China
Emotional drivers unlock new consumption opportunities
By Guo Guanhua, Wang Jie
A significant shift is underway in China’s consumer landscape, with emotional fulfillment emerging as a powerful driver of economic growth. This trend, creating a new frontier — or “blue ocean” — for consumption, is characterized by consumers prioritizing emotional satisfaction over purely material utility. Purchases such as limited-edition seasonal beverages, solo travel experiences, and meticulously crafted collectibles exemplify this movement.
“For me, buying a new co-branded bubble tea during the week and attending a traditional craft workshop on the weekend is a great way to unwind,” explained Qiao Ziyan, a Beijing-based professional born in the 1990s. Her sentiment resonates with many young consumers.
According to a 2025 report on Gen-Z emotion-driven consumption jointly released by the Shanghai Youth and Children Research Center and other institutions, the top five categories of commodities that deliver emotional value include: physical goods such as plush toys, scented products, and stress-relief gadgets; experiential spending like concerts, stand-up comedy shows, and psychological counseling; social consumption; digital consumption such as avatars and virtual pets; and IP- or co-branded purchases.
Globally, emotion-driven consumption has already spread across multiple sectors, from designer toys and retail to culture and tourism, pets, technology, and dining, emerging as a powerful new engine of consumption growth.
Liu Shengzhi, a communication professor at Beijing University of Posts and Telecommunications, said that consumer values have shifted from practicality and frugality to emotional experience. Young people today are more willing to spend money on rewarding themselves and fulfilling their emotional needs.
Today, emotion-driven consumption is constantly giving rise to new scenarios and business models.
Take Perler beads as an example. Once seen as a children’s educational activity, this craft has quickly become a hit among young people. It is highly social, as people make creations for themselves or give them as gifts to friends.
Data shows that since 2026, searches for multiple keywords related to Perler beads have surged more than 10 times year-on-year, and transaction orders have doubled. People aged 20-25 account for the largest share of searches for Perler beads experiences, at nearly 40 percent.
Meanwhile, searches for keywords related to pet photography have risen by over 40 percent year-on-year. Those aged 25-35 make up more than half of all searches, becoming the main consumer group.
Simultaneously, “healing travel” has gained immense popularity, as individuals seek respite from urban pressures in mountains, lakes, ancient towns, and villages, finding solace in nature and simpler lifestyles. AI emotional companionship services are also booming, using technology to break the limits of time and space and offer accessible emotional relief.
New experiences such as intangible cultural heritage handcraft workshops and pet companionship have also gained traction.
Together, these new formats continue to enrich the scope of emotion-driven consumption, catering to the personalized needs of different groups.
In 2025, China’s mini-drama sector experienced explosive growth, attracting nearly 700 million domestic users and achieving a projected market size exceeding 100 billion yuan ($14.63 billion), doubling the figure in 2024. Popular filming locations of these micro-dramas have sparked a “micro-drama-themed tourism” trend, boosting local boosted consumption and driving upgrades in related industries.
“Cute, adorable WAKUKU, the fresh and stylish SiiNONO, and ZIYULI with its Hanfu-inspired elements… these trendy toys are hard to resist,” said Zhang Wenbing, a Gen-Z consumer, at a pop-up event near THE BOX shopping mall in Beijing’s Chaoyang district, where he purchased several items.
Emotion-driven consumption has solidified into a major economic driver. According to iiMedia Research, China’s “emotion-driven economy” reached 2.3 trillion yuan in 2024 and is expected to exceed 4.5 trillion yuan by 2029.
The ACGN (Anime, Comics, Games, Novels) derivative economy, featuring designer toys and figurines as flagship products, has shown outstanding performance. It achieved a market size of 168.9 billion yuan in 2024, representing a significant year-on-year increase of 40.63 percent.
“The ACGN derivative economy revolves around IP symbols as a core connection,” explained Zhou Zhiqiang, a professor at Nankai University’s School of Literature. “It transforms emotional resonance from the virtual world into tangible consumption. Through activities like collecting and social interaction, it precisely meets Generation Z’s core needs for emotional connection, self-expression, and a sense of belonging.”
This consumption trend is also reshaping commercial spaces, industrial ecosystems, and employment patterns. Major cities like Shanghai and Guangzhou have revitalized older shopping centers by introducing ACGN stores, night schools, and stress-relief spaces, boosting revenue per square meter by two to four times.
