China’s luxury market may growth more than two-fold by 2015, surpassing Japan to become the world’s largest market for branded goods, according to McKinsey & Co.

Sales of luxury items in China, including clothes, handbags, watches and fine jewelry, are expected to increase to about CNY180 billion in 2015.

he 2015 estimate would be equivalent to 20 per cent of global luxury spending, the consulting company said.

“Even with the proliferation of luxury stores in recent years, China is far from reaching saturation,” Yuval Atsmon, a principal at McKinsey said.