The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Indian commerce secretary, Anup Wadhawan, has publicly dismissed a US Trade Representative (USTR) investigation, which describes India’s 2 percent levy on foreign e-commerce firms as discriminatory against American companies such as Facebook, Google and Amazon.
Amazon has been fighting a high-profile battle for Indian market share with local e-commerce players such as Walmart-backed Flipkart, and its subsidiary Myntra, which currently leads in the fashion e-commerce space.
By the end of this year, it is expected that more than 900 million Indian consumers will be online, with the e-commerce market as a whole predicted to grow to $84 billion according to a Deloitte and Retail Association of India report.
“We do not agree with [the report’s] conclusion,” Wadhawan was quoted as saying by local news agencies. ”Basically, if there is an economic benefit from a certain jurisdiction then there has to be some taxation in that jurisdiction... [If] you have billions of dollars of revenue in a certain jurisdiction, you have to pay taxes,” he added.
With consumers tightening their belts in China, the battle between global fast fashion brands and local high street giants has intensified.
Investors are bracing for a steep slowdown in luxury sales when luxury companies report their first quarter results, reflecting lacklustre Chinese demand.
The French beauty giant’s two latest deals are part of a wider M&A push by global players to capture a larger slice of the China market, targeting buzzy high-end brands that offer products with distinctive Chinese elements.
Post-Covid spend by US tourists in Europe has surged past 2019 levels. Chinese travellers, by contrast, have largely favoured domestic and regional destinations like Hong Kong, Singapore and Japan.