The majority of the world’s designer luxury goods are made in China, not Europe, Chinese manufacturers have claimed on social media.
Chinese handbag manufacturers recently caused a stir on TikTok by alleging that prestigious brands like Gucci, Prada, Louis Vuitton, and Dior produce their bags in China. These bags are then purportedly shipped to Europe to be labeled with the “made in Italy” stamp.
In a now-removed video, bag craftsman Wang Sen claimed that 80 per cent of luxury bags are made in China.
How much do luxury bags cost to make?
As these videos gained traction on TikTok, some users claimed they were already aware of this practice, while others expressed their shock over the substantial profit margins on luxury products that sell for over $10,000.
One video by SENBAGS broke down the production cost of a Hermes Birkin bag to about $US1400 ($2200).
Birkin bags, crafted in France, are priced between $10,000 and $30,000 in stores. However, in the highly coveted second-hand market, their value can soar up to $2 million, depending on the bag’s rarity.
”A Birkin bag is not $30,000 to manufacture… there’s always a 20 to 30 per cent upcharge when producing in Europe compared to Asia,” Dimoski said.
“So on that $1400 figure, put about 30 to 40 per cent on top of that (for the cost).”
Dimoski said Deepwear have previously produced mid to high quality bags for between $70 to $150 wholesale.
Sturgess said online outrage about the price of making a Birkin bag “is justified”.
“You’re talking about a luxury brand that’s selling a bag for $59,000… It’s costing $1500 (for a high-quality replica) being made in China,” Sturgess said.
“I can understand the uproar.”
The luxury brands mentioned in this article did not respond to a request for comment.
