Core Insights - Since April, China's outbound tax refund policy has been continuously optimized, significantly boosting the consumption activity of foreign travelers [1][2] - From January to September this year, the number of foreign travelers applying for tax refunds increased by 229.8%, while the refund amount rose by 97.4% [1] Group 1: Policy Enhancements - The State Taxation Administration issued a notice on April 8 to promote the "immediate refund upon purchase" service nationwide, enhancing convenience for travelers [1] - On April 26, six government departments jointly released a notification to further optimize the tax refund policy and expand inbound consumption [1] - The tax refund management measures were revised on April 27 to simplify the refund process and improve the experience for foreign travelers [1] Group 2: Service Improvements - System functionalities have been optimized, allowing for more efficient tax refund processing with a 45% increase in efficiency due to new features like automatic invoice information retrieval and QR code data entry [2] - Cross-regional processing has been encouraged, allowing travelers to enjoy "immediate refund upon purchase" services even when shopping and departure locations differ, with several regions already implementing mutual recognition of services [2] - Innovative refund methods have been introduced, including centralized refund points in major shopping areas and new features for mobile refunds, enhancing the efficiency of tax refunds [2] Group 3: Future Outlook - The tax authorities aim to continuously optimize the outbound tax refund services to attract more foreign travelers to shop in China, thereby enhancing the potential of inbound tourism consumption [2]

Core Insights - The Chinese consumption market has shown steady growth in September 2023, with a retail sales total of 4.20 trillion yuan, reflecting a year-on-year increase of 3.0% [1] - The contribution of final consumption expenditure to economic growth reached 53.5%, indicating its significant role in driving the economy [1] Group 1: Consumption Trends - The retail sales of consumer goods increased by 3.3% in September, with notable growth in the sales of communication equipment, furniture, and cultural office supplies, each growing by 16.2% [1] - The retail volume of passenger cars reached 2.241 million units, marking a growth of 6.3% [1] - As of October 22, 2023, applications for the vehicle trade-in subsidy exceeded 10 million [1] Group 2: Service Consumption - Service retail sales grew by 5.2% in the first three quarters, outpacing goods retail sales by 0.6 percentage points [2] - Significant growth was observed in leisure services, communication services, tourism consulting, and transportation services, all achieving double-digit growth [2] - The share of service consumption in total household expenditure reached 46.8% [2] Group 3: New Consumption Patterns - Sales of smart wearable devices and robotic vacuum cleaners increased by over 15%, while energy-saving dishwashers and organic food sales grew by more than 10% [2] - The retail sales of new energy passenger vehicles reached 1.296 million units, with a growth rate of 15.5% and a market penetration rate of 57.8% [2] Group 4: Inbound Consumption - Policies such as expanding visa-free entry and optimizing tax refunds for outbound travelers have boosted inbound consumption, with 20.134 million foreign visitors recorded in the third quarter, a 22.3% increase [2] - Among these, the number of visa-free foreign visitors rose by 48.3% to 7.246 million [2] Group 5: Trade-in Policy Impact - Over 76 million consumers participated in the trade-in program for 12 categories of home appliances, resulting in the purchase of over 126 million units [3] - More than 81 million consumers bought mobile devices, totaling over 88 million units sold [3] - Approximately 87,000 retail stores engaged in the trade-in program for electric bicycles, leading to over 12 million new purchases [3]

