Movie Production in China - Industry Market Research Report

The Movie Production industry in China is estimated to generate $6.0 billion in 2023. Revenue is expected to decrease at an annualized 5.0% over the five years through 2023. The rapidly rising in the previous years was due to consumption of power, and desire for cultural and entertainment products have fueled the industry's growth. In 2020, revenue is anticipated to decrease by 70.0% due to the negative influence of the COVID-19 pandemic. In 2021, with the recovery of box office of movies, revenue is expected to increase by 245.9% to $8.7 billion. In 2022, China's film market is even more deeply affected by the epidemic, and most theaters have the experience of shutting down due to lockdown. During 2023, with recovering of box office of movies, industry revenue is expected to increase by 42.1% to $8.4 billion. Chinese films have become popular and account for almost two-thirds of total movie tickets sold in China in terms of value. This growth has occurred due to the improved quality of domestic films featuring well-known Chinese actors and directors. Nonetheless, many Chinese-made films are still low-budget, with low commercial value, leaving high potential for improvements in quality. The industry includes 1,229 movie production companies employing 95,085 people with a total payroll of $775.4 million in 2023. As the effects of the COVID-19 outbreak abate, increasing consumer demand for movies and rising production quality and budgets are forecast to support growth in the Movie Production industry over the next five years. Revenue is anticipated to rise at an annualized 6.8% over the five years through 2028, to total $8.4 billion. Stricter copyright protection regulations and enforcement will likely lead to a more standardized market environment, which will also promote the industry's development.

Trends and Insights

• Rising household disposable income is helping the sector continue to grow.
• Chinese household disposable income has improved significantly in the past decade, and the film production industry will continue to develop along with China's economic growth and increasing cultural consumption. Feature films represent the most important product segment in the industry.
• Feature films usually last about 90 minutes, however recently there have been micro films that last about 5 minutes. Beijing generates the largest share of revenue.
• As a cultural exchange center, Beijing generates the largest share of revenue for the film production industry. A strong basis of competition is capital.
• Since the planning, production and post-production stages of a film all involve a large amount of capital, industry players compete with each other for funding and investment.

Industry Overview

Industry revenue has declined at a CAGR of 5.0 % over the past five years, to reach an estimated $6.0bn in 2024.

Trends and Insights

Rising household disposable income is helping the industry continue to grow Household disposable incomes in China have improved significantly over the past decade as China's economy has rapidly developed.

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

• The industry recovered from the impacts of the COVID-19 pandemic and start to grow rapidly
• Despite the rising price of movie tickets, visiting the cinema will remain an inexpensive form of entertainment compared with other leisure activities, like visiting theme parks.