In New York, the annual Met Gala charity event once again brought together the world’s richest and most famous figures from fashion and entertainment. The event is traditionally seen not only as a showcase of haute couture, but also as a powerful symbol of the luxury industry’s influence. Yet behind the glamour and extravagant outfits lies a less celebratory reality: the sector is facing a significant slowdown.

Commentators say major luxury brands had hoped the event would act as a catalyst for demand, reminding consumers of the appeal of high fashion. However, structural problems in the market have proven stronger than a single night of glamour.

One of the key causes of the downturn is the slowdown in the Chinese market, driven by the ongoing property sector crisis. China has long been one of the main engines of growth for luxury goods, but demand there has now noticeably weakened. An additional blow has come from a global consumer backlash against sharply rising prices in the premium segment — a phenomenon analysts have dubbed “greedflation.” Rising oil prices have further intensified pressure on global consumer spending.

The impact is already visible in the results of major players. LVMH Moët Hennessy Louis Vuitton reported an unexpected 2% drop in organic revenue in Q1 2026, which hit its share price and marked the worst start to a year in the company’s trading history. Hermès also pointed to geopolitical instability and reduced tourism activity in key markets including Paris and London. Kering, the owner of Gucci, continues attempts to relaunch its brands under a new CEO, but with no clear breakthrough so far.

Against this backdrop, Chanel stands out as a private company and therefore less exposed to stock market pressure. According to the brand’s leadership, Chanel is showing steady growth in 2026. A significant role in this performance has been played by new creative director Matthieu Blazy, whose early collections have received a strong response from both the industry and consumers.

The brand’s popularity is also reflected in industry rankings. In the Lyst index, Chanel ranked first among the most in-demand brands, with accessories and footwear among the most popular items — despite their high price tags. However, experts note that the brand has become more cautious with pricing after public backlash over sharp increases in the cost of its classic handbag.

Meanwhile, at the Met Gala, Chanel once again drew attention: A$AP Rocky appeared in a pink Chanel robe, while Matthieu Blazy continues to experiment with the brand’s aesthetic, introducing unusual runway elements — from pepper-shaped jewellery to unconventional footwear. As a private company, Chanel has more freedom for creative experimentation, without the pressure of shareholders.

And that freedom now looks like a rare privilege in an industry where most players must constantly balance creativity with financial pressure. At a time when even the biggest brands are facing weakening demand, luxury is becoming not only a question of aesthetics, but also a strategy of survival.