China’s Luxury Reckoning: Adapting to the New Consumer Reality

For over a decade, China’s affluent consumers were the engine of global luxury growth, accounting for as much as one-third of global luxury spending. However, the landscape has shifted dramatically. In 2024, China’s luxury market suffered its steepest decline in a decade, with sales plummeting by as much as 20%. Economic uncertainty, declining property values, and a volatile stock market have eroded consumer confidence, prompting even high-net-worth individuals to rethink their spending habits.

This is not merely a cyclical downturn but a structural shift. The younger generation, once eager to flaunt wealth through designer goods, is prioritising investment in property, wellness, and experiences over conspicuous consumption. At the same time, luxury brands have relied heavily on aggressive price hikes, which have outpaced product innovation, alienating middle-class aspirational buyers. Compounding this challenge are renewed geopolitical tensions, including the prospect of additional US tariffs under a potential second Trump administration, raising questions around supply chain strategy, pricing resilience and cross-border trade exposure. 

Hosted by the FT, this webinar will examine the critical shifts taking place in China's luxury sector. Our panel will include luxury market analysts and experts who will discuss the factors driving the slowdown, from economic uncertainty to changing consumer values, and explore how brands can adapt strategies to remain competitive in this evolving landscape. 

Business of Luxury Summit - Asia Edition
20-21 October | In-Person & Online | Four Seasons Hotel Hong Kong

In October 2025, Nikkei and the Financial Times will celebrate a successful ten-year partnership by hosting the Asian edition of the Business of Luxury Summit in Hong Kong. This landmark event offers a unique platform for Asian luxury leaders to engage with investors, brand executives, entrepreneurs and industry professionals, to explore future trends and learn how to create further growth opportunities across the region.

Join us on 18-20 May at the 21st annual Business of Luxury Summit which will convene at the Hotel Arts in Barcelona. This is your opportunity to connect with brand leaders and luxury experts to discuss the evolving demands of consumers and the global outlook for the sector.

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