China is using harsh steps to uphold its ‘zero-Covid tolerance’ policy while other nations across the world are opening their borders and businesses in response to the outbreak. As a result, the economy has suffered, and a new adverse effect has emerged that is having an impact on the secondary market for high-end luxury products.
According to reports, an increasing number of Chinese people are selling their priceless things, including Hermes bags and Rolex watches. Although the intention is to profit, analysts claim that because the prices of these commodities have dropped so drastically recently, anxious sellers are really losing money on this trade.
According to a Financial Times report, the price of second-hand Rolex Submariners, a must-have ‘watch’ on every collector’s list has seen its price tumble by almost 46 per cent since March, earlier this year.
While this has happened, the market value of iconic bags like the Hermès Birkin has decreased by up to a fifth within the same time frame.
This decline appears even more depressing when one considers that the cost of the aforementioned Rolex watch had increased by over 240 percent in the six months prior to the Shanghai lockout.
‘The boom period has ended. We are about to embark on a lengthy era of adjustment,’ SCMP cited a vendor of pre-owned expensive timepieces in China as saying.
