Q1 China Cosmetics Export Soars 14.1%, Domestic Brands Capture New International Market Track

Based on the continuous growth trend of China's cosmetics exports in recent years, Chinese cosmetics going global has gained momentum. Under the current domestic market environment of steady growth, China's cosmetics industry has become more determined to explore emerging markets and seek international development.

In 2024, the total domestic cosmetics consumption amount slightly declined, but domestic Chinese brands' sales within China rose against the trend, showing signs of domestic substitution. Meanwhile, China's cosmetics exports achieved a gratifying growth of 10.8%, laying a solid foundation for the start of 2025.

On April 16, 2025, the National Bureau of Statistics released retail data for consumer goods: in Q1, retail sales of cosmetics by enterprises above designated size reached 114.9 billion RMB, up 3.2% year-on-year, restoring positive growth. Regarding import and export, data from the China Chamber of Commerce for Import & Export of Medicines and Health Products showed that in Q1 2025, China's cosmetics trade import and export total was 5.6 billion USD, a 1.6% increase compared to last year. Imports totaled 4.03 billion USD, down 3.1% year-on-year, while exports reached 1.69 billion USD, up 14.1% year-on-year.

However, this year's foreign trade situation faces many uncertainties. Against this backdrop, the cosmetics supply chain will face unprecedented pressure, and cosmetics companies will encounter a series of development challenges. China's cosmetics industry is bound to experience "growing pains" to find breakthrough solutions within the new international economic and trade framework.

Continued Adjustment in Imports

Since reaching a peak growth rate of 67% in 2018, China's cosmetics import growth has continuously slowed, entering negative growth since 2022. In Q1 2025, import volume declined 3.1% year-on-year, continuing the contraction trend. The top import sources remain concentrated in Europe, America, Japan, and South Korea, with the top five countries being France, Japan, South Korea, the United States, and the United Kingdom, accounting for 80.2% of total imports.

In Q1, cosmetics imports from France totaled 1.15 billion USD, representing 29.6% of total imports. After three consecutive years of decline (2022-2024), imports from France saw a 2.6% year-on-year increase, indicating stabilization and recovery. Meanwhile, Japan's cosmetics exports to China continued their downward trend, falling 12.1% year-on-year in Q1 after averaging a 19.8% annual decline over the past three years. The South Korean market rebounded, posting a 4.3% increase year-on-year in Q1 after three years of negative growth.

However, the United States' cosmetics exports to China remain sluggish. Since 2022, U.S. exports have declined three consecutive years by -1.2%, -25.0%, and -3.4%, respectively. In Q1 2025, the year-on-year decline widened to 20.5%, the largest drop among China's top ten cosmetics import sources. The U.S. exported 370 million USD of cosmetics to China in Q1, only about 60% of the volume in the same period of 2021.

China's cosmetics import markets ranked sixth to tenth are Italy, Spain, Belgium, Thailand, and Germany, accounting for a combined 11.8%. Thailand entered the top ten import source countries for the first time, exporting 60 million USD of cosmetics to China in Q1, a record high for the same period, with a 34.2% year-on-year growth rate—the highest among the top ten import countries.

Notably, the Thai brand MISTINE has performed outstandingly since entering the Chinese market in 2016. Its star product, the "Little Yellow Hat" sunscreen, has led the Chinese sunscreen market continuously since 2021. Blush and lipstick products are also popular among consumers, showing strong market competitiveness. Industry experts say the excellent performance of Thai cosmetics in China reflects the rapid rise of the ASEAN beauty industry.

Regarding imported product categories, consistent with previous trends, skincare remains the largest imported cosmetics category in Q1. Perfumes have surpassed body care products for the first time, becoming China's second-largest imported cosmetics category. Hair care products showed the largest import growth, increasing 22.9% year-on-year, with import value reaching 210 million USD, reversing last year's 4.7% annual decline.

Among 21 subcategories of imported cosmetics, nine achieved positive growth. Notably, nail cosmetics and shaving preparations grew sharply by 128.9% and 70.3%, respectively, compared to the same period last year. France is the largest import market for nail cosmetics, achieving 71.7% growth in Q1, while Germany posted an ultra-high growth of 274.4%, driving the overall import increase of nail cosmetics. The main import markets for shaving preparations are Italy, the UK, Japan, and the US, with the US exports to China growing an astonishing 1765.6% in Q1 and export value reaching 58.1% of the total for 2024.

Steady Growth in Exports

In Q1 2025, China's cosmetics exports performed as expected, reaching 1.69 billion USD, a 14.1% year-on-year increase. The top five export markets were the United States, Hong Kong (China), Indonesia, the United Kingdom, Japan, and South Korea, accounting for 45.9% of China's total cosmetics exports.

The United States and Hong Kong remain China's top two cosmetics export markets. In Q1, exports to the U.S. reached 330 million USD, accounting for 19.2% of total exports; exports to Hong Kong were 190 million USD, or 11.1%, with the two markets combined accounting for over 30%, significantly ahead of others.

