China is forecast to become the largest personal luxury market by 2030, reaching $148 billion, due to a stable recovery and burgeoning demand from the younger generation.

According to PwC's latest study, China's portion of the global luxury market is projected to surpass that of the US. Estimated to rise to 25% from approximately 19% last year, China's share is set to exceed the US's 23%.

The start of Hainan's independent customs operation scheme in 2025 is poised to provide a significant boost, Shine News reports.

The duty-free luxury market size in Hainan is anticipated to experience a compound annual growth rate of 91% from 2023 to 2025. By 2025, it is projected to reach 160 billion Yuan ($22 billion).

This could lead to the growth of luxury brands in sports and leisure sectors, including yachting, surfing and cruises.

Furthermore, consumers in Southeast Asian regions and China are showing a willingness to pay around 20% more than the average price for products they perceive as trustworthy and made from recycled, sustainable, or eco-friendly materials. 

This trend is creating new opportunities for luxury brands to cater to this growing demand for sustainable and environmentally conscious products.

In addition, global fashion giant Ralph Lauren will continue to boost its presence in China, with plans to open up to 30 new stores per year in the country, leveraging its extensive digital marketing strategies in the world's largest e-commerce market. 

"We're seeing brand perception continue to strengthen, so we think we have a game plan that is working in a market like China," said the firm's CEO, Patrice Louvet, in an interview with The Post, noting a three-pronged strategy focused on expanding its presence in key cities, promoting its core products, and enhancing the brand through marketing initiatives and strategic partnerships.

"China is our most advanced market when it comes to digital activation, whether that is with JDTmall, but also with all the social media platforms, the latest one being Douyin, where we're experimenting and are very encouraged by the initial results," he added.

Moreover, consulting firm Bain & Co is optimistic about China's prospects in the medium term, also forecasting that the mainland will surpass the Americas and Europe to become the largest luxury market globally by 2030.