Macau’s Importers and Exporters Association said sales of luxury goods plummeted 30 to 50 percent in the first half of the year.
The association says retail sales of high-end products like jewellery, watches and other luxury goods were among the goods that saw the biggest declines, TDM Macau reported.
Brands such as Cartier, Prada and LVMH have cited sales in Greater China as dragging down the company’s’ overall performance.
Association chairman Dominic Sio believes business will stabilize in the second half of this year and that sales will recover with the opening of new casinos in the next two years.
“Continued success in China for luxury goods companies will depend on brand standing, ability to defend and maintain margin and opportunities for incremental retail growth. In 2015, margin will be the key focus,” Bernstein Research analysts said in a note.