According to e-commerce data from short video platform Douyin, consumption trends focused on emotional value are fueling a unique business phenomenon known as interest-driven industrial clusters, boosted by engaging content that stimulates consumer desire.
Over the past year, more than 9,800 merchants in these clusters have grown their sales from zero to over one million yuan, while over 200 have expanded from one million to more than 100 million yuan.
The platform is now home to 491 interest-driven industrial clusters with annual sales surpassing 100 million yuan. Among them, 108 are based in county-level regions, accounting for 1/4 of total cluster sales.
Data from Xianyu, China’s leading secondhand and lifestyle services platform, shows that new occupations centered on emotional support have seen strong growth.
Over the past year, the number of sellers offering emotional companionship services rose by 42.91 percent year on year, with their per capita income increasing by 7.43 percent.
In total, 96 new types of “emotional support occupations” have emerged, ranging from medical accompanists and pet sitters to emotional healing therapists, greatly expanding new employment channels.
China
From cargo carriers to power banks: China’s containers energize new industries
By Wang Weijian, Cheng Yuanzhou, Dou Hao, People’s Daily
China has long been the backbone of the global container industry. In 2024, the country produced more than 8.1 million twenty-foot equivalent units (TEUs), up 268.2 percent year on year, accounting for 96 percent of global output.
Today, these steel structures transcend their traditional role as standardized shipping units, evolving into creative urban modules and critical infrastructure for renewable energy sectors.
At Dong Fang International Container’s Jiangsu facility, rows of newly manufactured units await shipment to European clients via Shanghai’s Yangshan Port. Though externally identical to standard containers, their interiors reveal sophisticated battery arrays integrated with safety systems, thermal controls, and environmental management technology — essentially transforming them into massive “power banks.”
“Modern container manufacturing extends far beyond welding steel boxes,” explains Zhai Jianxing, the company’s technical director. “Material science is now paramount.” Energy storage containers demand radically different specifications from shipping units: requiring 20+ year lifespans (versus 2-year warranties for standard units) and meeting rigorous standards for explosion prevention, fire resistance, and corrosion protection.
To meet these challenges, manufacturers have pioneered advanced materials. Traditional weather-resistant steel with triple-layer paint has been replaced by zinc-aluminum-magnesium coated steel, offering self-healing properties and exceptional resilience in high-salinity coastal environments.
Other innovations have followed. Ceramic wool insulation has been added for fire protection; environmentally friendly water-based coatings have replaced traditional oil-based paints; and bamboo flooring has been introduced to reduce reliance on timber resources.
These advancements enable containers to serve diverse new functions across renewable energy generation, computing centers, and modular construction. Beyond industrial applications, containers are revitalizing communities.
In Huanghu township, Hangzhou, east China’s Zhejiang province, two stacked containers sit in an open space in a smart agriculture park. Inside, lettuce grows on metal racks while tomatoes thrive under artificial lighting. This mobile, digitally controlled plant factory offers a striking example of innovation.
“Through precise environmental control systems, we tailor light formulas, nutrient solutions, and temperature and humidity conditions for plants,” said Lei Lina, head of the facility. As a flexible cultivation unit, container-based plant factories can be assembled and transported like building blocks, making it easier to supply fresh produce locally.
Meanwhile, along the East Taihu Lake in Suzhou, Jiangsu province, visitors are drawn to a stylish cafe. Built from four specialized containers, the structure combines aesthetic appeal with practical functionality.
“To adapt these containers for civilian use, we incorporated soundproof panels, fire-resistant magnesium oxide boards for flooring, and high-strength steel just 6 millimeters thick for structural support,” said Qian Xiaohui, head of Suzhou Zhongnan Steel Structure Co., Ltd. “This ensures safety while maximizing interior space.”
The expanding versatility of containers is closely tied to advances in smart manufacturing.
At an intelligent factory of a logistics equipment company under China International Marine Containers (CIMC) in Ningbo, Zhejiang province, more than 500 robots perform welding, assembly, and painting with millimeter-level precision. Steel plates are transformed into standard dry cargo containers along automated production lines.
“By leveraging 5G, artificial intelligence (AI), and digital twin technologies, we’ve achieved automated and intelligent production,” said Zhang Kechao, the company’s general manager. “Per capita efficiency on a single production line has increased by over 30 percent, and capacity utilization has reached 95 percent.”
