Hermes is optimistic about Chinese sales
Birkin bag maker Hermes says Chinese sales momentum still strong
Paris — French luxury handbag label Hermes said on Friday that sales momentum in its Chinese stores stayed strong in the fourth quarter, adding to reassuring signals from rivals over enduring demand in one of the industry's biggest markets. Luxury groups rely on Chinese consumers for over a third of sales, sparking investor jitters over the potential fallout for the sector from China's slowing economic growth and the Washington-Beijing trade war. Labels heavily exposed to markets where Chinese tourism appears to be on the wane, such as Coach owner Tapestry or jeweller Tiffany in the United States, suffered as a result. But some of the biggest luxury goods players including LVMH's Paris-based Louis Vuitton have recently stressed that demand for their wares was if anything picking up in China. "We are still growing strongly in Asia, we did not see any change in momentum in our stores in China," Hermes Chief Executive Axel Dumas told journalists on Friday, after the group posted a 9.6 ...
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