Core Insights - The overall consumption market in China remained stable in September 2023, with significant contributions from various sectors and initiatives aimed at boosting consumer spending [1][2]. Group 1: Consumption Market Performance - In September, the total retail sales of consumer goods reached 4.20 trillion yuan, showing a year-on-year growth of 3.0%. For the first three quarters, the total retail sales amounted to 36.59 trillion yuan, with a growth rate of 4.5%, which is 1.0 percentage point faster than the entire previous year [1]. - Per capita consumption expenditure for residents was 21,600 yuan, reflecting a growth of 4.6%. The contribution rate of final consumption expenditure to economic growth was 53.5% [1]. Group 2: Trade-in Programs and Retail Growth - The trade-in program for consumer goods continued to show positive results, with retail sales of related goods increasing by 3.3% in September. Notably, retail sales of communication equipment, furniture, and cultural office supplies from large enterprises grew by 16.2%, 16.2%, and 6.2%, respectively [2]. - The retail volume of passenger cars reached 2.241 million units, marking a growth of 6.3%. As of October 22, 2023, applications for the 2025 automobile trade-in subsidy exceeded 10 million [1]. Group 3: Service Consumption Trends - Service retail sales grew by 5.2% in the first three quarters, outpacing the growth of goods retail sales by 0.6 percentage points. Sectors such as cultural and recreational services, communication services, tourism consulting, and transportation services experienced double-digit growth [2]. - The proportion of residents' service consumption expenditure accounted for 46.8% of total consumption expenditure [2]. Group 4: Emerging Consumption Trends - New types of consumption, including smart and green products, continued to expand. In September, sales of smart wearable devices and robotic vacuum cleaners increased by over 15%, while sales of energy-efficient dishwashers and organic food grew by more than 10% [2]. - The retail volume of new energy passenger vehicles reached 1.296 million units, with a growth of 15.5% and a penetration rate of 57.8% [2]. Group 5: Inbound Consumption Growth - The scale of inbound consumption has been expanding, supported by policies such as the expansion of visa-free entry and optimized tax refund processes. The popularity of "China tours" and "China shopping" continues to rise [2]. - According to the National Immigration Administration, the number of inbound and outbound foreign visitors reached 20.134 million in the third quarter, a growth of 22.3%. Among them, visa-free foreign visitors numbered 7.246 million, increasing by 48.3% [2].

Core Insights - The consumption market in China is showing steady growth, with significant contributions from various sectors and initiatives aimed at boosting consumer spending [1][2] Group 1: Overall Consumption Trends - In September, the total retail sales of consumer goods reached 4.20 trillion yuan, marking a year-on-year growth of 3.0% [1] - For the first three quarters, the total retail sales amounted to 36.59 trillion yuan, with a growth rate of 4.5%, which is 1.0 percentage point faster than the entire previous year [1] - Per capita consumer spending reached 21,600 yuan, reflecting a growth of 4.6% [1] - The contribution rate of final consumption expenditure to economic growth stood at 53.5% [1] Group 2: Replacement Consumption - The retail sales of goods increased by 3.3% in September, with significant growth in sales related to the "old for new" consumption initiative [2] - Retail sales of communication equipment, furniture, and cultural office supplies saw increases of 16.2%, 16.2%, and 6.2% respectively [2] - Passenger car retail sales reached 2.241 million units, growing by 6.3% [2] - As of October 22, 2025, applications for the automobile replacement subsidy exceeded 10 million [2] Group 3: Service Consumption - Service retail sales grew by 5.2% in the first three quarters, outpacing goods retail sales by 0.6 percentage points [2] - Sectors such as cultural and recreational services, communication services, tourism consulting, and transportation services experienced double-digit growth [2] - Service consumption accounted for 46.8% of total household consumption expenditure [2] Group 4: New Consumption Trends - New types of consumption, including smart and green products, are expanding rapidly [2] - In September, sales of smart wearable devices and robotic vacuum cleaners increased by over 15%, while sales of energy-saving dishwashers and organic food grew by more than 10% [2] - Retail sales of new energy passenger vehicles reached 1.296 million units, growing by 15.5%, with a penetration rate of 57.8% [2] Group 5: Inbound Consumption - The scale of inbound consumption is expanding, supported by policies such as expanding visa-free entry and optimizing tax refund processes [2] - In the third quarter, the number of foreign visitors entering and exiting China reached 20.134 million, a growth of 22.3% [2] - Among these, the number of visa-free foreign visitors was 7.246 million, marking a growth of 48.3% [2]

