Luxury Goods in Taiwan

Luxury goods in 2025: The big picture

In 2025, retail value sales of luxury goods in Taiwan achieved solid growth of 7%, amounting to TWD604 billion. Although growth was moderated by persistent inflationary pressures and global economic uncertainties, which dampened consumer spending in certain categories, wealthy consumers continued to exhibit a strong affinity for premium and exclusive luxury products, particularly bespoke and limited-edition items. The sustained growth in demand was supported by the ongoing expansion of the higher-income consumer base, as well as the continued growth in inbound business and leisure tourism, and an increase in domestic travel, all of which contributed to overall growth.

2025 key trends

In 2025, luxury goods in Taiwan was significantly influenced by ongoing trends centred on sustainability, personalisation, and the integration of artificial intelligence (AI). Luxury hotels and personal luxury led the adoption of eco-conscious practices. Personal luxury brands increasingly emphasised circular economy initiatives, such as repair services and trade-in schemes, to extend product longevity and minimise environmental impact. Notably, within luxury hotels, leading brands introduced comprehensive sustainability programmes that resonated with environmentally conscious consumers, partly driven by changing government policy.

Competitive landscape

In 2024, luxury goods in Taiwan was dominated by prominent automotive companies, with Daimler reclaiming the top spot from Toyota Motor Corp, the leader in 2023. Daimler's notable share increase was driven by the sustained popularity of its Mercedes-Benz brand, as well as its commitment to achieving carbon neutrality and expanding its electric vehicle portfolio, which further solidified its position. Meanwhile, Toyota's Lexus brand continued to appeal to Taiwanese consumers due to its blend of premium quality, reliability, and innovative features. Although Lexus fell to second position, it maintained its value share and reinforced its standing in luxury goods by consistently updating its product offerings to incorporate environmentally friendly technologies, aligning with the growing consumer demand for sustainable products. Bayerische Motoren Werke AG (BMW) retained its third position, buoyed by the combined strength of its BMW and Rolls-Royce brands, which attracted discerning buyers seeking high-performance luxury vehicles.

Retail developments

In 2025, offline retail continued to be dominant in the distribution of luxury goods in Taiwan, underscoring the lasting significance of in-person experiences for luxury consumers. General merchandise stores maintained its position as the leading sales channel for personal luxury goods, capturing a value share of 34% in 2025, up from 33% in 2024. This channel's success was particularly pronounced in categories such as designer apparel and footwear, luxury eyewear, and luxury jewellery, in which tactile evaluation and expert guidance are crucial to purchasing decisions. High-end shopping centres and established department stores, often situated in Taipei's premier commercial districts, retained their appeal by offering curated selections and exclusive in-store services, including private viewings, concierge support, and personalised styling sessions. These features reinforced the attractiveness of physical retail, catering to affluent consumers' preference for luxury shopping as an experiential activity that transcends mere transaction. Meanwhile, grocery retailers dominated sales in fine wines/champagne and spirits, attracting consumers with large displays, knowledgeable sales staff, and the opportunity to taste products before purchasing.

What next for luxury goods?

Luxury goods in Taiwan is projected to experience a compound annual growth rate (CAGR) of 6% in current terms between 2025 and 2030 (CAGR of 4% in constant 2025 terms), reaching TWD806 billion in 2030. The anticipated continuation of growth is attributed to the sustained expansion of HNWIs, ultra-HNWIs, and affluent adults in Taiwan. Euromonitor forecasts suggest a steady increase in the population of wealthy consumers, driving demand across primary luxury categories including personal luxury, and premium and luxury cars, facilitated by Taiwan's stable economic environment, rising disposable incomes, and an increasing penchant for premium lifestyle products that combine exclusivity and quality.