Influence of 'Made-in-China' Luxury Brands Grows
European luxury houses are facing increased competition from homegrown Chinese brands, which are gaining prestige with affluent local consumers. This "China chic" movement is reshaping global trends and raising consumer expectations for service and quality in retail and hospitality. The growing sophistication of these brands signals a major shift in the global luxury market.
- The preference for homegrown brands is a significant market force, with 56% of mainland Chinese luxury consumers planning to increase their spending on domestic luxury goods in 2025. - Major European luxury houses are directly involved in this shift; Hermès, for example, helped launch and was a majority shareholder in Shang Xia, a brand that reinterprets traditional Chinese craftsmanship and philosophy for a modern audience. - Brands like Icicle, founded in Shanghai in 1997, are gaining international traction by focusing on sustainability and natural materials under a "Made in Earth" philosophy, opening flagship stores in Paris and acquiring French fashion house Carven. - The "Guochao" trend, or "China chic," is particularly strong among Gen Z consumers who are embracing fashion that incorporates traditional aesthetics, from modernized Hanfu-inspired garments to minimalist pieces with subtle traditional patterns. - Chinese consumer preferences are evolving from logo-centric items toward "quiet luxury," which emphasizes discreet, high-quality craftsmanship, and a greater focus on experiential luxury, such as wellness and exclusive dining. - The geography of luxury spending has shifted, with an estimated 65% of Chinese luxury consumption in 2025 occurring within mainland China, a significant repatriation of spending compared to pre-pandemic patterns. - Chinese designers are achieving global recognition on their own terms; Uma Wang was the first Chinese designer to be included in the official Milan Fashion Week calendar, and her designs are known for blending Chinese cultural influences with European tailoring. - In response, Western brands are increasingly collaborating with Chinese talent to remain relevant. For example, designer Chen Peng created a custom gown for Cardi B at the Met Gala, and brands like Shushu/Tong have been worn by celebrities like Jennie Kim.