Core Insights - The consumption market in China has shown stable performance in September, with a notable increase in retail sales and consumer spending [1] Group 1: Consumption Market Performance - In September, the total retail sales of consumer goods reached 4.20 trillion yuan, reflecting a year-on-year growth of 3.0% [1] - For the first three quarters, the total retail sales amounted to 36.59 trillion yuan, with a growth rate of 4.5%, accelerating by 1.0 percentage points compared to the previous year [1] - Per capita consumer spending reached 21,600 yuan, marking a growth of 4.6% [1] - The contribution rate of final consumption expenditure to economic growth was 53.5% [1] Group 2: Trade-in Programs and Service Consumption - The trade-in program for consumer goods has shown significant results, with retail sales of related products growing rapidly [1] - In September, retail sales of goods increased by 3.3%, with notable growth in communication equipment, furniture, and cultural office supplies, each growing by 16.2% and 6.2% respectively [1] - Passenger car retail sales reached 2.241 million units, growing by 6.3% [1] - As of October 22, applications for the 2025 automobile trade-in subsidy exceeded 10 million [1] - Service retail sales grew by 5.2% in the first three quarters, outpacing goods retail sales by 0.6 percentage points [1] Group 3: Emerging Consumption Trends - New types of consumption, such as smart and green products, are expanding, with sales of smart wearable devices and robotic vacuum cleaners increasing by over 15% [1] - Sales of energy-saving dishwashers and organic food grew by more than 10% [1] - Retail sales of new energy passenger vehicles reached 1.296 million units, growing by 15.5%, with a penetration rate of 57.8% [1] Group 4: Inbound Consumption Growth - The scale of inbound consumption is continuously expanding, supported by policies like expanding visa-free entry and optimizing tax refunds for outbound travelers [1] - In the third quarter, the number of foreign visitors entering and exiting China reached 20.134 million, a growth of 22.3%, with visa-free entrants increasing by 48.3% to 7.246 million [1]

Core Viewpoint - China aims to enhance its international consumption environment by selecting around 15 pilot cities for development, with a focus on attracting inbound consumption and improving the overall consumer experience [2][11]. Group 1: Pilot Cities and Funding - The Ministry of Finance and the Ministry of Commerce have announced the selection of approximately 15 pilot cities to develop an international consumption environment, with central government financial support [2][11]. - The five existing international consumption center cities—Shanghai, Beijing, Guangzhou, Tianjin, and Chongqing—will receive a total subsidy of 200 million yuan each, while other eligible cities will receive 100 million yuan each [4][11]. Group 2: Key Focus Areas for Development - The construction of an international consumption environment will focus on enhancing high-quality consumption supply, optimizing foreign payment services, and improving international service levels [5][10]. - Specific measures include increasing the number of foreign card POS machines, establishing foreign currency exchange facilities, and enhancing multilingual signage and services in key areas [5][8]. Group 3: Addressing Shortcomings - The initiative emphasizes identifying and addressing gaps in the current consumption environment, such as the need for more foreign currency exchange points and foreign card payment options [8][10]. - The performance indicators for the initiative include the number of new foreign card POS machines and foreign currency exchange points established in key commercial areas and tourist attractions [8][12]. Group 4: Policy Integration and Effectiveness - The new measures will complement existing policies aimed at expanding inbound consumption, focusing on both hardware improvements and the development of a supportive soft environment [11][12]. - The initiative aims to create a more attractive international consumption destination by integrating local and international brands, enhancing service quality, and improving the overall consumer experience [12][13].

Core Insights - The article discusses the significant growth in inbound tourism consumption in China, particularly in cities like Shanghai, which has seen a 140% increase in tax refund applications compared to the previous year [4][6] - The Chinese government is initiating a project to build an international consumption environment in approximately 15 pilot cities, with a focus on enhancing the shopping experience for foreign tourists [6][8] Group 1: Inbound Tourism Growth - Shanghai Customs processed 64,000 tax refund applications in the first half of the year, a substantial increase of 140% year-on-year, indicating a strong recovery in inbound tourism [4] - The total sales amount for tax refunds in the first half of the year grew by 94.6% year-on-year, with souvenirs, trendy items, and tech products being popular among foreign tourists [6] Group 2: International Consumption Environment - The initiative to create an international consumption environment will focus on major cities like Shanghai, Beijing, Guangzhou, Tianjin, and Chongqing, which are already recognized as international consumption centers [8][9] - Each international consumption center city will receive a subsidy of 200 million yuan, while other eligible cities will receive 100 million yuan to support the development of this environment [8] Group 3: Key Measures and Implementation - The plan includes enhancing high-quality consumption supply, optimizing foreign payment services, and improving international service levels, such as multilingual signage and luggage storage facilities [9][10] - The initiative aims to address the needs of foreign tourists, such as the availability of foreign currency exchange points and foreign card POS machines, to facilitate smoother transactions [12][13] Group 4: Policy and Performance Metrics - The performance metrics for the initiative will include the number of new foreign card POS machines and currency exchange points, which are critical for improving the international consumption environment [12][16] - The government emphasizes the importance of aligning funding with performance outcomes, ensuring that financial support is contingent on the successful implementation of the initiative [16]

