A file photo shows people line up to snap up Chanel products in Beijing. (Photo/Chinanews.com)
(ECNS) - Average prices in the luxury goods sector will likely fall this year on the Chinese mainland, according to the Ministry of Commerce.
"The Ministry of Commerce and other relevant departments will continue to adjust the market price for luxury goods to enable consumers within the Chinese mainland to buy luxury goods at a reasonable price without going abroad," said the commerce ministry spokesman Shen Danyang on Tuesday.
The price of Chanel handbags declined in March this year, followed by other European luxury brands, namely Louis Vuitton, who announced an 18 percent drop in its market price in China, and Versace, also behind the drop in May this year, according to the report.
The number of tourists buying duty-free luxury goods overseas has reached record highs in recent years, with Chinese tourists responsible for much of the growth.
In 2004, there were about 100 million people going abroad to buy luxury goods. The main reason for this was the price difference between China and European countries, and the pricing policies of foreign brands for the Chinese market.
According to Shen, stabilizing and expanding domestic consumption in China is the priority for the Ministry of Commerce in 2015, which will continue to carry out effective policies to lessen overseas consumption.
