Foreign companies eye opportunities as China boosts consumption efforts
Beijing (ANTARA) - As China ramps up efforts to boost domestic consumption, multinational companies are eyeing opportunities by increasingly positioning themselves to capitalise on what they view as one of the world’s most significant future growth sources.
This trend was evident at the recently concluded China Development Forum 2026, an annual event where business leaders gather to explore strategies for capturing opportunities in China’s vast market.
The strategic significance of China’s domestic demand has been emphasised in policy documents for 2026 and beyond.
Under the 15th Five-Year Plan (2026-2030) framework, China is determined to “achieve a significant increase in household consumption as a share of gross domestic product (GDP), making domestic demand a more prominent economic driver” over the next five years.
For foreign companies, this signals broadening opportunities to reach Chinese consumers and integrate into the country’s continuously evolving market ecosystem.
“China’s latest five-year plan clearly emphasises expanding high-quality consumption, accelerating innovation, and enhancing domestic demand, which aligns closely with PepsiCo’s strategic focus,” said Ramon Laguarta, chairman and CEO of PepsiCo.
In China, the global food and beverage giant now operates over 70 plantations, more than 50 beverage bottling plants, 10 food manufacturing facilities, and a research and development centre designed to understand local consumer preferences.
“We see ourselves not just as participants in the Chinese market, but as long-term partners, investors, and co-creators in realising China’s next phase of development,” Laguarta stated.
The strong engagement of foreign companies reflects the broad strength of China’s consumer market. In 2025, retail sales of consumer goods in the country surpassed 50 trillion yuan (one yuan = Rp2,465) for the first time.
This substantial momentum continued into 2026, with figures for the first two months of this year rising 2.8 percent year-on-year, up 1.9 percentage points from December 2025.
Experts highlight the services sector as a particularly strong growth driver, propelled by the expanding middle-income population.
“New types of consumption, green consumption, and service consumption are projected to be long-term growth engines. These three are also primary sources of additional revenue for multinational companies,” said Jeff Wu, vice chairman of KPMG China.
Foreign companies are taking note. Rosewood Hotel Group, a global ultra-luxury hospitality brand, has observed rising demand for experience-based travel in China.
“The growing demand for deep cultural experiences, wellness, and emotionally memorable experiences aligns with Rosewood’s core strengths and philosophy,” said Sonia Cheng, CEO of Rosewood Hotel Group.
She noted that China’s policy focus on boosting the tourism sector opens promising opportunities for the business while reinforcing confidence in the market.
For many global companies, China is no longer just an option but a necessity, given its scale, demand for innovation, and diversified consumption structure.
“Chinese consumers are very savvy. They expect high quality and innovation, which is why I’m thrilled to be part of this market,” said Joanne Crevoiserat, CEO of Tapestry, a US-based fashion and luxury goods company.
She explained that bringing high-quality products and cutting-edge innovations to China not only meets local expectations but also strengthens the company’s global business.
Looking ahead, the CEO said her company has ambitious growth plans in the Chinese market.
“We see various opportunities to expand not only in tier-one and tier-two cities, but even more broadly,” Crevoiserat stated.