New Economy Forum

Luxury Takes $160 Billion Hit Amid Fear of China Slowdown

  • Prada falls amid concern about airport crackdown on imports
  • Italy’s Zegna says Chinese shoppers becoming more careful
Luxury brands across the globe have been falling on concerns Chinese demand many fall. Rachel Chang reports.(Source: Bloomberg)
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Luxury stocks declined on Tuesday as concerns mounted over a downturn in consumer sentiment in China, extending a sell-off that has seen global luxury companies lose about $160 billion in combined market value this month.

The tumble continued after Italian menswear maker Ermenegildo Zegna Group said that Chinese consumers had become more careful in spending in the past few months due to the impact of the U.S.-China trade war, among other reasons. The clothing retailer said it expects a slowdown in luxury goods demand in the second half of the year.