Chow Tai Fook Jewelry Faces Sharp Decline in Demand

HONG KONG (Scrap Monster): Chow Tai Fook Jewelry Group Ltd has announced that they have had a low sale in this fiscal year due to the escalating corruption in China.

In last month, the company’s profit spiked by 32 percent to HK$7.3 billion ($942 million) while comparing with the HK$7.23 billion average of 25 analysts’ estimates compiled by Bloomberg.

According to Linda Huang, an analyst at Macquarie Group, the prime jewelers would go further with weak consumer demand and as China takes measures to curb corruption.

It is said that China’s economy grew 7.4 percent in the first quarter that is considered as the slowest pace since 2012.