At CIMC’s refrigerated container base in Qingdao, east China’s Shandong province, AI-powered industrial models enable the production of a high-end refrigerated container in just 220 seconds on average. In Xinhui, south China’s Guangdong province, more than 300 automated spray guns operate on fully automated powder-coating lines, ensuring seamless and comprehensive coverage.
From a “green revolution” in materials to breakthroughs in application scenarios and upgrades in intelligent manufacturing, the transformation of China’s container industry reflects the integration of new quality productive forces into traditional sectors.
As technologies such as AI and the Internet of Things continue to develop, this “Made-in-China” product is poised to play an even greater role in global trade, energy transition, and urban development.
China
AI and structural upgrades forge a more robust Chinese steel industry
By Wang Yunshan, People’s Daily
China’s steel industry is accelerating its transformation through structural upgrades and the deep integration of artificial intelligence (AI), strengthening its capacity to supply high-end materials for advanced manufacturing.
At Shougang Zhixin Qian’an Electromagnetic Material’s production line, robotic arms handle coils of high-performance electrical steel with precision. Among these is an ultra-thin variant measuring just 0.1 millimeters — the world’s first when launched in August 2025.
Electrical steel is a key material for new energy vehicle motors, high-end home appliances, and ultra-high-voltage transformers, said An Dongyang, chief technical expert of the company.
“This material is critical for new energy vehicle motors, premium appliances, and ultra-high-voltage transformers,” explained An Dongyang, the company’s chief technical expert. Developed to meet demands for smaller, more powerful EV motors, the innovation attracted immediate interest from over a dozen automakers. Compared to standard 0.25mm steel, it reduces energy loss by over 30% and significantly improves efficiency, extending vehicle range.
“Today, one in three new energy vehicles in China uses this product” An said, adding that specialized applications for humanoid robots are now being explored.
As a cornerstone of China’s industrial system, the steel sector has in recent years stepped up efforts to upgrade its product mix and expand the supply of advanced materials. In 2025 alone, nearly 20 world’s first steel products were launched.
China’s top steel manufacturers are powering major national breakthroughs across key industries. Masteel, a subsidiary of China Baowu Group, produces high-speed railway wheels for the CR450, the world’s fastest bullet train. Pangang Group Company Limited, under Ansteel Group, supplies special blade steel for China’s first homegrown F-class 50MW heavy-duty gas turbine. Nanjing Steel Group provides exclusive steel plates and sections for Adora Magic City, China’s first large domestically built cruise liner.
These developments reflect a broader shift in demand. In 2025, steel used in construction accounted for 49 percent of total demand, down from 58 percent in 2020, while manufacturing’s share rose from 42 percent to 51 percent.
“For the first time in China’s history, steel demand from manufacturing has surpassed that from construction,” said Jiang Wei, vice chairman and secretary-general of the China Iron and Steel Association. “This reflects the industry’s proactive adaptation to changing demand and its push toward higher-quality development.”
During the 14th Five-Year Plan period (2021-2025), China’s steel self-sufficiency rate remained close to 100 percent, ensuring strong support for the broader economy.
Alongside product upgrading, digital and intelligent technologies are reshaping production processes.
At a plant of HBIS Group’s Tangsteel Company in Tangshan, north China’s Hebei province, molten steel at 1,650 degrees Celsius poured from a converter. In the control room, chief expert Zhou Quanlin monitored operations on a screen. With a few taps, the system autonomously completed key smelting processes.
Achieving precise temperature control in steelmaking is highly complex. Last year, HBIS Group integrated large AI models into its proprietary platform to develop an intelligent steelmaking system, now applied in core production stages.
“In the past, we relied on experience, watching the flame and judging when and how much material to add,” Zhou explained. “Now, the AI model analyzes vast historical data along with real-time signals such as furnace sound and gas emissions to precisely control reactions inside the furnace.”
The results have been significant: since deployment, steelmaking efficiency has increased by 10.3 percent, while overall energy consumption has dropped by about 10 percent.
AI is reshaping every link of China’s steel industry, far beyond steelmaking itself. Steel manufacturer Baosteel uses an AI cloud surface inspection system. It accurately spots 96 percent of critical material flaws, and cuts missed inspections by 35 percent.
