The global downturn has not dented China’s thirst for luxury goods, according to a survey by global consultancy KPMG. The survey, which interviewed more than 900 people in 15 cities, found that 62% maintained their spending on expensive goods last year and this year, as the country emerged from the effects of the downturn. “Despite a tougher economic climate, respondents demonstrated their brand loyalty, as they chose to stick with existing brands rather than downgrading to less prestigious options,” KPMG said. China has the world’s second-highest number of dollar billionaires after the United States, and a new class of wealthy created by the economic boom has seized on foreign luxury brands as status symbols. Respondents to the KMPG survey were between 20 and 44 and earned at least CNY4,500 per month, with a minimum income of CNY6,500 in the larger cities of Beijing, Shanghai, Guangzhou and Shenzhen.

• The National Development and Reform Commission (NDRC) said it would improve scrutiny of drug prices set by pharmaceutical companies to counter collusion between pharmaceutical companies, government agencies and hospitals that keeps prices high. The commission plans to increase the surcharge ratio for cheap drugs and reduce the ratio for expensive drugs to encourage hospitals to sell more cheap drugs.
• Former Gome Electrical Appliances Chairman Huang Guangyu has filed an appeal against his 14-year jail term for illegal business dealings, bribery and inside trading, disputing the charges and saying the sentence and fines were too heavy.