Chanel stores in Shanghai saw a surge in customers waiting in a long queue to buy its products on Thursday after the French fashion house reduced its prices in China, the Beijing News reported.

Chanel, the world's second-biggest luxury brand behind LVMH's Louis Vuitton, said on Wednesday that a price adjustment will begin on April 8 when the prices will be cut in China and increased by 20 percent in Europe.

It's still unknown whether GUCCI and other luxury brands will follow suit. 

Customers wait in a long queue outside a Chanel store at Shanghai International Financial Center in Shanghai on March 19, 2015. [Photo/CFP]