, Chinese consumers spend around US $ 200 billion on overseas purchases for a year. In the past year, China's luxury consumption represented 32% of the total in the world. Chinese consumer spending was far above average The global average

Luo Jiade pointed out that the local consumption of luxury goods in China last year only 8% of the global consumption, indicating that Chinese consumers generally buy luxury goods instead of the local market. Shrinking has the willingness to stimulate the consumption of luxury goods locally by local consumers.

Take, for example, LVMH, the world's largest luxury goods brand, in the first half of 2018 sales were better than expected to 21.75 billion euros, with an annual growth rate of 10%, mainly due to the excellent performance of the Chinese market. After the rates, international first-rate boutique brands, including LVMH, Hermes and Gucci, immediately lowered the official price, with an average decrease of around 3% to 5%.

Luo Jiade pointed out that insiders of the industry estimate that within three to five years the domestic and foreign price difference of Chinese luxury goods will fall from 30% to 10%, as a result of which the buying website will disappear and the consumption of luxury goods in China will significantly increase. [19659003] (Author: Tian Yubin, first map Source: Flickr / Laure Wayaffe CC BY 2.0) [19659008]
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