As growth slows, driven by the spending power of China’s middle class, the industry’s engine has begun to stall.
Europe’s six largest listed luxury companies - LVMH, Kering, Hermès, Richemont, Prada and Moncler - have lost 251 billion euros (approximately 2,800 billion SEK) in market value this year, reports Dagens Industri, citing the Financial Times (FT).
LVMH and Hermès, the two largest players, have been hit the hardest.
According to the FT, a prolonged slump in China’s property market and weak performance on the country’s stock market have eroded purchasing power.