China baby care products market is expected to grow at a compound annual growth rate of 9.24% over the forecast period to reach a market size of US$21.527 billion in 2026, from US$11.596 billion in 2019. Baby care products are the products that are used on infants and babies and include a wide range of baby skincare products, baby food products, baby hair care products, baby toiletries, and baby feeding products.
With the official abolition of the one-child policy in China in 2016-17, the China baby care product market is expected to grow in the coming years. Other factors to contribute to its growth are the growing awareness about child healthcare and hygiene and increasing employment which has resulted in the rising disposable income of people. The 3 child policy introduced by China in 2021 is also expected to play a major role in the market growth. However, besides the number of growth opportunities, the major restraint for the market is the growing number of scandals by the local companies and retailers which has created a concern about baby products safety in the region over the years.
The major factor that can contribute to the growth of the China baby products market is the end of the One-Child Policy. One Child Policy was brought in China in the 1970s- 80s to reduce the enormous population growth of the country that resulted in the total population of 969 million in 1980 from around 540 million in 1949. But in 2016, the country signed a new law and decided to end its former policy to cope up with the problem of aging and shrinking workforce. With this official abolition of the one-child policy, now the parents were permitted to have two children instead.
The reducing birth rate in China became a major concern when the government realized the problems concerned with an aging workforce pool and low birth rate. According to South China Morning Post, China's total births came down to 12 million babies in 2020 from 14.65 million in 2019. With this concern, the government introduced 3 child policy in 2021. The statistics reported that the fertility rate came down from 2.1 (for stable population growth) to 1.3 children which became a huge burden for the government and so it permitted parents to have 3 children. With this policy change, the China baby care product market stands a great chance to expand its market in the coming years.
According to sources from the Open Knowledge Repository by World Bank, China has the largest e-commerce platform in the world. With the age of digitalization, health concerns related to the COVID pandemic, and new-age trends, the online platform is expected to serve more in the coming years which can become a huge opportunity for the China Baby Care Product market in the coming years. The working paper represents that the growth of e-commerce platforms in China has not only determined higher consumption growth but it has also represented the growth of consumption of durable goods as well. The growing e-commerce platform has built a strong relationship between rural lands, inland regions, and poor households in the years which has reduced the inequality in consumption over the years and holds a great chance for the expansion of the China Baby Care product market in the coming years.
With the increase in employment in the country over the years, the disposable income of the people has also increased. Since disposable income determines the living standards of people, the growing trends have favored the growing living standards which have increased the spending on baby care products in China over the years. These trends stand favorable for the growth of the Chinese baby care products market in the coming years as well. One of the major contributors to the growing disposable income of the Chinese is its growing GDP over the years. World bank data represents that China's real GDP in 2020 was 2.3percent and the country will continue to register favorable statistics in the coming years as well due to increasing trade and investment in the region.
One of the major obstacles in the path of expansion of this market is the increasing number of scandals by local brands. Due to rising quality concerns, side effects of the products, etc. parents have become more conscious while purchasing baby care products which is expected to serve as a major restraint for the market. For instance, as per NutraIngredients Asia, in 2020 a local Chinese infant nutrition brand made into highlights of infant nutrition controversy when reports about infants suffering from eczema and skull deformities by consuming their protein powder came out. These concerns are expected to create hurdles in the growth of China's baby care products market in the coming years.
With the outburst of the COVID pandemic in the region, the Chinese baby care products market witnessed a slowdown initially. The declining birth rate from the pre COVID times and the disease pandemic together created many challenges for the baby care products market in China. But despite these challenges, the growing health and hygiene concerns amidst the pandemic kept the market going with the increasing purchases of diapers, baby food products, and other essentials. Besides that, the time to time news regarding lockdown and curfews initiated panic buying among the buyers with drastically increased the demand for essential baby care products in the market.
Market trends:
With the official abolition of the one-child policy in China in 2016-17, the China baby care product market is expected to grow in the coming years. Other factors to contribute to its growth are the growing awareness about child healthcare and hygiene and increasing employment which has resulted in the rising disposable income of people. The 3 child policy introduced by China in 2021 is also expected to play a major role in the market growth. However, besides the number of growth opportunities, the major restraint for the market is the growing number of scandals by the local companies and retailers which has created a concern about baby products safety in the region over the years.
