China’s pet consumer market shows resilience and steady growth despite the economic headwinds faced by Chinese consumers, finds a USDA report.
Pet food remained the largest segment of the pet consumer market in 2024, with a share of 52.8% among all pet-related consumption.
In 2024, China’s pet market for dogs and cats reached $41.9 billion (302 billion yuan), marking a 7.5% increase from 2023, reads the report.
The pet food segment reached $22.2bn (159.5bn yuan), reflecting a 9.2% year-on-year increase.
US pet food products dominate, but domestic production grows
US pet food products retained a dominant market share of over 69% in the first 10 months of 2024 amid a rising domestic pet food manufacturing industry and competition from international markets.
Domestic pet food production
There are 200 certified pet food manufacturers in China, with an annual total production capacity of 1.12 million tons, according to the China Feed Industry Association.
A total of 23 provinces and regions produce pet food, in which Hebei province remain the largest producer of pet food in China, with over 429,000 tons per year.
Room for growth
From 2013 to 2024, the compound annual growth rate of China’s pet food market was 22.4%, far higher than the global average growth rate.
However, the USDA GAINS publication finds that pet food penetration in China remains around 20%, far below the 90% rates observed in developed markets like North America and Europe, indicating substantial room for growth.
More cats than dogs
China’s pet population reached 124.1 million in 2024, comprising 52.6 million dogs and 71.5 million cats.
The growing preference for cats over dogs reflects urban living constraints such as limited space and long working hours, particularly among younger generations.
“Future projections indicate a continued decrease in the total dog population.”
Spending habits
Annual consumption per pet also ticked upward, with average spending per dog increasing by 3% to $411 (2,961 yuan) and spending per cat rising by 4.9% to $281 (2,020 yuan).
Demographic shift
The market analysis showed that pet owner demographic is increasingly skewed toward younger generations, with significant representation from post-1990s (41.2%), post-1980s (26.5%), and post-2000s (25.6%) groups.
Those consumers prioritize the companionship of their pets and demonstrate a willingness to invest in premium products and services, note the authors.
Retail and distribution landscape
The offline pet retail sector showed modest growth in the first half of 2024, with the total number of pet stores reaching 81,534, up 1.6% year-on-year.
First-tier cities such as Beijing, Shanghai, Guangzhou, and Shenzhen accounted for 13% of the total store count, while new first-tier and second-tier cities together made up 45%.
Pet food sales continue to shift online, with major platforms like Taobao/Tmall and JD.com dominating the market.
Emerging live-streaming platforms, including TikTok, are gaining traction, reflecting a broader trend toward digital engagement among consumers.
Emerging market trends
The segmentation of China’s pet food market into high-end and low-price categories is becoming more pronounced, according to the report.
While high-end consumption remains stable, competition in the low-price segment has intensified, driving product innovation and price reductions.
Notably, middle-tier consumers are migrating toward these extremes, either upgrading to premium products or opting for increasingly high-quality low-cost options, comment the Chinese market specialists.
East China remains the largest consumer market, driven by its affluent population and robust demand for high-end pet food.
In contrast, Western China is an emerging growth area, fueled by improving living standards and a younger consumer base, as per the market review.
Imported versus domestic brands
In terms of brands, the staple dog food market is still dominated by imported brands, while the staple cat food market has seen a slight increase in the preference for Chinese brands, reads the publication.
Snacks and nutritional products are a key target for Chinese brands to gain market share.
Some 47% of dog owners have no brand preferences, while 27% only buy Chinese brands, and 18% only buy foreign brands.
As regards cat owners, 48% do not have brand preferences, 28% only buy Chinese brands, and 19% only buy foreign brands.
“Overall, the preference for Chinese brands has increased significantly, especially for cat owners.”
