100 Billion Pet Market Booms: Chinese Pet Brands Make Strong Overseas Forays
Views: 0 Author: Site Editor Publish Time: 2025-11-18 Origin: Site
As post-90s and post-00s generations regard pets as family members, and niche tracks like pet funerals and pet insurance grow by over 30% annually, China’s pet economy is entering a golden age from "functional consumption" to "emotional consumption." In 2025, China’s pet market size is expected to exceed 811.4 billion yuan, and surge to 1.15 trillion yuan by 2028.
The Logic Behind the 100 Billion Market Boom
1. Generational Consumption Shift: Young People Drive the "Pet Economy"
The 2025 China Pet Industry White Paper shows that post-90s and post-00s account for over 60% of pet owners. They view pets as "fur babies," with an average annual spending of over 2,800 yuan per pet.
Behind this generational shift is a complete transformation of pets’ roles—from "guardians" to "emotional anchors," and from "functional needs" to "anthropomorphic services." For example, pet TCM hospitals use "bee therapy" and "acupuncture" to treat pet pain; despite hundreds of yuan per session, demand outstrips supply. Pet funeral services have moved from niche to mainstream, with businesses like cremation diamond customization and souvenir production growing by over 30% annually.
2. Consumption Structure Upgrade: From "Eating Enough" to "Living Well"
In 2024, China’s urban pet consumption market reached 300.2 billion yuan, with food accounting for 52.8%. However, the medical and service sectors are growing faster. The pet insurance market has expanded from 210 million yuan in 2017 to nearly 5 billion yuan in 2025; companies like ZhongAn Online have achieved over 50% year-on-year growth in premium income through the "pet insurance + medical services" model.
Additionally, the pet smart products market is booming. High-tech products such as smart feeders and GPS trackers have seen 40% annual sales growth. Brands like PETKIT raised over millions of US dollars via crowdfunding for a single product on Indiegogo, setting a platform record.
3. Rise of Niche Tracks: Niche Needs Spur New Blue Oceans
Aquatic, reptile, and exotic pet markets have become new growth engines. In 2024, 12% of pet owners keep exotic pets, with reptiles like turtles, snakes, and geckos growing by 15% annually. Demand for pet health products is surging—grain-free formulas and customized nutrition plans have become mainstream, driving the functional pet food market to grow by over 20% annually. For instance, Mars China launched breed-specific food for Corgis to address lumbar health issues, achieving over 100 million yuan in annual sales for the single product.
Chinese Brands’ Strong Overseas Expansion
Data from China Customs shows that in the first 8 months of 2025, China’s pet food exports increased by 6.22% year-on-year in volume but decreased by 3.33% in value, showing a "volume up, price down" trend.
This is mainly due to the transition pain of China’s pet industry from OEM exports to brand-based overseas expansion. In the past, China’s exports focused on basic pet food, while high-value-added categories like dog/cat canned food relied heavily on imports.
Today, leading enterprises such as China Pet Foods and GuaiBao Pet are gradually improving their premium capacity through the "ODM + independent brand" dual-driver model.
Currently, China’s global layout in the pet sector has achieved three major breakthroughs: production capacity, channels, and branding.
Global Production Capacity
Chinese enterprises have set up factories in Southeast Asia and New Zealand to reduce tariffs and logistics costs. For example, Petty Group built factories in Vietnam and Cambodia, sourcing raw cowhide and chicken locally, cutting costs by 15% compared to domestic production.
Diversified Channels
Cross-border e-commerce has become the main overseas channel, with Amazon, TikTok, and DTC independent sites contributing over 60% of sales. Companies like Teemo Tech integrate global digital media resources through their "Teemo Cloud" SaaS tool to help brands accurately target markets—e.g., launching natural organic pet food for Europe and the US, and affordable fish-based cat food for Southeast Asia.
Brand Localization
Chinese brands enhance premium capacity through cultural integration. For instance, "Petstar" (under Tianyuan Pet) incorporates intangible cultural heritage elements into pet products, with lion dance cat trees selling out instantly. PETKIT partnered with Chewy in the North American market to launch smart water fountains, achieving over 200 million US dollars in annual sales through localized marketing.
China’s Key Pet Market Strategies: Tripartite Hegemony in North America, Europe, and Southeast Asia
North American Market: With 70% pet household penetration, high-end frozen dry food averages over 50 US dollars per kg. Chinese brands enter with cost-effectiveness—e.g., Crazy Puppy seizes market share via Temu’s "7-day delivery" service.
European Market: Environmental demands drive niche tracks like organic cat litter and biodegradable packaging. Chinese PLA biobased material enterprises have doubled orders; the EU’s requirement for over 60% pet food packaging recyclability is promoting industrial upgrading.
Southeast Asian Market: Demographic dividends and e-commerce penetration are dual growth drivers.
Conclusion
The boom of the 100 billion pet market is a microcosm of China’s economic transformation and upgrading. From OEM exports to brand overseas expansion, and from basic products to high-tech smart goods, Chinese pet brands are leveraging innovation as a spear and culture as a shield to carve out new tracks in the global market.
In the future, with the deep implementation of the RCEP agreement, the expansion of cross-border e-commerce channels, and young consumers’ pursuit of emotional consumption, Chinese pet brands will surely leap from "world factory" to "global brands," writing a new legend of Made in China.