Ever wondered how the Chinese mainland is turning sluggish consumer appetite into a surge of spending? A fresh policy package—melding new and existing measures—is doing just that, opening up 'blue oceans' of consumption across tech, travel, culture, and more.
A dual-engine stimulus model
This spring, the General Office of the CPC Central Committee and the General Office of the State Council rolled out a special plan to supercharge domestic demand. By coordinating fiscal, financial, industrial, and consumption policies, authorities created a "dual-engine" approach that pairs longstanding initiatives with fresh incentives.
Tech upgrades power early wins
Central to the 2024 plan was the expansion of the so-called "two new" policy—originally focused on large-scale equipment upgrades and trade-ins—into consumer electronics. Subsidies now cover smartphones, tablets, smartwatches, and fitness bands:
- Retail sales of communication equipment jumped 26.2% year-on-year in early 2025.
- Smartphone sales under 6,000 yuan hit 44.22 million units, up 8.8%, driving revenue 19.3% higher.
- Replacement cycles are lengthening: over half of consumers upgrade every 3–4 years, a 41% increase since 2022.
Unlocking new 'blue oceans'
Beyond gadgets, a wave of emerging sectors is capturing imaginations and wallets:
- Winter tourism and ice-and-snow sports
- Pet care: smart feeders, grooming, and specialty services
- ACGN culture: manga, anime, and collectibles
- 'China-chic' fashion rooted in traditional design
- Low-altitude aviation tourism and consumer drones
- Silver economy for active seniors
- Inbound spending by foreign travelers
These niches are not only boosting short-term spending but also driving structural shifts toward an innovation-led growth model.
Clearing hurdles to sustained growth
To keep the momentum, policymakers must tackle three big barriers:
- No money to spend: Scale up employment, boost household incomes, and expand property-based earnings.
- Too anxious to spend: Strengthen social security, healthcare, education, and eldercare benefits.
- No time to spend: Rein in the '996' work culture, enforce eight-hour days and two-day weekends, and increase holiday flexibility.
By addressing these challenges, the Chinese mainland can turn policy dividends into lasting consumer confidence and economic resilience.
Reference(s):
cgtn.com
