"The global luxury market shrank by 2% this year...The Korean market is also in a difficult situation."

The global luxury market, which had been growing relentlessly, is expected to slow for the first time since the global financial crisis, except during the COVID-19 pandemic.

Global consulting firm Bain & Company predicted in its annual report that the global personal luxury market will be 363 billion euros (about 538 trillion won) this year, down 2% from last year.

This marked the first slowdown in demand for personal luxury goods such as clothing and bags, jewelry and cosmetics in 15 years, except during the COVID-19 lockdown.

The forecast, along with continued strength in Japan and a gradual improvement trend in the U.S., "reflects a rapid slowdown in China and challenging conditions in South Korea," the report said.

Bain & Company estimated that its luxury consumer base, which totaled about 400 million, fell by 50 million over the past two years, and expected a 20-22% drop in sales, especially in the Chinese market.

The Associated Press said that the prospects for the luxury market could worsen if tariffs declared by U.S. President-elect Donald Trump are implemented.