The Chinese fashion and luxury market has had a rough year. Waves of strict lockdowns throughout 2022, especially the two month long one in Shanghai, wreaked havoc on fashion spending.

LVMH Moët Hennessy Louis Vuitton experienced severe double-digit declines in China. Compagnie Financière Richemont’s jewelry division also witnessed double-digit sales declines in China. Swiss watch exports to China slumped 18 percent in the first ten months of 2022. Chanel saw double digit negative growth in April in mainland China, where five of its 16 boutiques there were closed, while 35 fragrance and beauty stores — roughly equivalent to a third of its network — were also shuttered.

China didn’t scale back the lockdown measures until thousands of people began to protest in late November.By December, China had abandoned most of its rules on mass Covid testings, the track and trace system, and quarantines.Even amid the lockdowns, those brands that were well prepared for the situation came out stronger, while some went the extra mile to consolidate their presence in the market. While China is still performing below 2021 figures, it is expected to recover between the first and second half of 2023.Chinese spenders are expected to account for between 40 per cent and 45 percent of the total consumers of personal luxury goods by 2025.