China’s light industry maintained strong growth in the first half of 2025, extending the recovery momentum that began late last year and achieving steady progress in production, according to new data from the China National Light Industry Council.
Between January and June, the value-added output of large-scale light industry enterprises increased by 7% year-on-year. Total business revenue for these companies reached 11.3 trillion yuan (approximately US$1.56 trillion), underscoring the sector’s resilience and expansion.
The growth was fueled in part by government policies aimed at boosting domestic consumption. Retail sales of 11 major categories of light industry products—including household appliances, daily-use goods, and consumer electronics—surpassed 4.3 trillion yuan (around US$590 billion), representing an 11.6% increase compared to the same period last year.
Industry analysts say the rebound reflects both a recovery in consumer confidence and structural changes in the sector. In recent years, China’s light industry has been undergoing a transformation toward high-end and intelligent manufacturing, with companies investing in new technologies to upgrade production capacity and improve product quality.
Data from the council shows that 86.2% of large-scale enterprises in the sector now use digital research and development tools, enabling faster product design cycles, more efficient manufacturing, and greater output of high value-added goods. This shift is expected to further strengthen the sector’s competitiveness in both domestic and global markets.
The council’s report highlights that “large-scale” enterprises in this context are defined as those with an annual main business revenue of at least 20 million yuan. Many of these firms have expanded into smart manufacturing processes, incorporating automation, data analytics, and digital design into their operations.
Officials have emphasized that the sector’s performance aligns with broader national economic goals, including upgrading manufacturing capabilities and fostering domestic demand as a driver of growth. Light industry, which encompasses a wide range of consumer goods manufacturing, is considered a vital part of China’s industrial and export base.
Looking ahead, industry observers expect the momentum to continue into the second half of 2025, supported by ongoing policy incentives, stable consumer spending, and continued investment in advanced manufacturing. However, they caution that external factors—such as global trade uncertainties and fluctuating raw material prices—could pose challenges.
The China National Light Industry Council said it will continue to monitor the sector’s performance and encourage companies to pursue innovation-driven strategies to maintain growth and competitiveness.