Growth Factors
From one-child policy to 3 Child Policy, a major driving factor for the market:
The major factor that can contribute to the growth of the China baby products market is the end of the One-Child Policy. One Child Policy was brought in China in the 1970s- 80s to reduce the enormous population growth of the country that resulted in the total population of 969 million in 1980 from around 540 million in 1949. But in 2016, the country signed a new law and decided to end its former policy to cope up with the problem of aging and shrinking workforce. With this official abolition of the one-child policy, now the parents were permitted to have two children instead.
The reducing birth rate in China became a major concern when the government realized the problems concerned with an aging workforce pool and low birth rate. According to South China Morning Post, China's total births came down to 12 million babies in 2020 from 14.65 million in 2019. With this concern, the government introduced 3 child policy in 2021. The statistics reported that the fertility rate came down from 2.1 (for stable population growth) to 1.3 children which became a huge burden for the government and so it permitted parents to have 3 children. With this policy change, the China baby care product market stands a great chance to expand its market in the coming years.
Largest E-commerce platform to bring new opportunities for China baby care product market:
According to sources from the Open Knowledge Repository by World Bank, China has the largest e-commerce platform in the world. With the age of digitalization, health concerns related to the COVID pandemic, and new-age trends, the online platform is expected to serve more in the coming years which can become a huge opportunity for the China Baby Care Product market in the coming years. The working paper represents that the growth of e-commerce platforms in China has not only determined higher consumption growth but it has also represented the growth of consumption of durable goods as well. The growing e-commerce platform has built a strong relationship between rural lands, inland regions, and poor households in the years which has reduced the inequality in consumption over the years and holds a great chance for the expansion of the China Baby Care product market in the coming years.
Growing disposable income to serve as a big opportunity for market growth:
With the increase in employment in the country over the years, the disposable income of the people has also increased. Since disposable income determines the living standards of people, the growing trends have favored the growing living standards which have increased the spending on baby care products in China over the years. These trends stand favorable for the growth of the Chinese baby care products market in the coming years as well. One of the major contributors to the growing disposable income of the Chinese is its growing GDP over the years. World bank data represents that China's real GDP in 2020 was 2.3percent and the country will continue to register favorable statistics in the coming years as well due to increasing trade and investment in the region.
Restraints
Customers losing interest in the local brands due to Growing Scandals in the Region is the major restraint for the market:
One of the major obstacles in the path of expansion of this market is the increasing number of scandals by local brands. Due to rising quality concerns, side effects of the products, etc. parents have become more conscious while purchasing baby care products which is expected to serve as a major restraint for the market. For instance, as per NutraIngredients Asia, in 2020 a local Chinese infant nutrition brand made into highlights of infant nutrition controversy when reports about infants suffering from eczema and skull deformities by consuming their protein powder came out. These concerns are expected to create hurdles in the growth of China's baby care products market in the coming years.
Impact of COVID-19 Pandemic on the China Baby Care Products Market:
With the outburst of the COVID pandemic in the region, the Chinese baby care products market witnessed a slowdown initially. The declining birth rate from the pre COVID times and the disease pandemic together created many challenges for the baby care products market in China. But despite these challenges, the growing health and hygiene concerns amidst the pandemic kept the market going with the increasing purchases of diapers, baby food products, and other essentials. Besides that, the time to time news regarding lockdown and curfews initiated panic buying among the buyers with drastically increased the demand for essential baby care products in the market.
Key Segmentation:
By Product Type
- Baby Food
- Baby Care
- Baby Skin Care
- Baby Hair Care
- Baby Toiletries
- Baby Feeding and Nursing Products
- Safety and Convenience
By Distribution Channel
- Online
- Offline
Table of Contents
1. INTRODUCTION
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
5. CHINA BABY CARE PRODUCTS MARKET ANALYSIS, BY PRODUCT TYPE
6. CHINA BABY CARE PRODUCTS MARKET ANALYSIS, BY DISTRIBUTION CHANNEL
7. COMPETITIVE ENVIRONMENT AND ANALYSIS
8. COMPANY PROFILES
Companies Mentioned
- Kimberly-Clark
- Procter and Gamble
- Goodbaby International
- Human Kings Diaper Co. Ltd.
- Pigeon Corporation
- Nestle
- Abbott
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 84 |
| Published | January 2022 |
| Forecast Period | 2019 - 2026 |
| Estimated Market Value ( USD | $ 11.6 Billion |
| Forecasted Market Value ( USD | $ 21.53 Billion |
| Compound Annual Growth Rate | 9.2% |
| Regions Covered | China |
| No. of Companies Mentioned | 7 |
