China and the secondhand market are putting pressure on Hermès

The French luxury house Hermès saw its growth slow to the lowest level since the COVID-19 pandemic. The Chinese market, in particular, is proving disappointing, while analysts are questioning the exclusivity of the iconic Birkin and Kelly handbags.

Chinese luxury customers are turning away

Hermès reported third-quarter revenue of 4.1 billion euros, a 4.3% increase at constant exchange rates. This marks the luxury house’s weakest quarterly growth since early 2020. China, in particular, is weighing on the results. In Asia-Pacific, excluding Japan, revenue stagnated, while analysts had expected growth of 1.55%. The region accounts for approximately 42% of the group’s revenue.