According to the 2025 Report on the Work of the Government, “vigorously boosting consumption and investment returns and stimulating domestic demand across the board” was ranked as the top priority for economic policy this year, underscoring the central role of consumer spending in driving recovery. The Chinese mainland’s total retail sales of consumer goods reached RMB24.5 trillion in the first half of 2025, up 5.0% year-on-year. The growth rate expanded by 1.3 percentage points compared with the same period in 2024, providing a stronger foundation for economic recovery.
By Q2 2025, the total prime retail property stock in the core markets of the 15 major cities Cushman & Wakefield tracks in Greater China reached 116.7 million sq m. Looking ahead, more than 20 million sq m of new supply is scheduled to enter the market by the end of 2027, further intensifying competition among landlords and operators.
Consumer behavior is also evolving. Against the backdrop of an economic slowdown and demographic shifts, Chinese consumers are becoming more cautious and selective. New patterns such as emotional consumption, green consumption, health-focused spending, and cost–performance awareness are accelerating. Retailers and shopping center landlords are responding with a renewed focus on customer experience, introducing new technologies, and experimenting with innovative retail formats.
In terms of supply and demand, several key trends stand out in 2025:
- Renovation and upgrading of existing properties
- Integration of cultural and tourism consumption
- The rise of pop toys as part of emotional consumption
- Strong growth in health-related consumption
While slower economic growth and uncertain disposable incomes are likely to temper household spending, ongoing government measures to stimulate consumption — together with the success of new retail concepts and formats — are expected to support steady momentum.
The outlook for Greater China’s retail property market remains positive, with policy support, changing consumer preferences, and innovative supply all converging to drive sustainable long-term growth.
