Home / Knowledge / News / Apparel/Garments / 'Global brands too dear in China' – Govt
'Global brands too dear in China' – Govt
28
Mar '11
China has taken a serious note of a very big difference in prices of some high-end consumer goods like apparels and accessories between domestic and overseas markets.

The Ministry of Commerce recently conducted a price survey of selected high-end consumer goods and revealed this fact. As per data provided by the government, international brands made in China are sold in the Chinese markets at 30 to 60 percent higher prices than the overseas markets.

Watches, luggage, clothing, liquor, electronics products are sold at higher prices in domestic prices compared to overseas market. Among these categories, average sales prices of 20 premium brands in China's domestic market are nearly 45 percent higher than Hong Kong prices.

The gap widened, when compared to other countries. It was 51 percent higher than in the United States and 72 percent higher than in France.

The government has started taking measures to curb the irregularities resulting in such a big gap as it affects Chinese people badly. Due to this price gap, Chinese going abroad prefer to purchase from the overseas markets rather than domestic markets.

Ministry of Commerce spokesman Yao Jian, accepted that the price gap of high-end consumer goods became more prominent recently. He described it as unreasonable and unfair to Chinese people. He called on international brands to sell at fair and reasonable prices in Chinese markets.

Every year a large number of Chinese tourists go abroad and purchase foreign goods from the overseas markets. Even if an individual purchases international brands made in China worth US $1,000 from the overseas markets, tens of billions dollars are drained away.

It results in a big loss of import revenues too. It constitutes a substantial part in imports but can not be taxed, resulting in a big revenue loss to the government. For the same reason, it creates an inaccurate data of Chinese import and export trade too.

Fibre2fashion News Desk - China

Must ReadView All

Textiles | On 22nd Apr 2017

Strong rupee & weak trade to affect textile exporters

Textile and apparel exporters' earnings and EBITDA margins will be...

Textiles | On 22nd Apr 2017

Myntra acquires InLogg

With an aim to strengthen supply chain and logistics, Flipkart-owned...

Textiles | On 22nd Apr 2017

Aditya Birla Group launches new variant Liva Crème

After its successful launch of high quality fabric Liva in 2015,...

Interviews View All

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Spokesperson
Hugo Boss

'Hugo Boss works with carefully selected sourcing partners'

Karin Ekberg
Leadership & Sustainability

Sustainable models are beneficial for brands, retailers and manufacturers

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search