Hong Kong’s luxury retail sector, once a hotspot for mainland Chinese tourists, is facing a sharp decline as high-end spending from China dwindles. Iconic shopping areas like Tsim Sha Tsui and Causeway Bay have seen a mass exodus of luxury brands, with high-end stores replaced by cheaper alternatives. Rents in prime locations have plummeted, with some properties leasing for as much as 89% below their previous rates. The luxury sector’s decline reflects broader economic challenges, including falling home prices, rising office vacancies, and lower consumer spending. Despite government efforts to boost tourism and retail, experts predict it could take years for the city to recover.