Christmas cheer becomes more expensive as costs rise

Christmas goods' factories and retail outlets in Yiwu, Zhejiang province, get ready for the festival. [Photo/Agencies]

"There is an increasingly noticeable trend in the Christmas decorations industry: large wholesale orders are falling while retail orders have grown. As we mainly target the mid-level market, where the price war does not exist, consumers are less sensitive to price fluctuations. That means, our profit can be sustained," he said.

Most of the orders at this time of the year come from the domestic market and neighboring countries and regions such as Japan, South Korea and Southeast Asia, said Luo. Since the holiday is round the corner, prices will be relatively higher, which means profits would likely be higher. The wholesale orders to Europe and the United States offered at lower prices are completed during the summer every year.