China's vast landscape is built upon its county-level foundations, and consumption serves as the vital pulse of economic prosperity across various industries. As a crucial link connecting cities and rural areas, counties are not only a space of untapped potential for expanding domestic demand but also a key pillar for smoothing the domestic economic cycle. Data indicates that the lower-tier markets comprising third-tier cities and below, along with counties and rural regions, are home to 70% of the population and account for 60% of total retail sales of consumer goods, creating an internal demand market of unprecedented scale and diversity.
Strategic planning at the top level has repeatedly outlined clear directives for county-level consumption. For instance, the "Action Plan for Boosting Consumption" issued by the central authorities last year called for in-depth implementation of the county commercial construction initiative and the "Thousand Markets, Ten Thousand Stores" upgrade project. Recently, nine government departments jointly released the "Guidelines on Further Stimulating Vitality in Lower-Tier Markets and Boosting County-Level Consumption," which sets the development direction for further unlocking the consumption potential of counties.
With the continuous growth of per capita disposable income, county-level consumption is transitioning from a supporting role in China's economic landscape to a central driver, providing intrinsic momentum for consumption growth. From a supply perspective, upgraded products such as new energy vehicles, green smart appliances, and eco-friendly building materials are rapidly penetrating county markets. Simultaneously, emerging business models including cultural tourism, parent-child education, health and elderly care, and instant delivery services are experiencing fast growth in these areas. Looking at factor mobility, the influx of returning youth and local younger generations is bringing new types of consumption models like influencer marketing, live-streaming e-commerce, and the night-time economy to counties, injecting fresh vitality into the lower-tier markets.
To effectively stimulate county-level consumption, it is essential to first achieve localized adaptation and identify development paths tailored to the unique "county space." There are currently 1,869 county-level administrative divisions beyond municipal districts in China, each with vastly different circumstances, meaning there is no single solution for consumption growth. For example, counties with dense populations and strong economic power can benchmark against urban consumption quality to upgrade their commercial systems. At the same time, they are encouraged to be innovative and pioneer new approaches, actively cultivating new business formats and models suited to county characteristics to create demonstration effects. For counties with smaller populations and relatively modest economic scales, the focus should be on providing basic safeguards and support. Centered on the county seat, efforts should be made to coordinate commerce and logistics resources, ensure basic service coverage, and implement feasible upgrades and improvements.
Consumption is never an isolated economic issue; the underlying challenge is fundamentally about the high-quality development of counties. To activate county-level consumption, the ultimate goal must be to enable residents to "afford to spend" and "feel confident spending." This requires connecting employment and income growth with consumption expansion, fostering a positive cycle where county consumption and local employment reinforce each other. Such a dynamic would strengthen distinctive local industries, expand nearby employment channels, and provide residents with more stable income sources. For instance, Xuyi County in Jiangsu Province has transformed crayfish into a major industry, with crayfish income accounting for 32.5% of the county's average per capita disposable income for farmers. Similarly, Cao County in Shandong Province has established the country's largest original Hanfu (traditional Chinese clothing) industry cluster, employing nearly 100,000 people in the sector.
To further enable county residents to "afford to spend" and "feel confident spending," it is also necessary to strengthen consumption security guarantees. To this end, the "Guidelines" propose "stimulating consumption potential through entrepreneurship support and housing security." This includes increasing support for individual entrepreneurship in counties through streamlined administrative procedures, encouraging county-level governments to build rural entrepreneurship parks and other incubation platforms for returning entrepreneurs, and promoting successful models like "shared prosperity workshops" while implementing capacity-building initiatives for "business managers."
As chain supermarkets take root in rural areas, trendy flagship stores open in county towns, and distinctive industries attract visitors and retain talent, the vast county landscape is illuminating a new chapter in China's consumption story. This development is injecting solid confidence and surging momentum into the robust domestic market.