Core Viewpoint - The article focuses on the rapid growth of inbound consumption in China, driven by policies such as expanding visa-free access and optimizing tax refund processes, with an expected growth rate of over 40% this year, potentially boosting total retail sales by approximately 0.2 percentage points [2][4]. Group 1: Inbound Consumption Recovery - In 2024, inbound consumption is projected to recover to about 90% of 2019 levels, with inbound tourists expected to reach 132 million and total spending at $94.2 billion, which corresponds to 97.2% and 93.5% of 2019 levels respectively [4][12]. - The average spending per inbound tourist in 2024 is anticipated to be $714, slightly higher than $646 in 2023 but lower than $742 in 2019 [13]. - Major cities like Beijing are expected to exceed 2019 levels in inbound tourist numbers, while Shanghai and Shenzhen are projected to recover to over 80% of 2019 levels [13][14]. Group 2: Reasons for Growth - One key reason for the high growth in inbound consumption is policy support, including the expansion of visa-free access to 47 countries and mutual visa exemptions with 29 countries, resulting in a 14.9% increase in inbound travelers [5][20]. - The optimization of tax refund standards, such as lowering the minimum refund threshold to 200 RMB and promoting "immediate refund" services, has led to a 97.5% increase in sales of tax-refunded goods [5][22]. - Additional measures to facilitate inbound consumption include improved visa policies and services for foreign visitors, with cities like Beijing implementing innovative refund service models [5][22]. Group 3: Impact of Inbound Consumption - The expected increase in inbound consumption this year is estimated to add approximately 263.8 billion RMB to total retail sales, contributing about 0.2 percentage points to the overall retail sales growth [6][24]. - The combination of high consumption and low investment from foreign entities is seen as beneficial for restoring economic balance, with foreign investment declining by 15.4% while consumption grew by 6.9% [6][24]. - There remains significant potential for growth in inbound consumption, with its contribution to GDP currently at about 0.5%, compared to 1% to 3% in major global economies [7][24].

Group 1: Inbound Consumption Growth - Inbound consumption is expected to grow by over 40% this year, contributing approximately 0.2 percentage points to the annual retail sales growth[1] - By 2024, inbound tourists are projected to reach 132 million, with total spending of $94.2 billion, recovering to 97.2% and 93.5% of 2019 levels respectively[1] - The average spending per inbound tourist in 2024 is estimated at $714, slightly below the 2019 figure of $742[1] Group 2: Policy Support and Impact - The expansion of visa-free access has increased the number of countries with unilateral visa exemptions to 47, leading to a 52.1% increase in visa-free inbound tourists[3] - The optimization of tax refund policies has resulted in a 97.5% increase in sales of tax-refunded goods, with the number of beneficiaries rising 2.5 times[3] - The expected increase in inbound consumption this year is estimated at around 263.8 billion RMB, which is about 0.2 percentage points of the total retail sales[4] Group 3: Future Projections - In 2025, inbound tourist numbers and total spending are likely to see double-digit growth, surpassing 2019 levels[2] - The inbound consumption's share of GDP is projected to be around 0.5% in 2024, compared to 1% to 3% in major global economies, indicating significant growth potential[4]

Core Insights - Qingdao is becoming a popular destination for inbound consumption, driven by policies such as visa-free travel and optimized tax refund processes for foreign tourists [1][4] - The city has seen a significant increase in international consumer engagement, with a notable rise in the number of tax refund stores and foreign visitors [1][2] Group 1: Inbound Consumption Growth - Qingdao has added 42 new tax refund stores this year, more than doubling the previous count, which is attracting international consumers [1] - The city received 442,000 foreign visitors in the first nine months of the year, marking a 43.5% year-on-year increase [4] Group 2: Consumer Preferences and Trends - Foreign tourists are increasingly purchasing local products such as Tsingtao beer, with the Tsingtao Beer Museum seeing a 130% increase in foreign visitors during the recent holiday period [3] - High-end shopping areas like Hisense Plaza are attracting international customers, particularly from South Korea, due to the availability of rare and limited products [2] Group 3: Enhanced Consumer Experience - The city is improving service experiences for foreign visitors by providing multilingual signage and services, making it easier for them to navigate and enjoy their time in Qingdao [4] - Payment services are being optimized, with several malls, including Hisense Plaza, becoming payment-friendly for foreign tourists, allowing them to use their preferred electronic wallets [4][5]