Average Prices Of Luxury Products In China Rose 7.7 Percent

Average prices of luxury consumer goods in China rose 7.7 percent in 2011, according to the Hurun Report magazine reflecting rising demand, import duties and foriegn exchange movements. Prices of yachts and of renting private aircraft increased the most, up 20 percent, while prices of accessories and cosmetic products rose 16 percent. Foriegn exchange movements has caused some companies to increase prices: since May the euro is up nearly 12 percent against the yuan while the Swiss franc is up nearly 29 percent. L'Oreal and Estee Lauder cited exchange rates and rising costs for their decision to raise prices of their high-end cosmetics by 8 to 20 percent.