China has set out a five-year strategy to overhaul its retail sector as part of broader efforts to strengthen domestic demand and generate employment.
Under the new guideline, authorities aim to build a modern retail system and develop several globally competitive retail enterprises by 2030.
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The envisaged system is expected to combine quality goods, better services and greater use of intelligent, convenient technology.
State news agency Xinhua reported that physical shops are meant to double as spaces for leisure, immersive experiences, entertainment and socialising, while online platforms are to evolve into standardised outlets for premium products.
The plan’s core priorities include structuring the industry’s overall layout, encouraging fresh supply and generating new consumer demand.
On the structural side, focus will fall on broadening so-called “15-minute life circles”, which give residents access to essentials such as supermarkets, convenience stores and wet markets within a short walk, alongside boosting consumption in smaller cities and upgrading retail infrastructure in county-level markets.
The guideline urges retailers to tighten quality control and traceability across procurement to boost product standards.
This includes stricter supplier vetting, development of private labels, clearer quality declarations, and tougher action against counterfeit goods sold both online and offline.
Retailers are also encouraged to offer additional services such as personalised products, home delivery and assistance for elderly shoppers.
On generating demand, the plan calls for renewal of ageing commercial districts, enhancements to pedestrian zones and shopping areas, and support for upgrading facilities at malls, department stores and large supermarkets.
It also supports improved connections between retail hubs and transport links or tourist attractions via walkways and underground routes.
Given rising interest in “China Travel” and “China Shopping” trends, fuelled by relaxed visa rules and easier entry for visitors, the guideline proposes expanding tax-refund outlets for departing travellers and setting up dedicated zones for quality export goods.
Larger retailers will receive backing to expand overseas through their own networks, acquisitions and partnerships.
The strategy also emphasises digital transformation, pushing for full digitalisation of purchasing, inventory, sales, logistics and distribution, plus new formats such as smart shopping assistance, drone deliveries and automated vending.
China intends to generate substantial urban employment while keeping the surveyed jobless rate below 5.5% over the coming five years, with retailers encouraged to stabilise staffing, expand formal contracts and support disadvantaged workers.
The initiative aligns with China’s 15th Five-Year Plan, which targets higher household consumption and stronger domestic demand between 2026 and 2030.
