How LV Lost Millions by Winning a Trademark Dispute in China

Watch on YouTube ↗  |  September 11, 2026 at 20:40  |  2:09  |  Bloomberg Markets
Speakers
Jinshan Hong — Reporter, Bloomberg News

Summary

The video discusses the fallout from Louis Vuitton's trademark dispute with Chinese tea chain Molly Tea. Although Louis Vuitton won the court case, the backlash has hurt its sales in China, with July sales estimated down about 30% and declines narrowing in August and September. The controversy adds pressure on LVMH amid a broader luxury sector slowdown.

  • Louis Vuitton won a trademark court case against Molly Tea around June.
  • Social-media users accused LV of cultural appropriation and targeting a small local brand.
  • Sources say the controversy hit Louis Vuitton's China sales hard.
  • July sales decline estimated at about 30%, narrowing to 20-25% in August and possibly 15% in September.
  • LVMH has not officially commented; the legal case continues.
  • Broader luxury sector saw single- and double-digit sales declines in June-July and part of August.
  • LV halted some social-media activity and skipped a major July event.
  • Social-media buzz has calmed, and analyst estimates point to improvement in September.
Ideas
Jinshan Hong Reporter, Bloomberg News 0:40
LVMH China sales hit by backlash
Louis Vuitton's trademark dispute with Chinese tea chain Molly Tea sparked a social-media backlash that accused LV of cultural appropriation and of being cheap for targeting a small local company. According to sources, the controversy hit Louis Vuitton's China sales hard, making its decline the worst among luxury brands: an analyst estimated a 30% drop in July, narrowing to 20-25% in August and possibly 15% in September. LVMH has not officially commented and the legal case continues, while the PR damage adds pressure in a key market already facing a broader luxury slowdown.
LVMH HIGH
Jinshan Hong Reporter, Bloomberg News 0:45
Luxury sector sales slowdown persists
The broader luxury sector is in a slowdown, with quite a few luxury brands posting single-digit or double-digit sales declines in June, July, and part of August. This sector-wide weakness is the backdrop for Louis Vuitton's worse-than-sector China sales decline and is worth monitoring as a negative demand regime.
Luxury sector MED
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This Bloomberg Markets video, published September 11, 2026, features Jinshan Hong discussing LVMH, Luxury sector. 2 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Jinshan Hong  · Tickers: LVMH, Luxury sector