China launches state-owned centre to evaluate luxury goods

China has established an official luxury brand appraisal centre in a bid to tackle fake goods.

Borne under the auspices of the China Electronic Commerce Association, the centre will evaluate products to determine authenticity, while establishing a standardised and effective business certification mechanism.

An online portal will allow consumers to check whether sellers of luxury goods are certified businesses, as well as checking the expert appraiser’s qualifications. Products can also be re-evaluated if the consumer questions the original appraisal, according to JingDaily.com. 

The centre is currently headquartered in Beijing but centres are being considered for other cities around China.

The government has proposed the goal of effectively curbing the momentum of intellectual property infringements and counterfeiting will be achieved in 2020.

According to JingDaily.com, the new appraisal centre is the only state-owned service of its kind in China – although there are several private appraisal companies – and signifies the Chinese government’s determination to combat counterfeit products.

The centre’s website states that the centre will help promote the “orderly and sustainable” development of China’s luxury goods industry, which is booming alongside the expansion of China’s middle-class and growth in disposable incomes.

“Through rigorous appraisal skills, testing and certification of luxury merchants and practitioners, the centre will enhance the overall quality of practitioners and purify the industrial environment,” the website said, adding that the centre would “provide technical guidance to identify the authenticity of luxury goods, effectively curb the sale of fake goods, safeguard the rights and interests of consumers, and promote the healthy development of the luxury goods market.”

In addition, the centre will provide industry standards and seek to have some oversight for the effective sale of luxury goods on online platforms.

China is the second largest consumer of luxury goods in the world behind the United States, with luxury goods sales reaching 498.3 billion yuan ($78bn), accounting for 21 per cent of the global total.

Sales have largely been driven by online shopping platforms and a younger generation with a preference for this channel.