China’s consumer goods sector in 2025 continued to be shaped by strong policy support, evolving consumption patterns, and rapid technology adoption against a backdrop of economic uncertainty. Looking forward, while growth opportunities remain in 2026, companies are balancing optimism with caution, prioritizing resilience and strategic positioning. This bulletin reviews major consumer trends, investment and M&A developments, and legal updates influencing the sector in 2025, with a forward-looking perspective into 2026.


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Nanda Lau

Head of M&A, China, and Chief Representative, Shanghai Office, Mainland China and Shanghai

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Cathy Liu

Partner, Kewei, Mainland China and Shanghai

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Peng Lei

Partner, Kewei, Mainland China and Shanghai

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Justina Zhang

Partner, Kewei, Mainland China and Beijing

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Alizee Zheng

Senior Associate, Mainland China and Shanghai

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Gillian Miao

Counsel, Kewei, Mainland China and Shanghai

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Hazel Xu

Associate, Kewei, Mainland China and Shanghai

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Herbert Smith Freehills is licensed to operate as a foreign law firm in China by the Ministry of Justice. Under Ministry of Justice regulations, foreign law firms in China are permitted, amongst other things, to provide consultancy services on non-Chinese law and on international conventions and practices, and to provide information on the impact of the Chinese legal environment. Under the same regulations, foreign law firms in China are not permitted to conduct Chinese legal affairs, including rendering legal opinions upon Chinese law. The contents of this publication do not constitute an opinion upon Chinese law. If you require Chinese law advice we are able to engage our Joint Operation partner Shanghai Kewei Law Firm on your behalf.

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