US EditionLuxury Brands Report 30% to 50% Sales Drop in UAE Malls
Luxury brands reported 30% to 50% sales drops in March as conflict-related tourism losses weighed on the Gulf market, analysts said.
- March sales at Dubai's Mall of the Emirates and other UAE malls plummeted 30–50% compared to last year, as regional conflict disrupted the city's carefully curated image of stability.
- Regional stability was shaken after United States and Israeli strikes on Iran on February 28 sparked conflict, including Iranian drone attacks that damaged the landmark Burj Al Arab hotel.
- This shock compounds a wider $400 billion industry contraction; Swiss watch exports fell to $32.5 billion in 2025, and LVMH and Kering lost more than 100 billion euros in market value since 2022.
- Bernstein analysts warn that conflict-related ripple effects, including travel costs and inflation, could "easily disrupt" shopper appetite, postponing a hoped-for 2026 luxury recovery into next year.
- The Watches and Wonders salon in Geneva, open until April 20, is being used to "take the temperature" of the sector amid widespread industry expectations of "weak growth".
53 Articles
53 Articles
Less tourists, fewer flights, less sales: Luxury companies' revenues collapsed in the first quarter. Much less was purchased, especially in Dubai.
The cost of war: Geneva watch fair set to show impact on luxury fashion sector
The Watches and Wonders salon is the industry’s biggest annual event. It sees 65 major watch brands, including Rolex, Patek Philippe, Cartier, and Bulgari, display their latest creations from Tuesday, 14 April until Monday, 20 April. Despite uncertainties surrounding travel from the Middle East and Asia, organisers are expecting around 60 000 visitors during the week. This is compared to 55 000 last year. “The war is going to be a big talking po…
While the situation in the Middle East remains complicated, the effects of the war continue to be felt in all sectors, including luxury. ...
Coverage Details
Bias Distribution
- 47% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
