Saudi Press

Saudi Arabia and the world
Friday, Aug 21, 2026

China’s consumers are starting to binge on travel, cosmetics again in signs economy is reviving

China’s consumers are starting to binge on travel, cosmetics again in signs economy is reviving

Bookings for domestic travel, hotels have risen on Trip.com, while online transactions on Pinduoduo surge. Gains may not recover to last year’s levels just yet with the global economy facing the threat of recession, analysts say

Chinese consumers are shopping again, in a timely boost for the beleaguered economy, as they regain some semblance of normal life after unprecedented lockdowns aimed at containing the coronavirus pandemic.

Demand for travel, cosmetics, outdoor gear and food has surged in recent weeks as policy-driven stimulus kicked in, workers returned to offices and factories and the government started easing restrictions on people’s movement.

Transport bookings rose more than 50 per cent, while hotel reservations increased by 60 per cent during the three-day tomb-sweeping Ching Ming Festival through April 6, according to Trip.com Group. Online retail orders have likewise boomed, according to e-commerce site Pinduoduo.

“Consumption is expected to steadily warm up, as the latest data shows confirmed Covid-19 cases are not growing,” said Zhang Kailin, analyst at Dongxing Securities in Beijing. Government policies will also underpin the trend, she added.

The pickup in discretionary spending suggests the world’s second largest economy is on the mend. The state has handed out discount vouchers to rejuvenate retail sales. Manufacturing in large companies unexpectedly grew last month after a historic slump in February, while home sales revived.



The coronavirus has infected at least 82,000 people in mainland China and claimed more than 3,300 lives, while new cases and deaths continue to rise in Europe and the US. The numbers in China have tapered recently, underscoring optimism it can come out of the crisis soon and recharge the economy.

Amid new-found ‘liberty’ and pent-up demand, purchases of tickets for domestic tourist spots more than doubled in the past week, which that coincided with the Ching Ming Festival, according to Trip.com, China’s largest online ticketing group. Several tourist attractions saw overflowing crowd troubles, local media reported.

Online sales of cosmetics are also increasing rapidly, boosted by aggressive discounting and live-streaming promotions. Shanghai-based skincare producer Lin Qingxuan posted a 147 per cent year-on-year sales gain on International Women’s Day in early March, a local news site reported.

Pinduoduo has recorded more than 50 million retail orders per day since mid-March, a 60 per cent increase from a year ago, “showing the recovery in the domestic retail market,” the e-commerce site told the Post. Colour cosmetics such as lipsticks, eye shadow, eyebrow pencils saw “decent growth,” it added.


Nationwide food consumption has expanded by a robust 24 per cent, according to Fanli.com, a Shanghai-based third-party shopping site that enables discounted purchases on various e-commerce platforms. Apart from daily necessities, apparel and outdoor gear are among the hottest items.

The big question, though, is if the buying will continue. The International Monetary Fund has warned of a recession as countries such as Japan and Singapore are only beginning to tighten measures to contain the pandemic. China’s economy may have shrunk 5.1 per cent last quarter, according to consensus estimates of analysts in a Bloomberg survey.

“It would still take time for consumer confidence in the medium to long term to return,” said Chen Ke, senior partner based in Shanghai at consultancy firm Roland Berger China. “The key reason is the uncertainty about the pandemic domestically and internationally,” he said.

China’s retail sales slumped 20.5 per cent in the first two months this year, the National Bureau of Statistics said. They were compounded by a 43.1 per cent plunge in catering sales and double-digit declines in car sales, gas consumption and apparel sales. Car sales plunged 79 per cent in February despite subsidy incentives.

“Consumers are delaying their medium-term to long-term demand and refraining from upgrading consumption,” Chen said. While success in containing the virus will further aid consumption this quarter, it is unlikely to match the level a year ago, he added.

Gain in local consumption in the second quarter would show “limited growth,” said Li Ang, an analyst in Beijing at China Galaxy Securities. “Domestic demand for the whole year is still under pressure.”

For now, the rebound in retail spending could not have come sooner for Sun Laichun. The founder of Lin Qingxuan was staring at bankruptcy after sales in stores nosedived in January, the Economic Daily reported on its website in late February, only to be saved by its online business.