Meanwhile, Shanghai Steel Information Technology Co., Ltd. leverages AI for smarter supply chain operations. It handles more than 10 million daily transactions with over 95 percent accuracy, and completes billions of intelligent trade matches efficiently.
Today, AI integrates across steel production, manufacturing, and operations, accelerating industry-wide intelligent transformation. Over 95% of major steel enterprises tracked by the China Iron and Steel Association have incorporated digitalization into core strategies, shifting from pilot projects to systematic implementation.
As a pillar industry of the national economy, the steel sector boasts massive data resources and diverse industrial application scenarios, and thus serves as a perfect platform where next-generation AI can make a difference, said Zhang Longqiang, president of the China Metallurgical Information and Standardization Institute.
“AI-steel integration holds immense long-term potential,” he added. “With large language models permeating production chains, industry-wide intelligent upgrading will accelerate significantly.”
China
Beyond ‘menu or table’: how middle powers fuel global multipolarity
By Huan Yuping, People’s Daily
Recently, leaders of the five Nordic countries and Canada issued a joint statement, announcing plans to advance shared principles and interests through regularized, multi-level meeting. International observers view this as an emerging “middle power” alliance to reduce dependence on the United States.
“If we are not at the table, we will be on the menu.” Canadian Prime Minister Mark Carney’s stark warning earlier this year captured the growing anxiety among traditional U.S. allies amid resurgent power politics and shifting global rules. His prescription? Middle powers must awaken.
To understand this geopolitical shift’s implications, three questions merit examination.
First, What defines middle powers?
Occupying the global hierarchy’s middle tier, these states lack superpower dominance but resist subordination to major powers. They possess meaningful economic strength, diplomatic agency, and regional influence.
Their growing assertiveness reflects fundamental global transformations. Intensifying geopolitical competition has destabilized international systems, while hegemonic actions increasingly threaten core national interests. Compelled to protect their sovereignty, middle powers are prioritizing strategic autonomy and mutual cooperation.
Second, how does their rise reshape global dynamics?
This activism accelerates multipolarity’s irreversible advance. A 2026 report by Australia’s Institute for Economics and Peace shows that the collective rise of middle powers is profoundly reshaping the global power balance, and will continue to be a key force influencing the direction of the international order over the next two decades.
True multipolarity extends beyond power redistribution: it enables diverse development models, governance approaches, and civilizational coexistence. Historically dominated by few powers, today’s international system benefits as middle powers counterbalance unilateralism through coordinated positions.
Yet caution remains: Cooperation shouldn’t undermine multilateralism. If middle-power alliances prioritize exclusive interests over universal rules, they risk becoming new factional blocs — tools for heightened geopolitical rivalry. Critically, lasting autonomy requires confronting structural dependencies on hegemonic powers, not merely reacting to their policies.
Third, how can middle powers strengthen global stability?
Faced with a world marked by turbulence and transformation, middle powers certainly have a legitimate need to safeguard their own rights and interests. However, such efforts should proceed from the bigger picture, addressing the root causes in order and governance, and helping shape an overall environment more conducive to peace and development.
They should make efforts to build an equal and orderly multipolar world. Regardless of size or strength, all countries are equal stakeholders in the international community, and should abide by universally recognized international rules. Only in this way can the “awakening” of middle powers be transformed into a driving force for cooperation, and deliver sustained benefits to world peace and development.
They must firmly uphold international rule of law and fairness and justice. In today’s international relations, the rule of law serves as the fundamental guarantee and the essential foundation for fairness and justice. Middle powers should defend their legitimate rights and interests within the framework of international law, fully, faithfully, and comprehensively observe the purposes and principles of the UN Charter and other universally recognized basic norms governing international relations, and firmyly reject double standards. Only then can they effectively uphold the authority and seriousness of international rule of law.
They need to stand united in opposing hegemonism and power politics. The most prominent global challenge today lies in hegemonic acts that gravely destabilize the international order. If middle powers truly wish to play a greater and more positive role in international affairs, they should unite with the broader international community, uphold the principle that international affairs should be discussed and handled by all countries together, build the broadest possible consensus for defending multilateralism, and speak with one voice in safeguarding international order.
Transcending the “menu or table” paradigm demands addressing root causes. By abandoning zero-sum mentalities and embracing inclusive multilateral cooperation — jointly pursued and mutually beneficial — middle powers can forge stability through consensus. This constructive approach will sustain their vital contributions to global peace, stability, and shared prosperity.
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