China’s share of global luxury spending doubles amid coronavirus lockdown

China's luxury goods market

China’s luxury goods market has nearly doubled this year, as consumers had to spend cash inside the country due to the Covid-19 outbreak. The market is set to expand further to become the largest in the world.

Despite a rocky start to the year, during which the Chinese government had to impose a strict lockdown to contain the spread of the virus, the domestic luxury goods market has not only recovered in 2020, but also managed to expand. According to a report published by consultancy firm Bain & Co. and Tmall, an online retail platform operated by Alibaba, the Chinese luxury market is set to grow 48 percent this year and reach 346 billion yuan ($53 billion).

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