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Cristiano Ronaldo and Georgina Rodríguez Sign Prenup Protecting Their Separate Fortunes
Google Launches Pixel 11 With Gemini AI at the Center of Its Hardware Strategy
Turkish Parliament Passes Landmark Bill Granting Conditional Amnesty to Disarmed PKK Members
Jorge Messi, Lionel Messi’s Father and Longtime Agent, Dies at 68
AI’s Next Bottleneck Is Power, Not Just Nvidia Chips
Meta Raises AI Spending Target to as Much as $145bn Despite Pressure Over Returns
Joe Biden’s Cancer Has Spread Beyond His Bones, Hunter Biden Says
Why 2027 Could Be a Strong Year for Stocks—and Why the Forecast Is Fragile
Why Markets May Look Quiet in August After Big Tech Earnings
Trump’s Top General Seeks an Exit Strategy From Iran War, Report Says
Brock Lesnar Retires From Wrestling, Closing a Career of Rare Athletic Range and Lasting Controversy
UFO: Pentagon Releases Video of Unidentified Object Tracked Over Middle East
Ukraine Tells Senate Republicans Its Drone War Offers a Blueprint for America
Weight-Loss Drug Boom Tests the Limits of Prescription Advertising Rules
Saudi Arabia, Turkey and Pakistan Sign Mutual-Defence Pact
AI Is Remaking the US Economy, From GDP Growth to iPhone Prices
A SpaceX Rocket Is About to Crash Into the Moon — and Scientists Hope to Watch
Modern Slavery Decisions Broaden the Al Fayed Inquiry’s Frame
FIFA’s Retreat Leaves a Larger Question Over Who Guards the Game
Finland Deploys Commercial-Scale Thermal Batteries Using Crushed Rock to Store Renewable Grid Energy
Valued at $109 Million: F-35B Fighter Jet Crashes in Southern California
US Says It Has Carried Out Heavy Strikes on Iran After Attempted Attacks on Its Forces
Over 24 Hours in the Air: Qantas Airbus Completes Record-Breaking Test Flight
Arrest Warrant Issued in Lebanon for Tycoon Spotted Meeting Netanyahu in Washington
Trump says Israel ‘would not survive’ without US
Nvidia Reportedly Takes Vast Texas Data-Centre Lease to Underwrite AI Expansion
FIFA’s Private-Investment Plan for World Cup Rights Draws European Revolt
Following OpenAI's Cyberattack: 'Most Companies Still Do Not Understand What Is Coming'
OpenAI Sued After ChatGPT Allegedly Discouraged Emergency Care Before Near-Fatal Embolism
Miliband Sets Climate and International Law at Centre of UK Diplomacy
Pentagon Discloses Nearly 100 US Troop Injuries During Renewed Iran Fighting
Trump Readies New Tariffs as Temporary Global Levy Nears Expiry
High Prices Push Coffee Drinkers Toward Whole Beans and Home Brewing
Trump Draws Boos and Podium Scrutiny at Spain’s World Cup Triumph
Spain Defeats Argentina in Extra Time to Win Second World Cup
Turkey Explores S-400 Transfer to UAE in Bid to Rejoin F-35 Program
US Retaliates Against Iran After Two American Troops Killed in Jordan
Proposed U.S.-Saudi Nuclear Pact Could Permit Limited Uranium Enrichment Under International Safeguards
Why Kentucky Fried Chicken Became KFC—and Why the False Explanations Persist
Iran Claims It Destroyed Bahrain’s Main Artificial Intelligence Center in Missile and Drone Strike
Ukrainian Drones Strike Wildberries Warehouses Deep Inside Russia
Reported CIA Mission Helped Clear the UAE’s Path to Advanced US AI Chips
Artificial Intelligence Capital Fuels Markets While Governments and Regulators Face Mounting Strategic Tests
China’s Moonshot’s Kimi K3 Narrows the Gap With Anthropic Through Scale, Openness and Lower Cost
Gold and Cash Seizure Puts Indonesia’s Senior Anti-Corruption Prosecutor Under Investigation
The Ledger Will Not Trust on Faith
Passenger Bound for Germany Refused to Sit Beside a Woman on a Plane — Then Slapped a Flight Attendant
Ukraine’s Leadership Rift Spills Into the Streets as Protesters Target Army Chief
The Ten World Cup Finals That Defined Football History
Smartphones Are Getting More Expensive, Sales Are Collapsing, and Even Apple Admits: "Prices Will Rise"
×