This article is adapted from China Playbook, our subscription-based strategy hub for decision-makers navigating China’s ever-shifting consumer landscape.
Following a landmark policy blueprint issued by the National Medical Products Administration (NMPA) in late 2025, China's cosmetic industry is pivoting to a high-quality development model.
By 2030, the government aims to achieve international-standard supervision. The most immediate impact for global brands includes reduced time-to-market for China launches, a fast-tracked R&D pipeline, a focus on the silver economy and the gradual phasing out of animal testing requirements.
China is already the world’s largest beauty market by transaction volume, exceeding 1 trillion RMB in 2024. For years, the market was a battleground of traffic arbitrage and price wars. Today, the NMPA is clearing a path for a more sophisticated race.
We can break this transformation down into three core strategic directions:
In a major win for the first-launch economy, China is rolling out the red carpet for international niche brands and new products.
The government is moving toward an early intervention model for R&D. Priorities will be given to ingredient innovations.
Perhaps the most significant shift is the government's direct call for R&D into the silver economy. With China's ageing population accelerating, the policy move pivots from viewing ageing as a demographic crisis to treating it as a high-value market opportunity.
Most marketing teams are built around Gen Z behaviours, but older consumers aren't living their lives on Douyin or Rednote (Xiaohongshu) in the same way. Marketers need to map their journey, not just project our youth-centric biases onto them.
Watch the full video on China Playbook.
The policy proposal sets a clear path toward international regulatory alignment by promoting animal testing exemptions.
Digitalised and personalised labelling is no longer just a compliance checkbox; it is the new baseline for consumer trust. In a market saturated with clean beauty and dermatology claims and social media hype, the NMPA is mandating traceability and accountability.
Starting in February 2026, a pilot for electronic labelling will begin in selected cities. These labels will include multimedia information to help consumers, including the older population, read and trust product data.This is a move from traffic-driven to value-driven growth. The NMPA is effectively raising the bar for local players while lowering the barriers for high-quality global innovators.
For international stakeholders, this is the time to explore, not wait. A more regulated environment isn't a warning—it's an opportunity to sharpen your value proposition.
Brands that lead with credibility and back their claims with technical rigour will be the ones that earn the loyalty of China’s increasingly discerning (and ageing) consumers.
This article is adapted from our subscription-based strategy hub, China Playbook. Read the full article here with insights and takeaways from our senior strategist, or click the button below to subscribe for free updates.
Header image via Gemini