A massive 6-meter tall Molly figure with blue eyes and a crown, themed merchandise from the Chinese blockbuster game "Black Myth: Wukong," traditional flower crown refrigerator magnets from the National Museum of China, quirky duck plush toys from the Beijing roast duck restaurant Quanjude, and advanced AI figures capable of conversation were among the diverse cultural goods showcased at the event.
Beijing Chaoyang Park Transformed into a 'Goods Paradise'
The First National Cultural Goods and Art Toy Festival took place on May 15 at Beijing's Chaoyang Park. Covering an area of approximately 20,000 square meters, equivalent to ten soccer fields, the festival featured trendy toys from major Chinese art toy IP companies like Labubu and Wakuku, as well as themed merchandise from national institutions such as the Beijing Palace Museum and the Dunhuang Three Thousand Retreat Museum. Over 10,000 art toys from various regions, including cultural goods selected by 31 provinces and autonomous regions, were on display.
Despite being a Friday afternoon, crowds continuously flocked to the venue to explore the cultural goods and art toys, highlighting the current state of China's expanding art toy and merchandise market.
This event, the first national-level exhibition of cultural goods and art toys in China, was organized by the Ministry of Culture and Tourism and the Beijing Municipal Government. Huozijing, deputy director of the Beijing Municipal Bureau of Culture and Tourism, stated at a press conference on May 9 that the event represents an important attempt for Beijing to establish itself as a hub for national cultural creative industries and to lead new consumer trends.
China's Art Toy Market Set to Reach 20 Trillion Yuan
In recent years, the market for art toys and related merchandise in China has experienced rapid growth. Known as "chaowan" (潮玩) in China, which translates to "trendy toys," the art toy industry is projected to surpass 110.1 billion yuan (approximately $24 billion) in sales by 2026, growing at an annual rate of 20%. This marks a more than 15-fold increase from 6.3 billion yuan in 2015.
The art toy industry in China has successfully combined a robust manufacturing supply chain with mobile platform-based fandom culture, enabling rapid commercialization of intellectual property (IP).
Notable brands include Pop Mart, which has grown into a global art toy brand with its whimsical monster character Labubu, as well as Top Toy under the Chinese version of Daiso, Miniso, and 52 Toys, which has received investment from the Chinese video platform Bilibili, among others.
The growth of the art toy market is driven by the increasing emotional consumption among younger consumers. Art toys and merchandise fulfill the collecting preferences and emotional expression desires of young people, providing them with a sense of psychological comfort. According to the market research firm iMedia Research, China's so-called "emotional economy" is expected to reach approximately 2.3 trillion yuan by 2025 and exceed 4.5 trillion yuan by 2029.
Chinese Goods Industry Evolving with 'Emotional Consumption'
The Chinese government is also viewing the cultural goods and art toy market as a new growth engine for domestic consumption amid sluggish economic conditions. In a consumer promotion plan announced last November, character and figure art toys were identified as one of ten sectors to be developed into a 100 billion yuan industry.
In China, art toys and merchandise consumption is perceived not merely as purchasing products but as engaging in cultural activities that involve emotional, aesthetic, and experiential consumption. The integration of pop-up stores, exhibitions, random draws, and social media culture has transformed art toys into an offline experiential consumption industry.
The Chinese government plans to categorize this as an "IP economy" centered on characters and content, fostering it as a type of service consumption linked to culture, tourism, and entertainment.
Labubu Leads Chinese IP Expansion Globally
Moreover, art toys are rapidly emerging as a new soft power for promoting Chinese culture. Moving away from the image of being a "paradise for counterfeit toys," China is evolving into a powerhouse of intellectual property. Pop Mart, which originated in China, is capturing the attention of young people in Southeast Asia, Europe, and the United States with Labubu, positioning itself as a leader in global toy industry trends. Nearly half of Pop Mart's revenue now comes from overseas.
A spokesperson for the Chinese Foreign Ministry noted that "more and more foreigners are understanding China and gaining emotional resonance," referencing Labubu's popularity. The Hong Kong South China Morning Post analyzed that China is at a turning point, similar to the growth phases of American brands like Disney and Marvel, and Japanese brands like Pokémon and Hello Kitty.
In particular, art toys are actively targeting the South Korean market, which has been described as an "IP desert." Following Pop Mart's success, Top Toy and 52 Toys have already entered Korea, and recently, Haiyuan opened a flagship store in Seoul's Seongsu-dong, seeking to expand into the Korean market. This indicates that local art toy IPs with global influence are lacking in Korea, allowing Chinese toy companies to gain a foothold in the market.
* This article has been translated by AI.
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