Chinese luxury brand France-bound

Shang Xia, a Chinese brand of French luxury group Hermes, is to be launched in France.

With almost every luxury brand in Europe and North America pursuing a love affair with the fast-growing luxury market in the world’s most populous country, it’s almost unheard of for a brand to migrate the opposite direction.

Shang Xia will open a shop in the hip Parisian Saint-Germain-des-Pres district, a highly prized strategic location where average annual tourist spending is expected to reach about 500 million euros (US$656.25 million), by the end of this year.

Shang xia, a Mandarin Chinese word which means “up” and “down”, features collections which include furniture, decorative objects, accessories and luxury garments. The brand also creates limited edition of cultural objects which reflect guardianship, tradition and remembrance.

“We operate through organic growth and the idea was to transfer the philosophy of Hermes in China, making a Hermes in China,” said CEO Patrick Thomas.

Shang Xia’s Paris store will be spread across 80sqm, taking the place of the Italian luxury brand Furla at Sevres Rd.

Shang Xia’s first boutique was launched at Hong Kong Plaza, a high-end shopping mall in Shanghai, in 2010. A second China store is expected to be open in the second half of this year in Beijing.

While both targets affluent customers, Thomas is not worried that Shang Xia, which operates independently, will be a competitor to parent brand Hermes.

“If Shang Xia becomes a competitor of Hermes, it will be a success,” Thomas said.

Greater China, where Hermes has 40 boutiques, accounted 11 per cent in Hermes’ sales last year.

GB

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