Adam Roseman, founder of ARC China, recently discussed China’s consumer industry in a newsletter article.
“China’s consumer sector is something of a defensive play,” he wrote. “But DBS Group Research claims that the consumer sector provides ‘beauty of both sides.’ To the somewhat poetic DBS analysts consumer companies offer ‘better resilience during the harsh times as well as fruitful returns whenever skies clear again.’
“More practically, the Chinese government favors rebalancing economic growth toward consumption. To that end, it is pursuing policies that increase the minimum wage, limit individual medical costs, accelerate urbanization with new transportation systems, and build millions of units of affordable housing.”