Exports to the U.S. continued growing, with Q1 up 18.4% year-on-year, accelerating compared to previous years and marking five consecutive years of positive growth. In contrast, exports to Hong Kong declined 13% year-on-year in Q1 after growth of 11.4% in 2023 and 4.2% in 2024, showing some market retreat.

Of note, China's exports to Indonesia have maintained rapid growth in recent years. Since 2021, the Indonesian market has performed well, ranking as China's fifth-largest cosmetics export market in both 2023 and 2024. In Q1 2025, exports to Indonesia surged 147.9% year-on-year, with the single quarter's export value reaching 30% of the total for last year, fully demonstrating China's cosmetics competitiveness and growth potential in the Indonesian market.

China's cosmetics import markets ranked sixth to tenth are the Netherlands, Russia, South Korea, Thailand, and Malaysia, totaling 14.6%. Exports show differentiated development trends: exports to Russia have been growing since 2021, with only slight growth of 0.7% in 2024, but rebounded strongly in Q1 2025 with a 42.5% increase. Exports to South Korea maintained a decade-long growth cycle but stagnated in 2024 and declined 6.9% year-on-year in Q1 2025—the first negative growth in nearly ten years.

Similar to imports, the largest export product category in Q1 2025 is skincare, with export revenue of 960 million USD, up 16.6%. The top five export markets for skincare are the U.S., Hong Kong, Indonesia, the U.K., and the Netherlands. Exports to Indonesia soared 199.4%, nearly doubling, but exports to Hong Kong fell 19.0%. The second-largest export category is body care products, up 4.5%, with export revenue of 250 million USD. The top five markets for body care are the U.S., Japan, Hong Kong, the U.K., and Malaysia. The U.K. market increased 57.0% year-on-year, the U.S. saw a substantial 20.7% increase, while Hong Kong dropped 15.3%.

In terms of subcategories, within skincare, China's exports mainly comprise skincare and makeup products. Makeup products (face powders, eye cosmetics, lip cosmetics) account for 390 million USD in exports, 41.0% of skincare export revenue. For body care products, toiletries have the largest export value at 160 million USD.

Deep Adjustment of International Trade Patterns

Currently, China's cosmetics market is in a stable development phase, with structural adjustments in import scale and steady export growth. The industry's internationalization continues to advance. Against the backdrop of global economic restructuring and accelerating supply chain reorganization, international cosmetics trade faces new opportunities and challenges.

New Pattern in Sino-US Cosmetics Trade

The United States, as an important trading partner, sees continuous optimization of bilateral trade structure. Data shows rapid growth in China's cosmetics exports to the U.S. over the past five years, while imports from the U.S. are adjusting, narrowing the trade surplus from 1.12 billion USD in 2020 to 310 million USD in 2024, reflecting increasing complementarity in the industries.

On the import side, China's cosmetics raw material supply system is becoming more complete. Currently, imports from the U.S. focus on carbomers, silicones, and some active ingredients. With improvements in the domestic supply chain, most raw materials, except some high-end bioactive ingredients, have been localized or diversified in sourcing. Finished products from American beauty brands maintain stable market supply through global production layouts.

On the export side, China's cosmetics industry chain advantages are significant. Raw materials like hyaluronic acid and vitamins hold major global market shares. The packaging industry, with a complete supply chain, provides key support for international brands. Under the current international trade environment, relevant companies actively optimize global layouts, enhance product added value, and improve international market competitiveness.

Experts say China's cosmetics industry has entered a high-quality development stage. By continuously improving innovation, optimizing supply chains, and expanding diversified markets, the industry will better adapt to global trade changes and achieve sustainable development. Enterprises are advised to increase R&D investment, promote product upgrades, and deepen industrial cooperation along the "Belt and Road" to build a more robust international trade framework.

Proactive Response to Changes in the International Trade Environment

Recently, facing changes in the international trade environment, the Chinese government has introduced policies to expand domestic demand, promote consumption, and boost the domestic and international dual circulation. Since April, multiple departments have worked together: the Ministry of Commerce and six other ministries launched the "Shopping in China" campaign; 15 e-commerce platforms implemented measures to smooth foreign trade and domestic sales channels; five ministries jointly issued a notice to further optimize exit tax rebate policies and expand inbound consumption; the 137th Canton Fair attracted buyers from 219 countries and regions, a record high; the National Development and Reform Commission released measures to stabilize employment and the economy, increasing support for foreign trade companies.

China's cosmetics industry shows strong resilience. On one hand, it maintains good development momentum in ASEAN, Japan, South Korea, and the Middle East markets; on the other hand, domestic policies continue to boost consumption, releasing the potential of the domestic market. Under the current situation, the industry is accelerating supply-side structural reforms, enhancing competitiveness by improving product quality, optimizing industrial structure, and expanding diversified markets.

Industry insiders point out that Chinese cosmetics companies are actively adjusting global layouts and enhancing international competitiveness through technological innovation and brand building. With policy support and market-driven forces, the industry is expected to achieve higher quality development, providing consumers with better products and services. In the future, as industrial upgrading accelerates, Chinese cosmetics companies will show greater vitality in the international market.