Gucci sells sneakers labeled Made in China amid sales slump

Gucci has begun selling Drip sneakers and a slip-on model labeled Made in China. The Drip entered stores in August as part of the Primavera collection. Men's red nylon Drip costs $980 in the US; women's white suede is €820 in Europe. Reuters saw the labels in a Paris Gucci store. Gucci said Italy will always be at the heart of its manufacturing model and identity and chose the Chinese partner for technological know-how to meet performance and quality standards, with no broader plans to shift production abroad. Berenberg analysts said this creates a potential tension between provenance and the luxury positioning Gucci seeks to reclaim. Simon Whitehouse said Made in China is not a good look. Carole Madjo of Barclays said having Chinese-made products could fuel debate on the brand's price-value equation after Kering sources disclosed price cuts in markets including China. Gucci sales have roughly halved over three years. Demna presents his next collection in Milan on Friday.