PARIS/HONG KONG: Louis Vuitton, the world’s biggest luxury goods brand by sales, is preparing to shut one of its shops in Hong Kong where protests have hit demand as high rental costs bite, the South China Morning Post newspaper reported.
The handbag firm plans to close its store in the Times Square mall, the paper said, citing sources close to the matter. The company says on its website it has eight shops in Hong Kong.
The newspaper said the decision to close the shop came after the company failed to reach an agreement with its landlord to cut the rent in the mall outlet. Wharf Holdings, the shopping centre’s owner and Vuitton did not immediately respond to requests for comment.
Vuitton’s parent group LVMH, the Paris-based conglomerate behind other fashion brands like Christian Dior and Hennessy cognac, declined to comment.
High-end fashion labels have hunkered down in Hong Kong since anti-government demonstrations escalated in June, hoping the turmoil would ease in one of the world’s top shopping destinations.
Until now, the luxury brands had only shut stores in Hong Kong temporarily when protests flared.
Hong Kong has long drawn numerous tourists from the Chinese mainland who pick up luxury cosmetics, accessories and clothing at slightly lower prices than at home. — Reuters
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