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China embraces the second-hand economy

Zhang Xiao says her passion for used goods is a mystery to her mother: “My mother never buys second-hand.”

For generations there has been a stigma associated with buying used goods in China, where they have been synonymous with poor quality and poverty. But like 29-year-old Beijinger Ms Xiao, a younger generation of Chinese consumers is embracing the second-hand economy, with sales and purchases of pre-owned goods from iPads to clothes being fuelled by online platforms.

Sales of second-hand goods in China are forecast to reach Rmb1tn ($150bn) next year, doubling from 2017, according to Beijing think-tank China Center for Internet Economy Research. Investors are taking note and pouring billions of dollars into platforms selling used goods from cars to luxury handbags.

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